AMP: data-block-on-consent Smartad Iframe
With decreasing interest rates, why should investors consider investment companies?
Following the Bank of England’s interest rate cut, David Prosser discusses where income seeking investors could be looking. There aren’t too many certainties in the economic and investment outlook in the months ahead, following the…
Behavioural economics and finance
The central tenets of modern portfolio theory and beliefs in rational markets have been found wanting. Critics have observed that Sharpe’s “Capital Asset Pricing Model” (CAPM) and the Modigliani-Miller theorem were written during periods of…
Central Bankers Hold Markets Hostage
“We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful.” - Warren Buffett For several weeks, we have intended to write about some of the structural…
Market review: market jitters
As we move towards autumn, signs of volatility are creeping back into markets. One of the main questions at the forefront of investors’ minds is how soon the Federal Reserve (Fed) will move to raise…
Markets Dump after a Cocktail of Negative Issues
Financial markets have just suffered their worst week since February. The catalyst would appear to be a cocktail of rising bond yields precipitated by either concerns over a potential rate rise from the Fed or…
Market review: slow progress
The Brexit discussions rumble on. Two and a half months on from the 23 June vote, the details of Britain’s proposed departure from the European Union (EU) remain unclear. Perhaps worried that the phrase is…
Funds for heavy weather
Markets have recovered since the UK referendum, but the impact of the UK’s historic vote on the underlying economy will not be apparent until data begins to come through in the later part of this…
Ranges Have to Break at Some Point
Last week, we set out the case for being constructive on the US Dollar. Although the resilience of the Dollar in the face of weak data is impressive, in reality the Dollar, along with bonds…
Week in review: taxing times
It’s been another interesting week with Apple the latest multinational company to be accused of tax dodging. In market news, European inflation failed to accelerate in August, adding to concerns about the economic outlook ahead…
Week in review: Political Olympics
Just four days after the closing ceremony of the 2016 Rio de Janeiro Olympics, the final proceedings in the impeachment of Brazil’s former President Dilma Rousseff began. Re-appointed by the Brazilian electorate less than two…
The Market’s Reaction to Jackson Hole Demands Attention
Before we get on to the events of Jackson Hole and their impact on bonds and FX, we just wanted to pick up on where we left last week. We outlined some initial thoughts about…
Current Economic Thinking May Need to Change
Having taken my family holiday in July, I had actually been hoping that August would see a pick-up in volatility and offer some trading opportunities. However, with trading ranges compressed and the post Brexit rally…
Week in review: League of nations
As the Rio Olympics draw to a close, newspapers and television alike are obsessing about Team GB’s place in the medal table. Will we outrank China? Celebrating individual excellence seems to have taken second place…
Hot property
Background Unless you’ve been in a cupboard for the last month or so you will be aware that property funds have taken a beating since the surprise result of the EU referendum in June. By…
Week in review: Her name is Rio …
It was all eyes on Rio de Janeiro this week, as the Games of the XXXI Olympiad got into full swing. As is now traditional at such celebrations of human sporting prowess, the efforts of…
A Quiet Week but There is Always Something to Look Out For
Not only were financial markets extremely quiet last week, but the recent trend of every asset going up whilst the US Dollar nudges down remained intact. With trading volumes very much in holiday mode, we…
A Positive Cocktail for Risk Assets – Can it get any better?
Another dovish central bank and another strong US employment report, and investors are tripping over themselves to increase risk in their portfolios. With many now also focusing on holidays, the next few weeks are likely…
India: The Giant Awakens
This is indeed India! The land of dreams and romance, of fabulous wealth and fabulous poverty, of splendour and rags, of palaces and hovels, of famine and pestilence, of genii and giants and Aladdin lamps,…