2013 will be another challenging and event-driven year for equity investors to negotiate. Markets face a number of risks with binary outcomes, not least the imminent fiscal cliff facing the US economy. While the prospects for earnings growth in most developed equity markets are now more modest, a positive case can be made for a [...]
continue reading18
Dec
2012
Exchange traded funds that track broad share market indices can help direct share investors reduce risk in their portfolios and lower their transaction costs. In this paper, Vanguard Australia discusses portfolio construction theory and explain how including exchange traded funds in a concentrated, equally weighted portfolio of shares can reduce total risk (the overall volatility [...]
continue readingI think the world today could easily be described as the “Era of Uncertainty”. Problems threaten from almost every direction: the fiscal cliff looms, the U.S. Presidential Cycle is upon us, Europe’s troubles are clear for all to see, China appears to be slowing…indeed, the possibility of a global recession is non-egligible. Well-known and respected [...]
continue readingIn the recent white paper ‘Strategies for Turbulent Markets’, Fidelity Worldwide Investment (‘Fidelity’) examines how investors can improve and diversify their portfolios to weather turbulent markets, with a particular focus on ‘safe havens’ and alternatives. Given that market volatility is likely to remain in 2013, amid the US ‘fiscal cliff’ issue and a continued period [...]
continue reading26
Nov
2012
Japan’s recovery from the Tohoku earthquake and tsunami of March 11, 2011 has been so astounding that people rarely even think about the tsunami anymore. Even fewer remember that heavy rains in Thailand further disrupted the global production chain at the end of 2011. With so much accomplished, why do so few Japanese companies see [...]
continue readingPrincipal Global Investors has today released the Central Bank Watch for August 2012 which analyses current and expected interest rate policy at the Reserve Bank of Australia and abroad. The report discusses the Reserve Bank of Australia’s (RBA) decision to keep the cash rate on hold with the sharp appreciation of the Australian dollar despite [...]
continue reading09
Aug
2012
The world economy is undergoing a restructuring: secular growth drivers are reshaping the balance of economic power; the demographics of longevity and aging populations are intensifying the retirement saving imperative; while the financial risk environment has been transformed by the 2008 credit crisis and ongoing sovereign debt crisis. The search for income – already a [...]
continue reading04
Jul
2012
There is growing evidence and increasing concern about rising income and wealth disparity in Asia. Living standards are improving rapidly, but rising income inequality makes it hard for some people to catch up. With income inequality set to widen, how do Asians define ‘rich’ and ‘poor’ and what is ‘middle class’? How do Asians see [...]
continue readingA research paper condemning the increasing trend toward short-term thinking, planning and measurement in business and investment has been awarded ‘Editor’s Pick Award’ at this year’s Portfolio Construction Conference. The paper, entitled ‘The Economic Costs of Excessive Short-termism’ was co-authored by Hyperion’s CIO, Mark Arnold and Portfolio Manager, Jason Orthman. It examines the economic costs [...]
continue readingPrincipal Global Investors releases its Central Bank Watch, covering current and expected interest rate policy at the Reserve Bank of Australia, Federal Reserve, Bank of England, European Central Bank, Bank of Japan and Bank of Canada. The paper evaluates the performance of the central banks over the past the last 12 months, discussing CPI [...]
continue reading
0 comments