Opinion
There’s money to be made in turbulent times. Big moves in government bond yields don’t necessarily translate to big moves in corporate bond yields
Opinion
Over the past three weeks longer term interest rates in Australia have risen very sharply even as short term rates declined and the RBA lowered the cash rate another 25 bps to 2.00%
Opinion
There’s been a lot of talk in the press lately about equity markets being overvalued and in a bubble. Brokers will say one thing, equity fund managers another and the media will typically find the most sensational angle for a headline
Opinion
Australian investors upset about low interest rates can at least be thankful they don’t live in Europe where some governments have taken the extraordinary step of issuing bonds with negative returns.
Company updates
We remain comfortable with the AXA credit but highlight that AXA is one of the largest financial entities in Europe and as such will be impacted should there be a significant decline in the health European (and/or French) economy
Opinion
Assessing three indicators of relative value for shares and concludes that while the Australian market is overvalued it is still better relative value than the US market.
Opinion
Investors relying on cash or term deposit income should consider buying bonds to generate stronger returns, rather than waiting for something to change
Opinion
The ECB announced QE using a predictable “shock and awe” approach, announcing a €1.1tr QE program, in line with our expectations but well above the €500-600bn markets had priced in.
Opinion
In 2014, as with every year before, we saw many asset classes achieve returns that were wholly unexpected by forecasters. This highlights a central truth of investing, that in most cases long-term returns are maximised by making your portfolio robust and diverse rather than trying to pick future events
Week in review
Volatile markets; Swiss National Bank unexpectedly abandons ceiling on the value of the Swiss Franc; bond rally continues; negative government bond yields mount; and bond flows for the past two weeks