Although it is tempting to join the ‘peak demand’ bandwagon, as investors it is important to understand the impact that different technologies (and their timing) have on energy prices.
Our UK expert on BREXIT and our chief global strategist respond to Japan’s concern about its investments in the UK.
QE policies have had a material impact on bond yields and valuations. We believe that the evolution of these policies will be more important than fundamentals in indicating when bonds can break the cycle of ever-declining yields.
Central bank policy from the US, Japan and Europe are strongly affecting the current global fixed income markets. New Zealand and Canadian economies also face continued pressure.
Given how important central bank policies are for the pricing of assets, our focus has to be on what they do next. If debt monetisation were to occur, it would have significant implications for equity investing.
Asia ex-Japan equities extended its upward momentum in August, returning 3.4% in US Dollar (USD) terms and outperforming MSCI World by 3.3%.
USTs ended marginally lower in August as the market adjusted to the possibility of a Fed rate hike, buoyed by sustained resilience in the labour market.
In our view, electric vehicles will have significant implications (both positive and negative) for many sectors, particularly automotive and oil, presenting investors with interesting opportunities, particularly in Asia.
Oil production in Nigeria has been severely hampered in recent months as local militant group, the Niger Delta Avengers, have committed numerous attacks on oil pipelines in the region, materially lowering the country’s oil production. Our Emerging Market (EM) debt team in London take a closer look the political situation in Nigeria, the origins of the conflict, prospects for its potential resolution and its impact on global oil prices.
Many market commentators have been speculating that we are finally coming to the end of the bond rally that has endured for the past 35 years. It's worth noting that this is nothing new—we have heard similar suggestions many times before over recent years.
Given the release of the second quarter data, we update our decade-long theme about improving corporate governance in Japan.
Another summer has passed in the northern hemisphere and any Brexit-related jitters appear a distant memory. Global equities have rallied almost 10% since the June lows, with most markets now in positive territory for the year.
In developed markets, global bonds have benefited from recent flows out of Japan into positive-yielding markets. The New Zealand and Canadian economies face continued pressure and a September US rate rise is now looking more unlikely.
Japan is a consensus-driven culture and improved corporate governance is now the consensus. There are clear signs that many companies are moving towards more shareholder-oriented management.
Asia ex Japan equities rose by 4.8% in USD terms in July, outpacing global equities. Hopes for monetary and fiscal stimulus led to strong buying of Asian equities.
US Treasury (UST) yields ended July mixed: yields of shorter maturities climbed, whilse those of longer maturities fell.
The CEO of our Indian joint venture and our senior EM portfolio manager in London analyze the great importance of recent legislative developments in India.
Our expert on Asian financials describes the exciting technological developments that will change the way we all do business in the future.
We generally refrain from quoting external sources, but found the strength of this statement compelling. Calling an end to a 35-year long bull market is incredibly bold and we are unsure if it will prove to be right or wrong.
Our expert on Turkey details his cautious stance on Turkey's near-term future.
Our Chief Strategist in Japan shares his views on political landscape and the economy.
The major consideration for markets in June was the Brexit vote in the UK. Although we are sceptical about the most pessimistic scenarios for the UK, there will be some negative impact on growth.
Asia ex Japan equities rose by 2.7% in USD terms in June, outpacing global equities. The Brexit shock proved short-lived for regional markets as investors started to price in greater monetary and fiscal stimulus across major economies.
US Treasury (UST) yields gained in a volatile mon across asset classes. The US Federal Reserve (Fed) scaled back projections for raising interest rates, while the UK voted to leave the EU by a 4% margin, surprising markets.
Emerging Market reforms won't stop or pause with the current market recovery.