Strategy The market’s focus on risks to EM from slower Chinese growth creates opportunities for stock pickers
According to Ross Teverson, Head of Global Emerging Markets Strategy at Jupiter, market is overly focused on risk rather than opportunity, EM valuations already price in a very negative scenario and recent weakness has created the opportunity to invest in positive long-term (...)
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Strategy Brexit: ETF Securities sees rise in demand for short-GBP ETFs
According to James Butterfill, Head of Research and Investment Strategy at ETF Securities, most investors believe that the greatest short-term impact - of fear of Brexit rather than Brexit itself - will be on sterling and consequently he has seen a big rise in short (...)
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Strategy Fed, Oil, yuan: towards a triple capitulation?
The first few days of the year were particularly challenging for capital markets. Further incertitude regarding the strength of the US cycle and the possibility that the Chinese economy is weathering a heavy depression drove risky assets lower, bucking the traditional (...)
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Strategy JPY at risk of reversal: who wins? who loses?
JPY and Japanese equities were the outcast of the rally, in diffidence of Abenomics’ and BoJ’s chances of success. They bear a risk of a reversal ahead of the coming BoJ meetings (April 28 & June 16) and the July Upper House (...)
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Strategy The Euro’s Survival and traditional asset classes prospects for 2012
On the basis of the survival «in fine» of the Euro through a constrained and massive indirect monetization from the ECB, what are the expectations for 2012 on foreign exchange, short-term rates, long-term rates and (...)
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Strategy Volatility : An asset class to make a portfolio more robust to crises
Investors, especially those of long-term maturity, should take advantage, to make their portfolios less vulnerable to episodes of market stress...
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Strategy Deforestation: engaging to preserve the world’s “carbon sink”
NN Investment Partners (NN IP) has signed the financial sector commitment letter on eliminating commodity-driven deforestation. The letter commits us to making best efforts to eliminate forest-risk agricultural commodity-driven deforestation activities at the companies in (...)
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Strategy The index revolution (finally) comes to hedge funds
One common knock on factor models is that they “replicate only beta” – not the pure alpha gold that allocators seek. This critique pre-dates the appreciation of factor rotations. Outside of some ivory tower statistics class, no one questions the “alpha” generated by, for (...)
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Strategy Managed futures strategies
This type of strategy is based on a simple idea: try to take advantage of an exposure on futures contracts («Futures») with the underlying being a financial instruments or a commodity ...
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Strategy How Smart is ‘Smart Beta’ Investing?
Investors increasingly embrace “smart beta” investing, by which we mean passively following an index in which stock weights are not proportional to their market capitalizations, but based on some alternative weighting scheme. Examples include fundamentally-weighted indices (...)
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Strategy The four cardinal “smart beta” virtues, or how to use Plato as an investment philosophy
Etienne Vincent, head of THEAM’s global quantitative management, explains how the four main recurring sources of outperformance in the equity markets, extensively developed in the “smart beta” concept, can be likened to the four cardinal virtues described by Plato, the Greek (...)
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Strategy Targeting positive returns in an uncertain climate
A decade after the financial crisis, the uncertain economic conditions it ushered in are starving Europe’s investors of returns. We believe this makes our approach to long/short equity investing more valuable than (...)
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Strategy Opportunity in volatility
The first three months of 2020 go down in history as the worst Q1 ever for global stock markets. Many measures of market stress reached levels last seen in the financial crisis and some price moves were on a scale not witnessed since the great Crash of 1929. The surge in (...)
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Strategy The « news trading », to what extent ?
The news trading is a type of algorithmic trading, which involves taking automated real-time decisions to buy or sell, according to a detailed analysis of the news ...
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Strategy Financial markets: hedging against new structural risks and stagflation
There are at least four new structural risks to consider: regulation, Middle East, euro zone’s crisis, and again the idea of a change in growth model of emerging countries.
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