News

Market volatility drives appetite for active investments among IFAs

The need to manage clients’ emotions in response to market events and the risks associated with them may be a challenge for financial advisers, but the way forward is clear: 81% say the current market is favourable to active management, according to a survey published today by Natixis Investment Managers.

More than eight in ten (82%) also believe that the length of the current bull market has made investors complacent about risk and 79% said clients don’t even recognize risk until it’s been realized in their investments. This trend appears to be based in large part on their passive holdings. Nearly three-quarters (74%) believe individual investors are unaware of the risks of passive investing, and 73% say individuals have a false sense of security about passive investing.

Cryptocurrencies now appear among advisers’ top concerns. After a considerable run up in 2017, nearly three-quarters (74%) see the potential for the cryptocurrency bubble to ...

June 13, 2018


Investors still bullish on US stocks and economy

Why are the markets moving higher? Companies are churning out profit, and the economy is healthy.

Tariffs, inflation, higher rates, and just about anything else that could spook the markets have taken a back seat. Investors care more about the fundamentals than they do the noise coming out of Washington.

Stocks were up again Monday. The Dow rose nearly 200 points, pushing it back into positive territory for the year.

The Nasdaq, the market exchange that's home to Apple (AAPL), Amazon (AMZN), Microsoft (MSFT) and many other American tech giants, is now up nearly 10% in 2018.

Friday's jobs report provided a Goldilocksian just-right scenario for bulls. Hiring and pay are going up, but wages aren't rising so dramatically to spark fears of rampant inflation and aggressive rate hikes from the Federal Reserve.

"Investors are looking at the broader data from the US and saying, 'We're still doing okay,' -- especially compared to the rest ...

June 4, 2018


Chief investment officer to leave California pension fund

The chief investment officer of California's $350 billion pension fund is stepping aside.

Ted Eliopoulos announced Monday he's leaving the California Public Employees' Retirement System once a replacement is hired. He's one of California's highest paid state workers and responsible for the nation's largest public pension fund.

Eliopoulos' five-year tenure coincided with significant volatility in financial markets.

CalPERS investments returned 11.2 percent last fiscal year after they fell short of the system's 7-percent target for several years.

CalPERS chief executive Marcie Frost credits Eliopoulos with reducing the costs and complexity of investments.

Eliopoulos says his family is moving to New York City, where two daughters are in college.

/Source: Business Insider UK/

May 14, 2018


Investors warned to expect increased volatility as US pulls out of Iran deal

Donald Trump’s decision to withdraw the US from the nuclear deal with Iran had swift repercussions on the global markets this morning, as the oil price surged to new post-2014 highs.

The announcement from the US president, who described the deal as “decaying and rotten” was roundly condemned by the remaining signatories to the 2015 deal, with Britain, France and Germany vowing to strive to salvage some aspects of the agreement with fellow parties China, Russia and Iran itself. The announcement left the US looking increasingly isolated, with only Israel and Saudi Arabia declaring their support for America’s withdrawal.

Trump said yesterday America will be imposing “powerful” sanctions with all but immediate effect. The price of a barrel of crude oil rose 1.10% overnight to reach 70.67 WTI.

Tom Elliott, international investment strategist at deVere Group said today investors should expect an increase in market volatility and advises they ensure that they are ...

May 9, 2018


Google in talks to buy Nokia's in-flight broadband business

Google is in talks to acquire Nokia’s airplane broadband business as the Alphabet Inc unit seeks to tap into new services and reach more users by offering in-flight high-speed internet, people familiar with the matter said.

Nokia’s technology could help Google offer a faster alternative to existing Wi-Fi on airplanes, said the people, who asked not to be identified because the deliberations are private. Talks are advanced and an agreement may be reached soon, the people said.

A final decision hasn’t been made and the companies could still decide against a deal, the people said. Representatives for Alphabet and Nokia declined to comment.

Nokia’s LTE A2G cellular-based system also creates a direct link ...

April 12, 2018


U.S. Stocks Surge, but Dow Industrials and S&P 500 Fall for the Quarter

Investors show willingness to buy stocks that have fallen sharply.

The Dow Jones Industrial Average rose more than 250 points Thursday as investors sought to take advantage of depressed valuations among some of the market’s most sought-after technology stocks.

Investors bought up shares of companies including Facebook, Google parent Alphabet, Nvidia and Amazon.com, among others, on the final trading day of the quarter ahead of the Good Friday holiday.

The stock index of the largest European enterprises Stoxx Europe 600 grew by 0.3%, in particular thanks to the automobile sector. US indices S & P 500 and Nasdaq increased by 0.1% and 0.4% respectively.

According to forecasts, taking into account the current trends, Stoxx Europe 600 will fall by 5% at the end of the quarter, Nikkei - by 7.1%. The indices of Nasdaq, Hong Kong's Hang Seng and the Italian FTSE MIB will show slight growth in the quarter.

After a dizzying growth in ...

April 2, 2018


Facebook's favourability rating dropped twice as much as other tech companies

The SurveyMonkey poll found that Facebook's favourability rating dropped twice as much as other technology companies.

Facebook's favourability rating fell 28 points, which was a far bigger drop than Amazon which fell 13 points, and Google which fell 12 points.

Most technology companies saw drops in their favourability ratings, but Uber, Tesla, and Lyft all increased their ratings.

The polling last week came in the middle of Facebook's Cambridge Analytica scandal, in which it was discovered that the British political consulting company had obtained data on 50 million Facebook users.

/Source: Business Insider/

March 29, 2018


Amazon is now second most valuable company in the US

Amazon.com became the second most valuable publicly listed US company, surpassing Google parent Alphabet Inc for the first time.

Amazon shares finished up 2.69 percent at $1,586.51, for a market capitalization of $768 billion, underscoring Wall Street's confidence in its relentless expansion into cloud computing, groceries and other new businesses.

Alphabet lost 0.39 percent, trimming its stock market value to $762 billion, as Wall Street fretted about regulatory fallout following revelations that a political consulting firm had improperly obtained personal data on 50 million Facebook Inc users.

Amazon's stock has surged 81 percent over the past year, through Monday, bolstered by scorchingly fast revenue growth as more shopping moves online and businesses shift their computing operations to the cloud, where Amazon Web Services leads the market.

Apple's market cap would reach $1 trillion around a month later if its stock price continued to rise at the 25 percent pace seen over the past year.

Alphabet's ...

March 20, 2018


Global political tensions flatten yields, roil stocks

The excitement on Wall Street sparked widespread concern.

In addition to the sudden dismissal of Secretary of State Tillerson, with which the markets were trying to cope, the excitement doubled after the emergence of the probability of a trade war between the US and China.

Negative momentum somewhat faded in Europe, and the European stock index rose 0.3% after falling by 1% on Tuesday.

German state 10-year bond yields approached the monthly lows and are at 20 basis points of their ...

March 14, 2018


Uber’s self-driving trucks are now delivering freight in Arizona

This method of delivery began to be used in Arizona, where Uber also tests unmanned taxis.

Trucks overpass most of the way on highways, and people are only involved in short-term transportation when taking goods out at the beginning of the journey and delivering to a specific destination at the end of the route.

On the way a safety driver follows the truck remotely, and the live driver only takes the freight outside the city from the start point. Then a trailer with the load joins the self-driven, which overcomes the main part of the road. Then in a certain place it moves out of the highway where the cargo is taken by another live driver and takes directly to the destination address.

Uber planned to launch such a long-distance delivery service from the acquisition in 2016 of a start-up for self-driven trucks Otto for $650 million.

Source: The Verge

March 6, 2018