With share valuations in emerging markets looking relatively cheap compared to those in developed markets, we explore what investors need to look for before taking the plunge. Be selective While emerging market shares are relatively cheap, the current health and future prospects of individual countries within this segment can differ significantly. Therefore, while we expect […]
1. Compare this year’s annual report with last year’s annual report. Check that the activities detailed in the current annual report are the same as what the company said it was going to do in the previous year's report. Consider whether the company has achieved the goals it set out for itself, and if this […]
The story so far… After sharp interest rate cuts by the Fed at the outset of the global financial crisis, quantitative easing (QE) began in November 2008 with the Fed buying US$1.25 trillion of mortgage-backed securities and $175 billion of agency debt in order to boost money supply. With few signs the US economy was […]
Myth 1: Infrastructure is a boring old 'economy style' investment A common misconception is that infrastructure assets represent, for the most part, old economy style investments with little potential for growth and limited relevance to future economic needs. In reality nothing could be further from the truth. Consider some of the key global secular themes […]
The growth in online shopping has caused some to question how this will affect traditional retail stores, and what this effect will ultimately have on investments. In this article we examine some of the opportunities investors can consider in light of the rising trend of online shopping. Companies that are able to capture new revenue […]
The outlook for banks We believe that banks look fully priced for a rising market. The key weakness of the Australian banking system is a low level of deposits relative to loans. To cure this, banks are ‘overpaying’ for deposits, and it’s our view that this isn’t going to change any time soon. Indeed, this […]
More work to be done to stimulate the economy Rates have been reduced to help stimulate the economy. Lending rates on housing and business loans have decreased, and this has seen a pick-up in house prices, approvals to build new homes and some improvement in retail sales. However, the Australian dollar remains high, and with […]
Download Market Watch – August edition and read the full report. In this month's issue:Australian dollar: where to next? 5 things investors need to know about hybrid securities Infrastructure boom: Opportunities for industrial property Natural gas extraction: What’s the ‘fracking’ problem
Download Market Watch – July edition and read the full report. In this month's issue: In a low yield environment, we consider some income opportunities outside of term deposits. As Iraq and Europe come into focus, we explore the key issues and what they mean for investors
Download Market Watch – June edition and read the full report. (1.5 MB file) This month's topics are: Despite some prospects of a bumpy ride there is a positive outlook for shares this year. A more selective approach to investing in the emerging world is ideally now required. The Westfield proposal is in a holding […]
