Investors braced for continued volatility
Rhetoric from the Federal Reserve has made their intentions clear. Inflation is their focus and recession remains the risk. We expect higher volatility in interest rate markets as a result, as core inflation remains elevated and growth weakens. Outlook Remains Challenging Following on from a reasonable month in July, markets once again struggled as they…
Mid-tier and junior gold- mining stocks
The mid-tier and junior gold-miners’ stocks in their sector’s sweet spot for upside potential have been clubbed like baby seals since mid-April. Massive gold-futures dumping erupted as the US dollar shot parabolic on the most-extreme hawkish Fed pivot ever, crushing gold stocks. With raging inflation also forcing costs higher, mid-tiers’ latest quarterly results reveal how…
Retirement planning? Even multimillionaires can run out of money
Once upon a time in the U.S., not long ago, the “4% rule” was a reasonable (albeit very general) rule of thumb for everyone (including the wealthy) planning their retirement. You probably could expect to spend around 4% of your assets annually and be unlikely to run out of money during the rest of your…
Demystifying long and short funds
Long/short funds are a type of fund that aims to maximize the upside of markets, while limiting the downside risks. To do this, these funds take both long and short positions in investment positions, often from a specific market segment. Here we look at long / short funds in more detail, specifically how fund managers…
Running down a coal mine could beat selling it
BHP Group’s decision to wind down its Mount Arthur coal mine rather than sell to a private buyer will shorten the mine’s operating lifespan and reduce overall expected carbon emissions. It underlines how a strategy of running down a coal mine may beat divestment for real world carbon impact. “Would that it were so simple,”…
Will Cryptocurrencies liberate money from central banks?
The dream that decentralised finance – or “DeFi” – can free the monetary system from the clutches of governments and banks has helped launch 20,000 cryptocurrencies. But with 2022 proving to be more of a crypto-nightmare – including for the vaunted “stablecoins” that held the most promise as rivals to central bank-issued currencies – questions…
Investing “Talk to me Goose”
Slavish adherence to being ‘data driven’ should not be an excuse for avoiding thinking and intuition. The past decade has been vastly more abnormal than normal in the wider lens of history. Using this decade as the basis for future investment settings looks unwise to us. When Maverick clutches the dog tags and whispers the…
Navigating the market’s murky waters
We have accepted the fact that there won’t be many quiet weeks in markets this year. Equity markets tumbled on Tuesday morning (newswires blamed growing recession fears), but most stock markets climbed for the rest of the week and ended up gaining almost 2.0% heading into Friday. Bond yields ended a touch higher, with yields…
Can investors bring improved health and wellness to emerging markets?
Impact investing: companies providing health and wellness products and services can make a positive impact on people in emerging markets. Impact investing incorporates dual goals of generating positive contributions to society and the planet, as well as attractive financial returns. We believe this is achieved by investing in the shares of companies which, as well…
An investors guide to dissecting supply chain disruption
We are now over two years into the pandemic and the world is still battling supply chain disruptions that are being amplified by the war in Ukraine and COVID-related lockdowns in China. Investment Director Catherine Yeung and Head of Asian Fixed Income & Hong Kong Investments Marty Dropkin gathered with Fidelity analysts and portfolio managers…
