What will 2015 hold for fixed income? 08:00 GMT At the start of 2014, there was overwhelming consensus on the likely direction of fixed income markets. The majority of asset allocators and fixed income managers had concluded that interest rates would inevitably rise, therefore short duration was the correct positioning. The subsequent lurch down in the global growth outlook, and the resulting downward pressure on bond yields, came as a nasty surprise and many investors found themselves on the wrong side of the trade.
A family office by any other name... 17/12/2014 The number of firms that have opted to use either the “family office” or “family office” monikers to describe themselves shows no sign of abating. A week rarely goes by without an announcement of the launch of a new “family office” (see, for example, thewealthnet 15/12/2014). In addition an increasing number of established wealth management firms appear to be rebranding as “family offices” or including “family offices services” as one of the core services they provide.
Market Correction: Where's the Black Swan? 16/12/2014 The precipitous fall experienced over the past six trading days will certainly take the gloss away from what would probably have turned out to be a reasonable year for investment returns.
Adding real value – the problem of closet tracker funds 16/12/2014 ‘Closet trackers’, those funds that charge active fees but stick close to the index, have been in the spotlight again in recent weeks. Although the issue has been raised before, it is now taking on new momentum. Are there any signs that the fund management industry is starting to listen?
The Barclays diaspora (2014 vintage): Haven't they done well 16/12/2014 The senior management cadre of Barclays Wealth and Investment Management (BWIM) experienced severe attrition during 2014. At one stage during the summer it seemed as if it was about to experience obliteration with departures announced on a near daily basis.
Three cheers for Rothschild's Kevin Gardiner 12/12/2014 It seems that at least one investment strategist shares the view expressed in thewealthnet about the usefulness of annual investment outlooks (see thewealthnet 11/12/2014). Kevin Gardiner, the global investment strategist for Rothschild’s wealth management business, argues that investment policy is not conditioned by calendar changes. Instead, it forms of part of a continuum. And this makes annual investment outlooks much less relevant.
The case against annual investment outlooks 11/12/2014 It is December so a day rarely goes by without at least one asset manager and/or wealth manager publishing their outlook for investment returns. Whether or not these add anything significant to the sum of investor’s knowledge, however, is debatable.
Russia – time to invest or time to avoid? 11/12/2014 The outlook for Russia appears bleak: The MSCI Russia is down around 40 percent for the year to date. The currency continues to slide and there appears to be no end in sight for the country’s economic woes. Newton’s Jason Pidcock argues that Russia is on the brink of economic, political and territorial collapse, but is there an argument that the stock market is now so cheap there may be opportunities for a contrarian investor?
In praise of boutiques and start-ups: and how regulators are doing their best to stifle them 09/12/2014 A new report from the New City Initiative (NCI), the London-based financial think tank launched by Stanhope Capital’s Daniel Pinto in 2010, claims that the European Union and UK regulatory systems are stymying the flow of new start-ups and boutique asset managers. This is likely to have perverse effects on competition and, by implication, the price and quality of investment and wealth management services available to consumers.