Investing and Global Finance News

Author Archives: Tom Sanderson

US Treasury Bonds

According to a recent article from The Associated Press, the “benchmark for most other investments” are US Treasury bonds.  It is these  which are thus regarded “among the closest approximations to a “safe” investment in the financial system.”

The problem thus is when prices for these start to drop, resulting in a jump in the bonds’ yields.  There was a recent S&P 500 drop by 3.3 percent marking its largest loss since February, hitting technology markets the most.  This, according to the article is “the latest sign that markets may be struggling to adjust to a new era, where returns are no longer juiced by the ultra-low rates that prevailed in the years following the Great Recession.” It is also indicative that the decreasing interest rates which started in the early 1980s is now finished.

What this means is four-fold:

  1. This is bad for stocks as it’s more expensive to borrow and reduce profits for companies
  2. Not good for investors as bonds are meant to be the safe part of what they are investing for their clients
  3. “biggest threat to stocks would be a burst of inflation that causes the Federal Reserve to sharply accelerate” the Fed’s rate increase.

And, according to Martin Baccardax in an article in The Street, “The U.S. Treasury sold benchmark 10-year notes at the highest auction yield since 2011 Wednesday, Treasury data indicated, but demand for the $23 billion auction fell to lowest since February, suggesting the recent rise in global fixed income markets is failing to attract investors.”

Powell on US Economy

If we are to trust Jerome Powell, Chairman of the Federal Reserve, then we will be able to believe there is a “remarkably positive outlook” for the US economy. With  unemployment at 3.9 percent and inflation at 2% which is pretty much the Fed’s goal, Powell explained: “While these two top-line statistics do not always… Continue Reading

Trading FOREX Like a Hedge Fund

In this video, Asia Forex Mentor founder Ezekiel Chew, discusses “how hedge fund managers, hedge fund companies trade. Be it forex, stocks etc. In order for us retail forex traders to be profitable. We need to have the same trading mentality and style as a forex hedge fund manager.” Continue Reading

Hedge Funds Around the World: A Glance

Hedge funds and the credibility investors give them have fluctuated a lot historically.  In the last ten years, since the 2008 financial crisis occurred.  But until then it was hedge funds that dominated the fiscal market, featuring top money managers, investment levels and high fees. Such characteristics were what kept the hedge funds elite. Much… Continue Reading

Business People Worth Watching

Certainly, it’s worth following people who have been named as some of the most creative people in their field. Fast Company puts out a list each of the most creative people in marketing – and here are a few glimpses of those who have made the list in past years. Camille Gibson helped to propel… Continue Reading

America’s Top Entrepreneurs

It was written a year ago but it’s still completely relevant for today.  An article in Forbes by Abram Brown: 75 Quotes on Business From America’s Top Entrepreneurs Entrepreneurs quoted include: Martha Stewart, Marc Benioff, Dan Gilbert, Eric Schmidt, Sara Blakely and many more. A snippet of the quotes: “No business school graduate would recommend… Continue Reading

Asia’s Best Under A Billion List

Each year Forbes creates a Best Under a Billion list for the top 200 Asian companies. The list “highlights 200 Asia-Pacific public companies with less than $1 billion in revenue and consistent top- and bottom-line growth.” There was an average growth of 62 percent this year in annual sales.  That generated a combined $45 billion… Continue Reading

Cryptocurrency Investment Funds

More than half of the 466 cryptocurrency investments funds have been established as hedge funds.  According to Crypto Fund Research, 255 of the 466 funds are set up this way and 195 of these are created as VC funds.  16 represent private equity funds. In 2017 around 100 crypto funds were launched; this year the… Continue Reading

Hedge Funds Regain Popularity

It seems that hedge funds are finally looking like a good bet again these days.  They are regaining popularity with investors with demand significantly increasing.    According to a recent Credit Suisse Group AG survey, net demand for hedge fund allocation is the highest it has been in three years.  Last year it was 12 percent… Continue Reading

Hedge Fund Management over the Years

In this video put out by the Milken Institute earlier this month, Bloomberg TV’s Editor-at-Large Erik Schatzker opens a discussion on hedge fund strategies and other issues looking to the future of the industry. On these topics he sits with the following individuals: • Dmitry Balyasny – Managing Partner and Chief Investment Officer of Balyasny… Continue Reading