Investing and Global Finance News

Author Archives: Tom Sanderson

Hedge Fund Investments: Good or Bad Idea?

While managers are doing well, are hedge funds all that?  Yes and no.  hedge fund portfolios have, traditionally actually performed well but this success can be substantially diluted due to service provider fees. It has been said that it is the hedge fund investors who suffer these fees ultimately.  But we’re not convinced that’s true.  It was pointed out in a recent article that:

“The annual Institutional Investor magazine survey of their earnings shows that the 25 highest earners took home an average of US$615 million last year, making a collective total of US$15.4 billion, up from US$11 billion in 2016. Top of the list for the third straight year is James Simons, of Renaissance Technologies, with total earnings of US$1.7 billion in 2017.”

Furthermore, the Japanese seem to feel that hedge funds make a good investment.  Given their economic environment, spurred by political uncertainty resulting in “low rates and market turmoil,” hedge fund investments are becoming more popular and vigilant.

One example is Taiyo Life Insurance Co. which is planning on investing almost $400 million into hedge funds. Indeed:

“Hedge funds, after significantly underperforming the U.S. and Japanese stock markets last year, have returned an average 0.2% so far this year through April, according to eVestment. That compared with the S&P 500’s decline of 1% and Nikkei Stock Average’s drop of 1.3% during the same period.”

 

 

Nigeria and Capital Markets

For the economy in Nigeria to grow and flourish, capital markets are “critical.”  According to Nigerian Stock Exchange CEO Oscar Onyema – in his recent address to the 5th Lagos and London Capital Markets in Partnership Conference – for growth to really happen, Nigeria needs a “solid and vibrant capital market ecosystem that will attract… Continue Reading

M&A News

The acquisition by Principal Financial Group of RobustWealth is happening.  With both corporations working together on the deal for nearly a year, the details are that in the deal, RobustWealth will “retain its open architecture philosophy and operate independently under a management committee within Principal [and] will continue to sell their platform to firms outside… Continue Reading

Hedge Fund Agents: The New Player

In this video, Professor John C Coffee, Adolf A. Berle Professor of Law, Columbia University, discusses his winning paper in the ECGI Law Series in 2017. It examines the “new world of hedge fund activism.” New agent –which aggregates the support of many institutional investors and brings pressure to bear on the board for issues… Continue Reading

Trade War and Reacting Futures

Once Treasury Secretary Steven Mnuchin declared that the trade war was “on hold,” futures took a huge jump. Following discussions and negotiations, they reached a “very comprehensive framework agreement that needs to be implemented” with a large variety of components. One of these has been Trump’s focus on trade deficit reduction through the significant increase… Continue Reading

Finance Awards

Throughout the world, awards are presented for various accomplishments in finance and related industries.  Here we take a look at recent Enterprise Awards given in the UK; Alabama’s Elite Investment Awards and Malaysia’s Investment Awards. Later on in the year, we will be privy to Boring Money – in conjunction with – The Telegraph putting… Continue Reading

Yes, it is in Your Own Backyard!

So often people look for entertainment in all sorts of far-flung places, causing great expense and a lot of stress. Americans however, need to be made more aware of what is available, in  nature, right here!!!! Yes, the great outdoors! According to a report put together by the organization that evaluates America’s GDP – the… Continue Reading

Optimism on America’s Economic Strength

In this video, FOX Business Network presenter discusses the solidity of the current US market.  He points out that the 10-year treasury yield is standing at 2.99% and discusses the industry with Chief Economist at Moody, Mark Zandi. Zandi emphasizes the importance of a strong economy (businesses need to be able to sell what they… Continue Reading