Investing and Global Finance News

Tag Archives: Greece

Overseas Investments: The Options

Where is it best for investors to search for new opportunities worldwide?  In this article we take a look at some of the promising places for 2019 as well as some of the considerations vis-à-vis country jurisdictions and restrictions.

According to a recent article in City AM:

“Currency risk is a factor to be borne in mind when investing overseas. Additionally, depending on the jurisdiction, there may be limited to access to a given stock market for individual investors, corporate governance may not be developed to the same degree as in the UK or US (although several funds are beginning to address this in their investment requirements, with Environmental, Social and Governance (ESG) becoming an increasingly important theme).”

It seems that Greece has historically been a popular overseas investment region.    The firms from America, Asia and Europe that have invested in Greece over the years have done well overall.  Greece doesn’t necessarily make it easy to invest per se, but there have been many success stories including an international telecom leader, Chinese shipping company Cosco and more.  Germany – through Hochtief – did well too with its construction and operation of the Athens International Airport, a couple of decades ago.

When it comes to popularity and even an element of awe from foreign investment companies, Japan has done quite well.  From 27 January to February 1, 2019 $5.8 billion in bonds were purchased by international investors.  in addition a Bloomberg article pointed out:

 “An auction of 10-year government bonds drew the highest bid-to-cover ratio for the tenor since 2005 on Tuesday [February 5], just a day before the central bank’s regular purchases.”

Japanese Government Bonds (JGBs) have almost zero (or negative) yields.  nonetheless, international investors can still make great returns thanks to their foreign currencies.  they can use that to switch into yen and then invest the proceeds. Plus, according to Sumitomo Mitsui Trust Asset Management Co.’s senior economist, Naoya Oshikubo:

“Foreign demand will remain robust this year, especially for futures and shorter maturities, thanks to basis swaps.”

There are certain regions in Bali that provide a good environment for foreign investors also.  Apart from the fact that it makes for a great holiday destination, buying property there – especially in Canggu, Bukit/Uluwatu, Ubud and Lovina – can, according to realtor Pratama Antonio, “really give a good bang for your buck.”  At the end of October last year, approximately $ 42 billion in investment opportunities were created in infrastructure projects and tourism. It is likely that East Nusa Tenggara (NTT) will be reaping the most benefits thanks to its ever popular islands including: Flores, Komodo and Sumba.

Former Greek Finance Minister Warns Harsh Cuts are Holding Back Economic Recovery

Former Greek finance minister and head of the Socialist party Evangelos Venizelos said on Tuesday that it will be “almost impossible” for Greece to cut back spending by €11.5 billion ($14.1 billion) over the coming two years, the amount its rescue creditors demanded as part of the bailout deal. Venizelos made his statement in a… Continue Reading

Stalled Economies Fueling Crashing Oil Prices

The deteriorating European debt crisis and the slowing United States economy are contributing to what is expected to be the largest monthly downslide in the price of oil in three years. Demand for oil will plummet, analysts say, fueling a downturn in oil which resulted in oil closing yesterday 20 percent lower than the year’s… Continue Reading

Asian Stocks React to Papademos Statement

Investors have been considering for a while now the possibility that Greece might walk out of the euro common currency in order to help them cope with the serious austerity measures that the international community is forcing on them as a condition for receiving international economic aid. A financial news service report has put some… Continue Reading

European Stocks Up as Bailout Talks Continue

European stocks are maintaining a six-month high, rising for a fourth day as China takes action to boost growth and EU officials work on another Greek bailout. TNT Express increased by an impressive 60% after turning down a significant offer from United Parcel Service, while TNT shareholder PostNL climbed 50% as well. Meanwhile, the Stoxx… Continue Reading

Meeting of Euro Big Banks

The big wigs met yesterday in Paris with the goal of making peace with Euro authorities vis-à-vis how investors will participate in the Greek sovereign debt reconstruction.   According to an article in The Financial Times, this is also meant to ease Greek’s burden as well as make the “banks’ original plan that would have seen… Continue Reading

When It’s All Just Greek to the Greeks

Troubled Times for Greek Finance; Not Happy Swiss The Greek economy is up the creek without a paddle.  As well, this is impacting the Swiss populace which is now sitting around watching this turmoil unfold.  The Greek parliament has just said yes for increased austerity in an effort to meet EU-IMF bailout terms.  This led… Continue Reading

Italy’s Got Wham’s Jitterbug

Instability in Italy’s Investments: Blame Game Greece They say that George Michael of Wham! fame had some Italian in him…or was it Greek? No matter since both countries seem to be in on this latest financial debacle. And that might not be so far from what’s happening with the Italian financial markets as of late.… Continue Reading

Greece’s Debt Crisis

Greece Causes Problems for Eurozone In a recent article, it was reported that Didier Reynders, Belgian’s Finance Minister, feels that Greece’s debt crisis is so bad that it could actually spread “as far as France.” He said that should Greece be the “first country to default,” people will start looking towards places like “Ireland, Portugal,… Continue Reading