Ladies who don’t lunch: Maike Currie talks to Christine Johnson about bonds, bubbles and being a rebel July 14, 2016 "I am definitely a bond person,” says Christine Johnson, head of fixed income at Old Mutual Global Investors. We’re having lunch at Spring restaurant in Somerset House and I am beginning to understand what Christine means when she says that as a fund manager you need to “live your job”. She likens her personality to [...]
Investing in infrastructure: As confidence in property crumbles, government-backed projects may offer stable, long-term returns July 14, 2016 The gold price is up, bond yields are down, and investors are asking themselves which asset classes can shield their wealth until the impact of Brexit becomes clearer. But amid the political and economic uncertainty, two facts are unlikely to change. First, the UK population is growing, and may reach 70m people by 2027 if [...]
Three reasons why gold is the best-peforming investment this year, and prices are going to keep on rising July 13, 2016 Gold has been one of the best-performing assets this year, and the weeks since Brexit was announced have pushed the precious metal higher. Gold is now priced at $1,373 an ounce, 22 per cent or $312 higher than when 2016 began. Of all the investment funds out there, gold funds are the five best performers. [...]
Before the bell: What you need to know before the US market open July 13, 2016 US stock markets are at a record high, Opec production is at its highest level in eight years, and China's trade surplus narrowed. Here's what you need to know before the US market open at 2:30pm London time. US futures are pointing up ahead of the open, though are not looking quite as rosy as in recent sessions. The S&P [...]
Large Valeant shareholder gives up stake amid mounting losses July 13, 2016 An investor letter has revealed that one of Valeant Pharmaceuticals largest shareholders has ditched its stake in the firm over the last quarter. Mutual fund Sequoia told investors (the letter can be read here) it no longer owned any shares of Valeant, the controversial pharma firm that has grown quickly in recent years through acquisitions and drug price hikes. At [...]
At the close: Sterling surge holds down the FTSE 100 July 12, 2016 The FTSE 100 closed flat this evening after ending yesterday's session at an 11-month high. The blue-chip index closed at 6,680.69 points, down just two points and flat in percentage terms. The end to yesterday's rally was put down to sterling being on course for its best performance against the yen in over three years after Theresa May [...]
Before the bell: What you need to know before the US market open July 12, 2016 Major US markets are on a tear hitting record highs and the UK blue-chip index is in bull market territory. Here's what you need to know before the US market open at 2:30pm London time. It seems nothing can stop the equity ball rolling now, with futures pointing yet higher ahead of the open. The [...]
Why it could be a happy summer for stock market investors July 12, 2016 Are risk assets shaping up for a summer rally? That’s the question investors are asking themselves after Friday’s non-farm payrolls report. It’s raising hopes that the US economy is on a more stable footing than thought. It’s good news for risk sentiment – provided the Federal Reserve holds the line in commentary this week with [...]
Fixed or tracker: As Brexit prompts mortgage rates to tumble, how long should borrowers hold out for? July 12, 2016 Brexit might have thrown markets into turmoil, but if you’re thinking of taking out a mortgage, or are remortgaging, rates are about to get even more competitive. Since the referendum began in earnest, investors have clambered to buy government bonds, driving down yields and enabling mortgage lenders to offer more long-term funding. Banks have been [...]
Revolution in Japan’s boardrooms could be just the medicine for ailing economy July 12, 2016 Japan's Prime Minister Shinzo Abe has declared victory in the weekend election after winning a majority in the parliament’s upper house. He will use the fresh mandate to press on with plans to reform the flailing economy – under the strategy dubbed “Abenomics” – and will also look at changing the country’s pacifist constitution. Japan’s [...]