Salient to Investors: Economics Fanatic writes: The top 100 banks in the U.S. had an 88% market share in Q3 2012 versus 84% in 2010 – if this trend continues, the next banking crisis will be bigger than the 2008-09 crisis. Excessive risk taking is predominant in these institutions. Regulators
READ MORE... →Salient to Investors: George Russell at Franklin Equity cut its holdings of Apple to 4.2 percent at the end of 2012 from 7 percent in 2011, saying it lacks a strategy to sell cheaper smartphones in emerging markets such as China and India, with the US market saturated. Russell said Apple hasn’t disclosed a low-end phone market
READ MORE... →Salient to Investors: Laurence Fink at BlackRock said investors will continue to put money into passive stock products rather than active funds as they get back into equities. Fink expects the economy to pick up in half2 2013. US stock mutual funds attracted $14.8 billion in new money last week, the most
READ MORE... →Salient to Investors: Mike Ryan at UBS Wealth Mgmt Americas said 76% of 2,056 wealthy investors surveyed are very worried about Washington, 33% are worried by volatility, Europe, and financial markets, and 36% have faith the government will accomplish more in 2013. Ryan said the investors were neither euphoric nor despondent – 56%
READ MORE... →Salient to Investors: Analysts expect dividend payouts in the Euro Stoxx 50 Index will fall by 3.3 percent in 2013, cutting the dividend yield to 4.3 percent from 6.3 percent in September 2011. John Bilton at Bank of America Merrill Lynch said within Europe, excess cash on balance sheets attracts investors –
READ MORE... →Salient to Investors: The push for weaker currencies is being driven by a need to find new sources of economic growth as monetary and fiscal policies run out of room. Chris Turner at ING said yesterday will go down as the first day European policy makers fired a shot in the
READ MORE... →Salient to Investors: John Hawksworth at PWC said Russian GDP may overtake Germany’s by 2020, driven by strength in natural resource sectors, but then face declining growth in a decade because of an aging population and shrinking workforce. Hawksworth said Russia’s economy is projected to fall back to sixth place in purchasing
READ MORE... →Salient to Investors: International purchases of U.S. stocks, bonds and other financial assets were more than twice as much as forecast in November as investors sought shelter from a global economic slowdown. Millan Mulraine at TD Securities sees further inflows. The World Bank projects the world economy to grow 2.4 percent in 2013 versus a June
READ MORE... →Salient to Investors: Brad Sorensen at Charles Schwab said the World Bank cuts in growth forecasts are reminders that there’s still work to be done. Sorensen likes earnings so far and the sizable money on the sidelines could boost the market higher. The World Bank cut its global growth forecast for
READ MORE... →Salient to Investors: The IMF said: India’s financial system is vulnerable due to a deterioration in bank assets and a lack of capital as the economy slowed. Increasing involvement in the financial industry leaves the government exposed to losses at banks and is braking economic growth India’s economy will expand
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