Salient to Investors: Christopher Palmer at Henderson Global Investors said for most investors China remains the main show. The MSCI Emerging Markets Index has risen 7.6 percent in 2012 versus a 9.1 percent gain in the MSCI World Index, and trades at 11.4 times estimated earnings versus 13.3 respectively. Read the full article at http://www.bloomberg.com/news/2012-11-22/emerging-stocks-rise-fourth-day-on-china-data-gaza-cease-fire.html
READ MORE... →Salient to Investors: Money managers said fears that the US economy will slow as Obama and Congress fail to avert the fiscal cliff are overblown. Volatility across markets has declined, signaling investors are less worried about the economic outlook. Bettina Mueller at Deutsche Bank is astonished the market is turning so quickly, and expects
READ MORE... →Salient to Investors: Padhraic Garvey at ING Bank said yields will stay low as growth remains weak. Carl Lantz at Credit Suisse said 10-yr yields will fall to a record 1.35 percent by Dec. 31. Bloomberg survey of economists predict the 10-yr yield will rise to 1.80 percent by Dec. 31. Bank
READ MORE... →Salient to Investors: Investors will soon be more concerned about missing out on the rising markets than preparing for the next leg of the bear market. Gold will make a serious run at $2,000. Short-selling is a great strategy but risks mandatory buy-ins. Read the full article at http://seekingalpha.com/article/890301-how-to-prepare-for-the-bear?source=intbrokers_regular
READ MORE... →Salient to Investors: Frank Velling at BankInvest recommends reducing holdings of equities as the global rally in stocks will fade as the budget dispute in Congress and election will stifle growth. Velling said global stocks can’t rise much more on monetary stimulus – any further advance rely heavily on a pick-up in U.S. economic growth. Read
READ MORE... →Salient to Investors: In a Bloomberg poll of 847 investors, analysts and traders: A quarter expect Chinese markets to be among the worst performers over the next year. 46 percent, the highest, say U.S markets offer among the best returns over the next year. 18 percent expect commodities to offer the highest
READ MORE... →Salient to Investors: Bruce Stout at Aberdeen Asset Management said: Central bankers are going round and round in the credit cycle believing that reducing interest rates will cure the illness that’s completely different from the past. We are no further ahead defining the main issue: the crisis of public sector indebtedness, which will take
READ MORE... →Salient to Investors: Pimco’s Bill Gross said: Investors face an age of inflation, a headwind for both stocks and bonds. The cult of equity was dying, and long-term equity returns of 6.6 percent above inflation – the Siegel Constant – won’t be seen again. Institutional investors will find the highest returns in countries with faster growth
READ MORE... →Salient to Investors: Bespoke Investment Group study going back to 1928 shows the S&P 500 Index has returned an average 0.12 percent in September when up year-to-date through August – the index is up 12 percent so far in 2012 Bob Janjuah at Nomura Holdings predicts a major risk-off phase in the coming four months with
READ MORE... →Salient to Investors: Global investors are buying emerging-market debt and shares of well capitalized companies. Anne Richards at Aberdeen Asset Management likes balance sheet strength, says many European equities are high risk and U.S. Treasuries are overvalued. Richards says investors are underestimating the health of Asian issuers – Likes Indonesian sovereign debt, Latin American
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