Salient to Investors: ATP, Denmark’s biggest pension fund said: Unprecedented stimulus from the biggest central banks has supported prices in “risky” markets, including equities, so investors need to brace themselves for potential disruptions when normalization of monetary policy comes, as recent investor reaction to the Fed’s warning of tapering showed
READ MORE... →Salient to Investors: Vivek Wadhwa at Singularity University said about Twitter IPO: Company long-term has no future – OK for the next 1 to 2 quarters but 1 to 2 years out it is hard to see where their growth will come from as their marketplace is limited, mainly to the US, while
READ MORE... →Salient to Investors: Claire Chaves D’Oliveira at Groupama Asset Mgmt sees a risk of a mismatch between investor optimism and company earnings, and says companies have surprised today on the downside on very well-known macro situations, like an emerging-market slowdown, but analysts have not kept up. Dagong Global Credit Rating
READ MORE... →Salient to Investors: Disruptions to the economy prompted speculation the Fed would maintain the pace of its $85 billion in monthly bond purchases. BlackRock Inc. and Pacific Investment Management Co. say the Fed will postpone tapering as a result of the debt-ceiling debate. Russ Koesterich at BlackRock said the disruption
READ MORE... →Salient to Investors: The Dow looks primed to finish the week less than 100 points below where it opened Monday, just before the government shutdown started. David Ader at CRT Capital said we are all surprised the markets have not sent more of a signal. On the day Congress initially
READ MORE... →Salient to Investors: Richard Titherington at JP Morgan Asset Mgmt said: Everyone assumes the US debt default will be averted, but it illustrates that these are uncertain times. Emerging markets are cheap for a reason because in the last 12-24 months they disappointed and there were better returns from the US
READ MORE... →Salient to Investors: Wang Zilong at Phillip Futures said the Hang Seng China Enterprises Index of mainland stocks traded in Hong Kong is set to advance to levels unseen since May because its 50-day moving average climbed above its 100-day measure on Sept. 30, forming a golden cross for the
READ MORE... →Salient to Investors: Jay Peloski at Itau said global equity market leadership is shifting from the US to the non-US developed markets. Guillermo Felices at Barclays said European and Japanese equities have more room for earnings improvement. Based on forward estimates, earnings growth in Europe is 46%, in Japan is
READ MORE... →Salient to Investors: Since 1976, the S&P 500 has risen 11 percent on average in the 12 months following a government shutdown versus an average return of 9 percent over 12 months. There have been 17 shutdowns since 1976, with 5 occurring within 3 months of each other – in
READ MORE... →Salient to Investors: The Nippon Individual Savings Account program opens for applications tomorrow and will allow individuals to buy $10,143 a year of risk assets – stocks, ETFs and investment trusts – that are exempt from taxes on dividends and capital gains for 5 years. Nomura Research Institute estimates the
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