Market Recap 06/03/2021
Download PDF USA US indexes concluded a highly volatile week with a strong rebound on Friday after the February jobs report came in much better than expected. The economy created 379,000 jobs, more...
View ArticleWill UK Rates Ever Be Negative?
Download PDF Introduction We continue our series on NIRP with the focus on the rates in the UK and the prospect of them becoming negative, that has kept markets professionals on their toes for the last...
View ArticleSNB: A hedge fund disguised as a safe haven?
Download PDF Introduction The Fed’s buying spree and general pandemic response has recently scooped up most of the media attention around central banking operations. The world of financial markets...
View ArticleNIRP & Equities: Unconventional Monetary Policies for Higher Returns
Download PDF Introduction We continue our series on the impact of negative interest rate policies (NIRP) on various asset classes by looking at equities valuations this time. The years after the Great...
View ArticleMarket Recap 27/03/2021
Download PDF USA Another whipsaw week in the American markets as investors have weighed signals that the U.S. economy is primed for a spell of rapid growth against concerns about rising bond yields and...
View ArticleOutlook for reflation
Download PDF Introduction A specter is in the horizon for US investors: the specter of inflation. As the fed policy objectives shifted toward allowing a brief term inflation “overshoot” the 10-year and...
View ArticleHow to trade the EV disruption
Download PDF Introduction Even though electric cars today only account for nearly 3% of the global car sales, companies have for a long time acknowledged that only by starting to invest now in a shift...
View ArticleA historical analysis of gold can offer clues on its future outlook
Download PDF Introduction Abundance of liquidity thanks to the coordinated stimulus injected by the world’s major central banks during the past year has triggered a renewed interest in gold due to its...
View ArticleMarket Recap 03/04/2021
Download PDF USA It doesn’t take long for the stock market’s mood to change, and the past week proved the point as the market quickly turned up and the majority of indexes closed Thursday with...
View ArticleMarket Recap 10/04/2021
Download PDF USA US indexes ended the week higher, one of the reasons seems to be the minute of the Federal Open Market Committee, which spread positivity on the market. The S&P 500 and Nasdaq...
View ArticleIPOs Volatility and Stabilizing Tools
Download PDF IPOs volatility Initial returns of initial public offerings are usually large, averaging 15.1% over the 1965–2004 period (excluding the dot.com bubble interval that would further boost...
View ArticleMarket Cycles and Their Psychological Interpretation — Part 1
Download PDF Introduction While it is true that market conditions change, there is an underlying cyclical movement of capital through markets, sectors and individual stocks. The market is simply a...
View ArticleArchegos’s Roller Coaster: from $200m to $20bn in a few years and back to...
Download PDF As of the end of March, financial news worldwide began covering extensively the unraveling of Archegos Capital Management – a family office whose way of conducting business de facto...
View ArticleMarket Cycles and Their Psychological Interpretation – Part 2
Download PDF As we said in the first part of the article, the market continually expands and contracts, going through periods of expansions, peak, decline and recovery. This, consequently, affects all...
View ArticleMarket Recap 17/04/2021
Download PDF USA Volatility is at lowest levels since pre-pandemic, indeed, the stock market ended a pretty stable week. Major indexes rose slightly mainly due to upbeat economic data and the beginning...
View ArticleMarket Recap 24/04/2021
Download PDF USA It was a turbulent week for equities due to a flare-up in global coronavirus cases and to the fact that President Joe Biden will seek an increase in the tax on capital gains to 39.6%...
View ArticleThe Big (SPAC) Short
Download PDF What is a SPAC? A Special Purpose Acquisitions Company (SPAC) is a shell company set up by investors with the only purpose of raising money through an IPO in order to eventually acquire...
View ArticleCreative Debt Hedging: Cross-Currency Swaps in the Greek and Italian Cases
Download PDF There’s a Yiddish proverb fittingly saying: “interest on debts can grow without rain”. How can this be? In an ultra-low-rate environment, debt has become ubiquitous to sail through the...
View ArticleInvesting in industrial metals: between cyclical and structural growth
Download PDF Introduction Industrial metals were in the news in the past few weeks because of the remarkable surge in prices. Copper has received most of the attention, with its spot price topping...
View ArticleCreative Debt Hedging: The Case for Redemption?
Download PDF In the previous article of our series, we highlighted the questionable use of cross currency swaps and concluded that this kind of window dressing techniques are a manifestation of the...
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