Is that a black swan in the horizon?
Investors have weathered the political gyrations and the turbulence in economic conditions all year. But, as we get into September and the last quarter of 2017, fears and anxieties from the past, appear to be catching up. Bad memories from the infamous Black Monday in...
Is Bitcoin the Future of Money?
Gold has traditionally been a safe haven in tumultuous times. But even as gold investors are taking comfort from the recent rise in price in response to geopolitical tensions, the price movement of gold has been weaker than would have been expected from historical...
Expectations vs Reality
The Russell 2000 index of small-cap stocks which surged 14% from November 8th through end of 2016 beating the S&P 500 index, and continued its climb into 2017, has been selling off as their prospects have been dimmed by the turmoils in the Trump administration....
To Play or Not to Play
Global technology companies like Amazon, Apple, Facebook and Google dominate their markets, from e-books and smart phones to search advertising and social-media. These companies have taken the winner-take-all approach and have left several competitors in the dust....
Investment Outlook for 2H:2017
With markets on edge over North Korea, it is worth looking at Q2 2017 earnings and taking a look at what is in store for Q3 2017, aside from the rising tensions in the Korean peninsula. While most sectors reported solid Q2 17 earnings and sales, few sectors exceeded...
Going Against the Grain
Contrarian is an investment style that goes against prevailing market trends by buying poorly performing assets and then selling when they perform well. Contrarian investing also emphasizes buying out of favor securities with low P/E ratios. With the market at all...
Fed’s Looming Challenge
In their much anticipated meeting this week, the Fed did what Wall Street wanted - Do Nothing. It kept its key interest rate steady and decided to wait at least a couple more months before starting to scale back its $4.5 trillion balance sheet. This was interpreted as...
2H 2017 Outlook – In Search of Value?
As the major indices hit new highs, protection against sharp declines in the market has become a priority. The first half of 2017 has been one of the strongest for the financial markets. The S&P 500 posted a return of 9.34% in 1H 2017 and has since continued to...
Peek into China’s Housing Bubble
Average prices of new homes in cities in China continues to climb to astronomical levels but that has not slowed down home buyers. In cities like Hong Kong, Shenzhen, Beijing and Shanghai, home price to income ratio is a staggering 40:1. Yet, home prices continue to...