We’ve had a great response from readers to the introduction of our paywall. Looks like people do value quality content. If you haven’t signed up already, make sure to use the code “HIVEMEMBER10” to get additional 10% off. It’s only valid in January. For subscribers, we have a bumper newsletter this week with 5 Exclusives.
Equity derivatives specialist, Thorsten Wegener, gives his take on whether he will buy Tesla stock or not. He certainly likes the Cybertruck. Meanwhile, EM guru, Peter Attard-Montalto looks at the climate challenge faced in EM, especially for investors. This is a topic that will be with us for years to come.
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We’ve had a great response from readers to the introduction of our paywall. Looks like people do value quality content. If you haven’t signed up already, make sure to use the code “HIVEMEMBER10” to get additional 10% off. It’s only valid in January. For subscribers, we have a bumper newsletter this week with 5 Exclusives.
Equity derivatives specialist, Thorsten Wegener, gives his take on whether he will buy Tesla stock or not. He certainly likes the Cybertruck. Meanwhile, EM guru, Peter Attard-Montalto looks at the climate challenge faced in EM, especially for investors. This is a topic that will be with us for years to come.
In case you haven’t been watching the news, yesterday Russia dissolved its government. Russia expert Tatiana Orlova gives her take on the consequences. I should add that if you want to learn more from her – let us know and we can connect you. She is a true expert.
Elsewhere in EM, Turkey cut rates again today, so thought we’d provide a broader 2020 outlook for the country. For that, we are lucky to have leading Turkey economist, Haluk Burumcekci, write for us.
Finally, we turn to the US where former NY Fed and Bridgewater economist Dominique Dwor-Frecaut looks at the cracks starting to appear in the US labour market. This increases equity downside risks.
Enjoy!
Bilal
Tesla – Still The Devil’s Reject (3 min read) I am going to invest in Tesla now. Definitely. Pretty sure. Well, I guess I should. Maybe I wait a little longer to see where this is going….
Sound Familiar? Not the Tesla bit, but the agonizing investment decision I am about to face.
I have gone through the same process several times over the years and each and every time I missed an incredible investment opportunity. Let me elaborate. As a young trader in the City I witnessed the first non-bricklike mobile phones hitting the high street. Not the massive two-arm lift monstrosities of the eighties but the rather awesome, flashy high tech Nokia and Ericsson devices. Of course, I had to have one.
(Thorsten Wegener | 16th January, 2020)
Do EM Investors Care About Climate Change? (5 min read) Climate change worries are increasingly impacting investment mandates. By the end of this year (despite pushback from passive investors), 25% of global assets under management are expected to be covered by restrictions on coal. European asset managers have increasingly applied blanket thermal coal investment exclusions to their portfolios over the past two years (alongside broader and tighter ESG requirements). This went unnoticed at first in several Dutch funds. Then it spread to France.
(Peter Attard Montalto | 16th January, 2020)
Presidential Transition Begins In Russia. Should Investors Worry? (3 min read) During his annual address to the National Assembly on Wednesday, President Vladimir Putin dropped a bombshell. Halfway through his speech, he announced a constitutional reform reallocating some of the presidential powers to the parliament and other institutions. Later in the day, the cabinet led by Dmitry Medvedev resigned. Putin announced the Head of State Tax Service Mikhail Mishustin as his nominee for the Prime Minister’s position.
(Tatiana Orlova | 16th January, 2020)
Turkey’s Unachievable Task – Fast, But Balanced Growth (3 min read) – Turkey is targeting a return to fast growth this year, but without reigniting the high inflation and macro imbalances of the past. The 5% growth target looks broadly achievable, risks are instead skewed towards inflation, fiscal and the C/A, particularly if the revival in credit growth continues.
– The lira is likely to remain relatively stable due to ongoing CBRT intervention. Further measured rate cuts may still be in the pipeline.
(Haluk Burumcekci | 16th January, 2020)
Cracks In The US Labour Market Could Pressure Equities (4 min read) • The latest US labour market data showed a further slowdown in labour income. This will likely drag down consumption growth and, from mid-year, push unemployment higher.
• Meanwhile the TINA (there is no alternative) rally is likely to continue, helped by low yields and the Fed’s willingness to provide additional support if needed.
(Dominique Dwor-Frecaut | 14th January, 2020)
(The commentary contained in the above article does not constitute an offer or a solicitation, or a recommendation to implement or liquidate an investment or to carry out any other transaction. It should not be used as a basis for any investment decision or other decision. Any investment decision should be based on appropriate professional advice specific to your needs.)