After more than five years of aggressive intervention in financial markets, the Federal Reserve (Fed) seems on the cusp of ending the greatest experiment in monetary policy history. Through Quantitative Easing, the Fed hoped to create a wealth effect to stimulate spending and investing as the economy slowly reduced the build-up of excessive debt from […]
Earlier this summer, our Research & Papers entry “Interpreting The Sound of Silence” walked readers through different interpretations of the market calm that overtook markets for much of the summer. Since that writing, conditions have become more volatile, as previously highlighted concerns such as geopolitical risk and inflation have begun to play out. Right on […]
Adrian Cronje, Ph.D., CFA recently participated in a discussion on foreign investments in the Foundation & Endowment Money Management article “Experts Debate Russian Investment Roulette.” In response to whether or not this area is a good investment, Adrian stated: In the list of risks that must be considered for any investment, geopolitical tops them all because the […]
Once again Bob Reiser, Senior Advisor on our Investment Strategy Team, has prepared a list of “forecasts.” As in previous years, the views expressed herein are solely those of Bob Reiser’s and may not be shared by other members of the Investment Strategy Team. This is the fourth year that I have prepared a list […]
“QE has provided liquidity to the market. And there aren’t many other reasonable options for the Fed right now,” said Alan McKnight, director of global investment strategy at Balentine, in Atlanta. “But we’re coming up on almost four years since Lehman and we’ve had anemic growth despite all the monetary stimulus.”
Alan McKnight, the director of global investment strategy at Balentine, said taking on currency exposure adds the risk that movements in the currency can influence the overall value of the asset regardless of the underlying characteristics of the asset.
Keep in mind that commodities as an asset class can be volatile and therefore deserve “considerable research and scrutiny,” says Alan McKnight, the director of global investment strategy at Atlanta-based investment advisory firm Balentine. “Investors should be very careful. … It is important that they have a clear understanding of the spot and futures markets,” he says.
“It is not in the Chinese government’s interest to not have things go smoothly and hurt the economy,” Clark Li, global research director of Balentine in Atlanta said in a recent interview.
HSBC surveys managers in the private sector, while the government surveys national companies. They can do anything they want with the numbers, but as one investment advisor told me, Clark Li, the Global Investment Research Director from the $1 billion Balentine asset management firm in Atlanta, you must believe someone. If you don’t believe the Chinese government, then you have to find better data to follow.
“It’s been a good strategy for companies,” said Adrian Cronje, chief investment officer at Balentine LLC, which manages more than $1 billion in investments. The top line of a balance sheet, where revenue is listed, grew the most at companies that expanded their business into emerging markets outside the United States, he said.