It is sometimes easy to forget that when markets rise and fall, we are looking at this through an aggregated, market-capitalisation weighted lens. In reality, the fortunes of individual companies and even sectors may be quite disparate over both the short and longer terms. Take a look at the figure below that illustrates just how …
Focusing on Long-Term Drivers of Returns Can Deliver Strong Performance Taking the long-term view Warren Buffet once said, “The stock market is a device for transferring money from the impatient to the patient.”[1] This quote encapsulates the importance of taking a long-term view when it comes to investing. While short-term events may cause fluctuations, it’s …
Josh Matthews, Co-Founder and Managing Partner of MASECO Private Wealth, will be ringing The Closing Bell at the New York Stock Exchange on Wednesday, 26th April at 4pm EST (9pm BST). This bell signifies the start and end of each day’s trading session. Historically, the bell was a critical part of the orderly functioning of …
Today is International Women’s Day (IWD), an annual event to challenge stereotypes of women, broaden perceptions of what is possible and celebrate women’s achievements. On this day, we come together to celebrate progress towards achieving gender equality and to recognize how much further we need to go for all women to be fully empowered and …
For approximately three years, turning a blind eye to the heavy economic and social costs incurred, the Chinese government had unyieldingly adhered to its dynamic zero-Covid policy, to a point whereby it had become the signature strategy of the regime and its paramount leader. An unprecedented large-scale public protest has precipitated an uncharacteristic U-turn, resulting …
China’s long overdue reopening: What are the economic and financial implications? Read More »
Until 2021, the global economy had experienced a long period of disinflation, characterized by progressively lower increases in key consumer and producer price indexes, culminating in an inflation rate broadly consistent with central bank target (i.e., 2 percent). Indeed, in most developed countries the actual level of price increases had persistently fallen short of that …
Amid the current financial scare, fueled by anxieties about economic overheating, it is easy to forget that, until recently, prices were well-behaved and central bankers struggled to lift them sufficiently to meet their 2-percent target. Indeed, many developed and even developing countries had experienced over a long stretch of time disinflation, characterized by progressively lower …
Unlike Diamonds, Inflation is Not Forever But May Prove Sticky Read More »
Interest rates have risen abruptly and sharply in all the major economies except for China and Japan. As usual, the United States, still the global economic locomotive, even if a diminished one, has paved the way, with Australia, Canada, Euro area, New Zealand, Singapore, South Korea, Sweden, Switzerland, and the United Kingdom following suit. The …
How much and for how long will interest rates cause pain? Read More »
The first half of 2022 had been a nerve-racking experience for investors in financial assets, with inflation-proof instruments, particularly commodities, offering one of the few escape routes from the pain inflicted by endless Covid mutations, geopolitical shocks, and backward-looking fiscal and monetary policies. Looking forward, there is reason to believe that, despite the decidedly challenging …
Whilst it is generally true that ‘what goes up must come down’ in the physical world, financial markets can differ and ‘what goes down usually comes up’ may be more appropriate. Markets are, in a way, capable of antigravity in the long term and much more likely to set new highs than return to previous …
Disciplined long term investors should expect antigravity – if the past is prologue Read More »
