Weekly Economic Focus: Strong US dollar drives equity markets lower 

November 13, 2018 16:24 by Alexander Forbes Investments

Last Tuesday’s US midterm Congressional elections produced a split, with Democrats taking control of the House of Representatives for the first time in eight years, and the Republicans increasing control of the Senate. The post Weekly Economic Focus: Strong US dollar drives equity markets lower  appeared first on Investment Solutions. ... Read more

Weekly Economic Update: Red October as Global Assets Show Negative Returns

November 08, 2018 11:12 by Alexander Forbes Investments

  Global wrap – Red October across all major asset classes A cocktail of bad data, downwardly revised global expectations, and continued capital flight from emerging markets, culminated in increased volatility and negative performance returns in all major asset classes. The International Monetary Fund’s downward revision of global growth, to 3.7% from 3.9%, for both 2018 and 2019, reignited concerns about the potential for a market correction or a bear market. Oil prices initially increased above US$80/bbl, before declining by 14.2%, to US$73/bbl. However, year-to-date (YTD) prices remain 8.7% higher. The MSCI World and the MSCI ACWI indices returned -7.3% and -7.5% in October, and -1.9% and -3.5% YTD, in US dollar terms. The MSCI Emerging Market Index returned -8.7% in October, and -15.5% YTD. Bond markets also saw negative performance returns, with the Citi World Government Bond Index returning -1.1% in October, and -3.6% YTD. The JP Morgan Emerging Market Bond Index returned -1.2% in October, and -10.4% YTD.   October’s market performance highlights a slightly worse outlook than what we have been emphasising over the past couple of months – we are in a low-return environment. The likelihood of negative performance returns for 2018, if we do not […] The post Weekly Economic Update: Red October as Global Assets Show Negative Returns appeared first on Investment Solutions. ... Read more

Weekly Economic Focus: Medium Term Budget Policy Statement Disappoints.

October 31, 2018 14:35 by Alexander Forbes Investments

Although the MTBPS was disappointing, it was realistic and showed government’s commitment to stay on course for fiscal prudence to ensure fiscal sustainability. The post Weekly Economic Focus: Medium Term Budget Policy Statement Disappoints. appeared first on Investment Solutions. ... Read more

Medium-Term Budget Policy Statement: Fiscal Slippage For Three Consecutive Years.

October 25, 2018 16:43 by Alexander Forbes Investments

Compared to the 2018 Budget, the Medium-Term Budget Policy Statement (MTBPS) shows lower economic growth for FY2018/2019, while keeping the growth forecast for FY2019/2020-FY2022 largely unchanged. The post Medium-Term Budget Policy Statement: Fiscal Slippage For Three Consecutive Years. appeared first on Investment Solutions. ... Read more

Market Solutions – October: Global Bond Weakness Gathers Steam In September 2018

October 10, 2018 14:17 by Alexander Forbes Investments

At Alexander Forbes Investments we maintain that the forthcoming financial market cycle won’t look the same as the past cycle where traditional bond and equity asset class returns were abundant. The post Market Solutions – October: Global Bond Weakness Gathers Steam In September 2018 appeared first on Investment Solutions. ... Read more