Economic growth

There’s been a ‘changing of the guard’ among sustainable dividend earners

There’s been a ‘changing of the guard’ among sustainable dividend earners Dividend lovers: we’re witnessing a bit of a changing of the guard when it comes to the performance of ASX listed companies. Financials and in particular banks – where investors have traditionally looked for their sustainable dividend growth – are beginning to be threatened for the mantle of sustainable dividend earners by so-called cyclical stocks, according to Dermot Ryan, AMP Capital’s Australian Equities Income …

FinancialPartners 28/03/2018 20/08/2018 Blog / E - Economics / E - Insights Papers among / changing of the guard / Dividend / Dividend tax / Dividend yield / Dividends / earners / Economic growth / Economics / Finance / Income trust / Interest rate / Investment / investor / Liquidating dividend / Most recent common ancestor / P/E ratio / Real estate investment trust / Stock / Sustainability / sustainable / There’s been a ‘changing of the guard’ among sustainable dividend earners

Econosights – The end of Japanese stagnation?

Econosights – The end of Japanese stagnation? Key points Years of low growth and inflation are gradually turning around in Japan thanks to the slow-moving impacts of Abenomics combined with a strong global economy. A lift in growth and employment reforms are increasing participation in the labour market, adding to an already tight labour market. Recent wage agreements will add to inflation. The solid economic cycle and good corporate health is positive news for Japanese …

FinancialPartners 28/03/2018 20/08/2018 Blog / E - Economics / E - ESG Wrap (Econosights) / E - Market Update Bank of Japan / Business cycle / Central bank / Consumption / Consumption function / Economic growth / Economics / economy / Economy of Japan / Econosights / Econosights - The end of Japanese stagnation? / Employment / End / Export-led growth / Fiscal policy / Gross domestic product / Inflation / Investment / Japan / Japanese / Japanese yen / Junichiro Koizumi / Keynesian economics / Macroeconomics / Monetary policy / Money supply / National accounts / Prime Minister of Japan / Quantitative easing / stagnation / Supply and demand / Taylor rule / Uneconomic growth / Unemployment

‘Volatility comes in clusters’: Dermot Ryan

‘Volatility comes in clusters’: Dermot Ryan Investors glued to their share portfolio screens recently following the abrupt share market selloff should expect to experience more of the same in the months ahead, according to Dermot Ryan, AMP Capital Income Equity Fund Co-Portfolio Manager.While more volatility can mean higher levels of anxiety for some investors, it can also bring opportunities to those able to stay calm during these periods, Ryan adds. “Volatility, where we haven’t seen …

FinancialPartners 09/02/2018 20/08/2018 Blog / E - Economics / E - Insights Papers ‘Volatility comes in clusters’: Dermot Ryan / ‘Volatility comes is clusters’: Dermot Ryan / clusters / comes / Dermot Ryan / Economic growth / Economics / Finance / Investment / investor / Real estate investment trust / Stock / Stock market / Technical analysis / volatility / Volatility comes in clusters / Volatility comes is clusters

Beware the double-edged sword of US tax reform

Beware the double-edged sword of US tax reform Tax reform in the United States has helped to spur on global economic growth, but investors should be aware of the double-edged sword that comes with the added exuberance, as already expensive share markets continue to edge higher. While company earnings growth in the US – and indeed in Australia – are generally supportive valuations, according to Diana Mousina, AMP Capital’s Senior Economist, the continued strong run …

FinancialPartners 02/02/2018 20/08/2018 Blog / E - Economics / E - Insights Papers Beware / Beware the double-edged sword of US tax reform / Central bank / double-edged / Economic growth / Economics / economy / Finance / Global / Hedge fund / IMF / International Monetary Fund / Mutual fund / Percentage point / reform / share / Shareholder / Stock / Stock exchange / Stock market / Stock market index / sword / Tax / Technical analysis / Trader / United States / US / US Share market / USA

Higher global inflation and higher bond yields – what’s the risk and implications for other assets?

01 February 2018 Higher global inflation and higher bond yields – what’s the risk and implications for other assets? Key points Rising global growth and rising commodity prices indicate the risks to inflation are gradually moving to the upside. This is most acute in the US with the Fed likely to raise rates more than the market expects this year. This supports the view that the 35-year super cycle decline in bond yields is over. …

FinancialPartners 01/02/2018 20/08/2018 Blog / E - Oliver's Insights assets / Bank / Bank run / Bond / Bonds / Capitalism / Central bank / Core inflation / Deflation / Economic growth / Economics / Federal Reserve System / Finance / Financial crisis / Financial crisis of 2007–2010 / Fractional-reserve banking / Global / Great Depression / Gross domestic product / higher / Higher global inflation and higher bond yields – what’s the risk and implications for other assets? / implications / Inflation / Interest rate / Investment / Lancashire / Monetary policy / Money / Money supply / other / property / Risk / Stock / Stock market / The Bond / What’s / Yield / yields

The risk shares and bonds will no longer correlate

19 January 2018 The risk shares and bonds will no longer correlate There is an old saying that “diversification is the only free lunch in finance”. While this adage is often wrongly attributed to Harry Markowitz, it does a great job of articulating the essential insight in his Nobel Prize winning research. What people who’ve followed Markowitz’s know is the attractiveness of an asset in a portfolio doesn’t just depend on its own expected return …

FinancialPartners 30/01/2018 20/08/2018 Blog / E - Economics / E - Insights Papers / E - Rogers' View Austrian School / Bank / Bond / Bond market / Bonds / Capital asset / Central bank / correlate / Correlation and dependence / Deflation / Dimensionless numbers / Dot-com bubble / Economic growth / Economics / Finance / Inflation / Interest rate / Investment / Macroeconomics / Milton Friedman / Modern portfolio theory / Monetary policy / Money / Money supply / no longer / Pearson product-moment correlation coefficient / portfolio / Risk / Shares / Spearman's rank correlation coefficient / Stock / Stock market / The risk shares and bonds will no longer correlate

The world economy in 2018 – how much longer can the global upturn last?

The world economy in 2018 – how much longer can the global upturn last? Key points The global economic environment and corporate profits remain in a strong position and economic growth in 2018 will run at its fastest pace since 2011. It’s too early to fear a significant lift in global interest rates. Central banks in Europe and Japan will keep interest rates unchanged in 2018. US rate hikes will continue. Inflation is likely to …

FinancialPartners 25/01/2018 20/08/2018 Blog / E - Economics 2018 / Bank of England / Capital accumulation / Central bank / Developed country / Economic development / Economic growth / Economics / economy / Economy of the United States / Emerging markets / Euro / European Central Bank / Eurozone / Federal Reserve System / Four Asian Tigers / Fractional-reserve banking / Global / Gross domestic product / Inflation / Interest / Interest rate / Investment / Italy / last / longer / Macroeconomics / Monetary policy / Money supply / Sustainability / The world economy in 2018 – how much longer can the global upturn last? / Uneconomic growth / Unemployment / United States / United States dollar / upturn / World / World Growth Institute

Debunking 3 myths around global listed infrastructure

13 December 2017 Debunking 3 myths around global listed infrastructure Did you know it takes 957 gallons of water to create a single Big Mac? Some 550 million Big Macs are consumed each year in the US alone. That’s a lot of water. But we simply wouldn’t have Big Macs without the infrastructure to filter and transport water to each part of the Big Mac production process. It’s easy to forget that infrastructure is a …

FinancialPartners 20/12/2017 20/08/2018 Blog / E - Market Watch / E - Oliver's Insights around / Asset / Big Mac / Capital accumulation / Capital asset / Debunking / Debunking 3 myths around global listed infrastructure / Economic growth / Economics / economy / Electric power / Electricity generation / Finance / Global / Inflation / Infrastructure / Investment / listed / Macroeconomics / Myths / Natural gas / Peak oil / Uneconomic growth / Water / Water management / Water resources / Water supply / Water supply network

Interest rates likely to remain on hold until economic growth improves

11 August 2017 Interest rates likely to remain on hold until economic growth improves There is little chance the Reserve Bank of Australia will hike interest rates in the next six months, even though property prices are at record highs in some markets, according to AMP Capital Head of Investment Strategy and Chief Economist Shane Oliver. “I can understand why people think maybe they should,” says Oliver. “But I think it’s a 2018 story, not …

FinancialPartners 15/08/2017 20/08/2018 Blog / E - Market Watch economic / Economic growth / Economics / growth / improves / Interest / Interest rates likely to remain on hold until economic growth improves / Likely / on hold / rates / remain / Until

What to consider when investing in a low return world

What to consider when investing in a low return world Identifying market dislocations is something that requires investment expertise For some investors, volatility matters. When approaching retirement, volatility tends to matter more owing to sequencing risk. In the video below, we assess some considerations for investing in low return world. Share market volatility is expected to remain elevated Investment market volatility is essentially triggered by uncertainty around market fundamentals such as economic growth, earnings, dividends …