Investments are productive means to use resources. In the financial world, investing is a productive way of managing savings. The investor therefore temporarily removes some of their resources to generate a profit. Therefore, those who receive the capital to manage are specialised and professionally qualified to make these savings productive by investing in financial activities as instructed. Follow me
It’s risk off with equities, bond yields, commodities and crypto down. A correction is underway. Bond yields have plunged on expectations of lower interest rates and safe-haven demand. H1 2024 saw risk assets perform well following better news on inflation than expected,..
Continue readingAugust is a month that many people devote to holidays: but what to do with investments? What to do with investments when you go on holiday? In ‘Affari&Finanza’ (‘La Repubblica’) Luigi dell'Olio outlines a situation that many investors are likely to encounter in the coming weeks: what to do with their investments before leaving for their holidays, which traditionally are taken by most people in August. L'Olio's first point is that each investor should fin ...
Continue readingWhat opportunities can private markets offer and, more importantly, to which categories of investors do they seem best suited? Private markets and institutional investors Investments in private markets (which are part of the so-called 'alternative investments') represent a form of investment that is both risky and complicated. Very often, access to this type of investment is forbidden to private investors. In many cases, even the volume of money required to undertake such investments c ...
Continue readingWhat if the enthusiasm for artificial intelligence turns out to be too great for the results that are to be expected? What figures would we be talking about in this case? The enthusiasm for AI and the boost to the markets Artificial intelligence has undoubtedly been one of the growth drivers in the markets in recent months, at least since ChatGPT was made available to users in late 2022. This trend has caused the stock market capital of companies like Nvidia to soar, and contributed to the mor ...
Continue readingWithin WisdomTree’s suite of thematic equity strategies, both the WisdomTree Team8 Cybersecurity UCITS NTR Index (WTCBRN), tracked by WisdomTree Cybersecurity UCITS ETF (WCBR) and BVP Nasdaq Emerging Cloud NTR Index (EMCLOUDN), tracked by WisdomTree Cloud Computing UCITS ETF (WCLD) focus largely on Software-as-a-Service (SaaS) companies. There is an overall feeling of concern as we reach the halfway mark in 2024, as we are receiving questions from investors and seeing a range of articles d ...
Continue readingIn recent years, the performance of small caps in Europe has so far, on average, been lower than that of larger capitalisation companies. Is it possible that current conditions could favour growth of small caps even above the market benchmark? Unfavourable conditions for small caps As Francesco Lavecchia, Morningstar's Research Editor in Italy, points out, small caps have underperformed mid and large caps in Europe. There are more than one reason for this. Lavecchia mentions in this regard ...
Continue readingThe European Central Bank (ECB) lowered interest rates by 0.25%. However, something happened in the bond market that one might not have expected. What will the ECB's next moves be? Yesterday's decision by the ECB to cut rates by 25 basis points was expected by the markets. In a way, some analysts have pointed out, it is possible to think that this decision had already been discounted in terms of prices as well. What the markets are wondering about today is, rather, what the next move i ...
Continue readingSome managers believe that, despite the difficulties of the past year and a half, balanced strategies can still be effective in dealing with uncertain markets. This is the view of Capital Group, for example, whose balanced strategy was also the subject of an article in ‘Lamiafinanza.it’. The elements of uncertainty in the markets After the stock and bond markets recorded positive results during 2023, the beginning of 2024 was also characterised by optimism on the part of market par ...
Continue readingHere is an example of an asset allocation that takes both growth and quality of companies as criteria: the result is a portfolio that contains, among the largest exposures, companies with solid business and international calibre. Concentration of investments in North America Das Investment magazine described the investment strategy of David Dudding, portfolio manager of the CT (Lux) Global Focus fund of Columbia Threadneedle Investments. The fund concentrates its investments mainly in North Am ...
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