Pendal Group

There were clear winners and losers in 2016/17, both at an asset class and investment-specific level. Share investments were the place to be but badly timing when to buy and sell could have resulted in very different outcomes. Trump, Brexit, Frexit, Nexit and no exit (in the case of Italy’s... Show More

Pendal Group

One of Samsung Electronics’ flagship products, the Galaxy Note 7 smartphone, has become infamous for its tendency to catch fire. Or as Reuters put it, “Samsung’s latest invention: a fireproof box for Note 7 return.” The company’s attempt to satisfy Note 7 owners has been poorly executed and the Note... Show More

Pendal Group

September was a reasonably volatile month as the markets had to digest key meetings from the ECB, BOJ & Fed and deal with a renewed focus on the viability of Deutsche Bank, after the US Department of Justice (DOJ) put forward their opening bid on the mortgage-securities cases fines. The... Show More

Pendal Group

The Federal Reserve managed to out-dove the markets yet again in September and now view interest rates as only ‘moderately accommodating’. Given how quickly their estimates of the neutral rate are falling they may well have completed the tightening cycle after only 1 hike. The clear message from the three... Show More

Pendal Group

Investment properties have been flavour of the decade for many investors, with house prices rising rapidly in cities like Sydney and Melbourne. But as this bull market flattens, it’s time to look at the number of alternative (and ‘tenant free’) ways to invest in property. In 2016, listed property stocks... Show More

Pendal Group

In September, Australia posted its highest Gross Domestic Product (GDP) growth numbers in over 4 years – but does this mean the Reserve Bank of Australia (RBA) has an interest rate hike in store? The answer lies partly in understanding the terms of trade and some other key factors that... Show More

Pendal Group

Clients and regular readers will be aware of our top-down, country-driven process, which seeks to identify the most attractive emerging equity markets. The growth outlook and market-level valuations are key components of our process, but so are the economic sustainability of growth and the political environment. It is these last... Show More

Pendal Group

Since 2011, the constant descent into deflation has benefitted assets that have interest rate exposure or directly benefit from falling inflation. This includes such assets as government bonds, credit securities, shares in industrial companies, property, and infrastructure. Assets that benefit from rising inflation include inflation-linked bonds, shares in resources companies,... Show More

Pendal Group

Nothing to see here, move along; the risk-on move since the Brexit vote has been nothing short of outstanding. Emerging markets are the flavour of the month and inflows into high yield and low-grade bonds are at record highs. What’s not to like? Nothing at all. I often think our... Show More

Pendal Group

We believe the Brexit vote was a symptom and not the cause of the underlying economic and political issues globally; the average voter feels abandoned by the economic and political elite and are making their voices heard. This is a secular not cyclical shift and we believe it will have... Show More

Pendal Group

Crispin Murray, BT Investment Management’s Head of Equities says the general trends that drove markets higher over the past couple of months may see a significant reversal this week – and possibly for several weeks to come – as a result of Friday night’s disappointing US non-farm payroll figure. The... Show More

Pendal Group

We are now approaching the endgame, and things are changing. We are now squarely in the middle of a crisis of confidence, but crucially this is the big one - it's a crisis of confidence concerning the functioning of central banks and the entire fiat monetary system. The markets are... Show More

Pendal Group

The standard approach to EM equity is to focus on bottom-up company analysis and stock selection and top-down factors are a secondary consideration at best. The dominance of this view creates opportunity, as we feel that the bottom-up consensus alternatively ignores, and then overreacts to, top-down drivers. A particularly powerful... Show More

Pendal Group

Albert Einstein once said the definition of insanity was “doing the same thing over and over again and expecting different results” but unfortunately, that is the operating manual of many global central banks. Seven years of massive monetary stimulus has failed to push growth or inflation to acceptable levels. The... Show More

Pendal Group

There were two pieces of good economic news in March. First, GDP growth for the year to the December quarter 2015 was reported at 3%, the highest reading since the March quarter of 2014. The unemployment rate also fell, from 6% to 5.8%, despite a third successive month of only... Show More

Pendal Group

We believe market volatility is set to expand significantly in the near term. Investors are growing more and more disillusioned with the rhetoric of unqualified optimism. Things are not getting better and because of failed expectations, the threat of a concerted risk asset sell-off climbs higher. Show More

Pendal Group

We believe are in early stages of a credit event where increasing Corporate defaults translate into higher unemployment, weaker consumption and dampened business sentiment. For the past 15+ years, a number of emerging market and commodity-driven countries have been rewarded by the secular upturn in resource prices. Foreign capital soon... Show More

Pendal Group

The world is headed for further deceleration. According to our Global Leading Indicator (GLI) model, which identifies trends and turning points within the economic cycle, the current environment is braced for more faltering growth as China and other emerging markets trace a downward spiral. Despite periodic positives out from the... Show More

Excellent little company. Have improved their disclosure and explanation of revenue which should assist their cause.

On A Microcap with a Big Future -