Spectrum Insights - The problem with “bubbles”
“The OECD concludes that Australia has the most over-valued housing market, with prices 52% above their ‘correct” level.“ Similar warnings continue as do the related dangers of investing in those financing the market – banks. The problem is the quote above is from December 2005. The point being, just because there is strong evidence a “bubble” exists does not mean it will burst soon. The “bubble” can last a long time and even get bigger. Something generally needs to trigger the pop. We keep looking for a catalyst and none appear obvious in the near term. Hence, to abstain from investing in the largest part of A$ corporate bond market – Australian banks – on fears that problems may emerge is, in our view, a dis-service to investors.
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Damien has around 25 years of experience in global credit markets. He has worked in Sydney, London, Hong Kong and Singapore. Much of Damien’s experience was gained from working with Credit Suisse both in Singapore and Sydney where he was Head of Asia Pacific Credit Research from 2004 – 2012. His experience captures a vast array of credit deals including mezzanine finance for both corporates and banks as well as highly structured finance facilities. In addition to Credit Suisse, Damien has worked in the credit team at AMP in Sydney, and led the credit research teams of ING Barings and Barclays Capital in Asia.
Damien holds a Masters of Business Administration from the University of Queensland, a Bachelor of Financial Administration from the University of New England and a Graduate Diploma in Applied Finance from the Securities Institute of Australia.
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Spectrum Asset Management
Damien has around 25 years of experience in global credit markets. He has worked in Sydney, London, Hong Kong and Singapore. Much of Damien’s experience was gained from working with Credit Suisse both in Singapore and Sydney where he was Head of ...
Expertise
Spectrum Asset Management
Damien has around 25 years of experience in global credit markets. He has worked in Sydney, London, Hong Kong and Singapore. Much of Damien’s experience was gained from working with Credit Suisse both in Singapore and Sydney where he was Head of ...
Expertise
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