In The Press

2017 has been a significant year for global equity markets Riding the wave of low interest rates, abundant liquidity and solid global growth, the MSCI global index advanced by almost 25% to new highs. [CHART 1] Remarkably, this has been achieved with an almost unprecedented lack of...

World equity markets are on a tear, driven by synchronised global economic growth – on track to expand by 3.6% this year, the fastest rate in six years. The world index hit a new high in September and the US market experienced its first 8-quarter...

Global economic growth remains positive, advancing steadily in a more balanced and sustainable manner. Corporate profits have responded with some vigour and are recording double-digit gains, well ahead of the slow to negative momentum of the 2014 to 2016 period. Worldwide equities have embraced the more buoyant...

In the US, the Fed announced its widely anticipated interest rate hike in March.  This was accompanied by dovish commentary which suggested that only two further increases were likely this year – despite near-full employment and core inflation already bouncing around the Fed’s 2.0% target...

The fiscal restraint imposed on the world as a result of the global financial crisis has markedly curbed excessive budget deficits. Since the depths of the recession in 2010, the OECD countries have cut their overall deficits from 8.0% to 3.2% in 2015. [CHART 1] Nevertheless,...

Global equities have been on a roller coaster ride in 2016 – down 12%, then up 16% and likely to end the half year largely unchanged. [CHART 1] This heightened volatility will probably become one of the many ‘new normals’ in the post global recession environment. We are,...

Investors had to work their way through a tumultuous first quarter as widespread forecasts of an imminent global recession gathered momentum – despite no meaningful evidence that the slower world growth was anything more than a temporary slowdown. The impact on equities was severe with...

Talk about a perfect storm!! The tragi-comedy that is South Africa deteriorated into a horror story as our self-serving President did the unthinkable by firing the wellrespected finance minister and appointing a lowly lap-dog in his stead. It could hardly have come at a worse...

The past year was a roller-coastal ride for global markets. The start of the year was dominated by resurgent fears of a recession in the US, with inevitable international repercussions. This triggered a dramatic plunge in sentiment worldwide, manifesting itself in tumbling equity prices. The MSCI...

We have for some time cautioned investors that future returns from equities will not match those of the past. It is probably worthwhile to expand on the reasons for this. At the macro economic level, the Great Recession has indelibly focused governments and central banks...