2019 is a brand-new year, but the global financial news from 2018 is still with us. After a year of updates on Brexit and the US-China Trade War – the endgame is in sight. How will the asset management industry fare in the New Year with ETFs and ESG investments? Can we expect more stock market faux pas from automated selling? Let’s take a virtual trip around the world to broaden our perspective.
Fund Management Under Brexit Fire
Boasting the highest value of assets under management, UK investors face fears that their reign will fall in a post-Brexit Britain. In a recent survey from State Street – ‘The Impact of Brexit on the UK Fund Management Industry’ – the market anticipates that the UK’s AUM will dramatically decrease in 3 years.
Blind or ‘Good Faith’: Will the US-China Trade War Ever Get Resolved?
The Chinese Foreign Ministry is positive that the trade talks with the US will resume with resolve. Expecting a “good faith” outcome, China and US officials will be meeting in Beijing this week, which marks the first time since Presidents Trump and Jinping agreed to a truce at the end of 2018. Do you have good faith about the meeting too?
From Slump to Soar: Canada’s Stocks Seem to Be on the Rise
After experiencing the worst decline over the past decade, it seems the synonymous upbeat nature that we associate with Canadians will pay off! The experts are predicting that the S&P/TSX Composite Index will reach 16,644 by the end of 2019, which is a whopping 16% increase from the final numbers crunched for 2018. Is this possible or a just a pipe dream?
Australia vs. Automation: The Computer-Driven Crash
A tirade of automated selling caused a controversial outcry on the Australian stock market last week. The trigger-happy sales against major currencies took the AUD to brand-new depths. It was literally the greatest ‘intra-day’ nose dive on the record, taking a dip by 4% on the USD and down even further by 5% on the yen. But what saved the day? Humans, that’s who!
Why You Should be Applying the Values of ESG to EM
Due to the progress and advanced income of many EM countries, the concept of Environmental, Social and Governance (ESG) is being welcomed more and more to invest in Emerging Markets (EM). L. Bryan Carter and Helena Viñes Fiestas from BNP Paribas Asset Management explain why even the poorest countries can benefit from ESG investments to help alleviate the struggle against EM debt.
WTF ETFs? The Worst Performers of 2018
Exchange-Traded Funds (ETFs) were not great in the US last year. However, the results were even more dismal in Europe. Two of the biggest ETFs published significant losses, with Vanguard FTSE Europe down 18% and iShares MSCI EMU down 19%. The results were so dismal, in fact, that the broad equity benchmarks revealed that Europe experienced the worst performances since the year of the Financial Crisis. Will the ETF future be brighter in 2019?
Sources: Markets Media, Yahoo! Finance, Business Times, Asia Asset & ETF Trends
Learn more about the financial news that affects you by attending The Summit for Asset Management (TSAM) London on 28th February.