The Capital Growth Channel

The Risks and Opportunities in Emerging Markets

For the past 30 years, emerging markets have provided return enhancement and risk diversification opportunities for global equity investors. That has been fueled by the liberalization of the Chinese capital market, which comprises about a third of the allocation to emerging market indices. In 2019, emerging markets have been volatile, driven by changes in U.S. monetary policy, increasing political uncertainty and deteriorating conditions for international trade. My guest, Peter Gillespie, and I discuss whether these factors are temporary or will have a long-lasting impact.

Matthews Asia - Opportunities in Emerging Markets

The emerging markets (“EM”) equity asset class has evolved considerably over the past decade such that many active EM equity managers may find it challenging to create long-term alpha over the benchmark. Countries such as China and India are moving to the fore, historical drivers of growth are changing and technology, innovation and health care are becoming a larger part of the opportunity set. It has been difficult for EM investment teams to keep up with these changes. My guest today, David Dali, wrote those words in a recent commentary, and we discuss how he and his team are positioning to adapt to that changing landscape.

Problems Solved?

Brexit and trade talks provided lots of uncertainty this year. Last week saw progress on both fronts.

Expecting a Market Downturn? Make Sure You’re Following the “Noah Rule”

Predicting a major economic or financial event—whether that’s a recession, market downturn or even your own retirement—requires that you also take action. Otherwise your prediction was meaningless.

S&P 500 Snapshot: Another High

The index reached another new high today, closing at 3168.80. It is mostly unchanged from Thursday, up 0.73% from last Friday, and is up 26.41% YTD.

UK Election: Will Tory Victory Bring Investors Back to UK Equities?

As widely expected, the Conservative Party emerged victorious in the UK general election. Our Colin Morton anticipates UK equity markets will welcome the outcome, but cautions that some uncertainties remain.

UK Elections: Conservatives Win Big, Brexit Will Happen – What Kind of Brexit Is Still Unclear

While the election outcome was quickly reflected in the pound exchange rate, the direction from here depends on what kind of relationship Boris Johnson really (really) wants to have with the EU. Find out more from our currency expert.

What Boris Johnson’s Election Victory Means for UK Assets

We expect to see flows back into UK equity and credit now that some of the Brexit uncertainty has been removed.

Retail Sales: Up 0.19% in November

The Census Bureau's Advance Retail Sales Report for November was released this morning. Headline sales came in at 0.19% month-over-month to one decimal and was below the Investing.com forecast of 0.5%. Core sales (ex Autos) came in at 0.12% MoM (to two decimals).

Fed Holds Rates Steady, as Expected

The Federal Reserve left interest rates unchanged, as expected; while signaling rates would stay in their current range through next year.

The Right Way to Value Growth Stocks: Part 3

In part 2 of this series I focused on how to value slow and moderately growing businesses. In this article, Part 3, I will shift my focus on how to value faster growing companies (growth stocks).

Troubled Times Can Give Birth to Opportunity

Asia goes into the global deceleration with already-lean companies and a valuation advantage.

Changing Speeds?

A review of last month’s market-moving events across countries and asset classes.

China A-Shares: An Opportunity in Strategic Exposure

Why should investors pay attention to the China A-share market? We explain why we believe the opening of one of the most liquid and diverse markets in the world has profound implications for global portfolios.

Advisors and Clients Walking past Each Other on Sustainable Investment

Did you know that more than $12 trillion in assets under management are engaged in one or more strategies of sustainable investment in the United States? This comprises more than 25 percent of the professional managed assets across the country and is a 38 percent growth from 2016 figures.