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Chris Watling
leads Fodder this week, arguing that
Brexit may
become another "1453 year" for the UK, a year in
which it turns inward before once again looking
outwards. Harvard's
Professor Ken Rogoff writes about the two
"best" (but currently off limits) ideas for dealing
with the zero bound on interest rates.
Marko Papic
explains that populism in the laissez faire
economies (US, UK) has far greater implications for
investment strategies than in other regions.
Michael Kitces
shows why Active Share is so useful in assessing
whether a manager's investment fee is reasonable
(earn 0.50 CE). Finally, we feature
Sam Mann's
highly rated presentation from Conference 2016 in
which he debunks some
common misconceptions about liquid alternatives
(earn 0.25 CE).
All the best for a great weekend's continuing
education - Graham
P.S.
Enrol now to undertake the Certified Investment
Management Analyst (CIMA) program, the peak,
specialist certification for anyone involved in any
aspect of constructing multi-asset, multi-manager
portfolios.
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QUOTE OF THE WEEK... |
"In
my whole life, I have known no wise people who
didn't read all the time" - Charlie Munger |
LATEST... |
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Markets
BREXIT - 1453 all over again
Over the span of history, there are few years that
can genuinely be considered as years on which the
history of the world turned. BREXIT may be one for
the UK.
Chris Watling, Longview Economics |
Opinion
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Markets
Big danger at the lower bound
Markets are fixated on how high the Fed will raise
interest rates in the next 12 months. This is
dangerously shortsighted. The real concern should be
how far it could cut rates in the next deep
recession.
Professor
Kenneth Rogoff, Harvard University
|
Opinion
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Markets/Strategies
The middle class matters
Five years after the Euro crisis, it's not just
Europe we’re concerned about from a populist
perspective but also the US and UK. Why is this is a
real risk for investors?
Marko Papic, BCA Research
|
Opinion
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Investing
Use Active Share to assess management fees
Active Share can
be an effective way to evaluate the appropriateness
of a fund manager's fee. Low Active Share funds
should come with index-fund-like fees.
Michael Kitces, Pinnacle Advisory Group | 0.50 CE |
White Paper
|
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Investing
It's time to turn to liquid alternatives
It is important to not let common
misconceptions about liquid alternatives undermine
their potential significant short- and long-term
benefits for investors.
Sam
Mann, Franklin Templeton Investments
| 0.25 CE |
Resources
* Rated
"very good" by Conference 2016
delegates
|
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What can a US president do to "rein in the finance
sector?"
The first step is full public recognition of the
dangers of which Eisenhower spoke, with ‘finance’
replacing ‘industry’. Some do. Bernie Sanders rails
against the over-weaning power of Wall St...
Jack Gray, University of Technology Sydney
|
Comment
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RECENTLY... |
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Markets/Strategies
Toxic politics versus better economics
Until recently, the expectation was that if
professional economists achieved a technocratic
consensus on a given policy approach, political
leaders would listen.
Mohamed El-Erian, Allianz |
Opinion
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|
Markets
Do the emperors wear clothes?
The belief that innovative and extremely easy
monetary policy on its own would restore a suitable
level of economic growth and inflation was wrong,
both in theory and in practice.
Dr Woody Brock, SED
|
Opinion
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Strategies
Variable withdrawals improve retirement outcomes
Variable withdrawal strategies for retirement
spending are getting more attention. Optimal asset
allocations are quite different
to rules of thumb based on fixed withdrawal
strategies.
Joe Tomlinson, Tomlinson Financial Planning
|
White Paper
|
|
Strategies
All portfolios must have an active currency policy
Currency impacts can wash out over time, but its
tidal forces are strong and independent of a
client's retirement time frame. Currency is both a
risk and an investment opportunity.
Dori Levanoni, First Quadrant | 0.50 CE |
Resources
* Rated
in the top 10 presentations by Conference 2016
delegates
|
|
Markets/Investing
Not all Australian income funds are fit for purpose
As the Australian bond market grows and sub-sectors
emerge, investor must ask – is my defensive
allocation true-to-label?
C Jamieson, A Coote & P Chin, Jamieson Coote Bonds |
0.25 CE
|
White Paper
|
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Doug's Tent - maybe better?
I'm not really in Michael's bond tent or Doug's
tent. I like Doug's point about dollar cost ravaging, but not necessarily his remixing. I note the danger
zone however I recommend analysis take into
account the contributions in those last few years
before retirement...
Mark Hayden, Hayden Financial Services
|
Comment
We must change our legacy for the better?
We’re all part of and therefore contributing to the
system. Admitting to its flaws and having the
courage to ask the question knowing it will make us uncomfortable is at least being honest.
That's worth something and likely means we're not
making the system worse...
Jack Gray, University of Technology Sydney
|
Comment
It's about feeding your family
Commentary about house prices in Australia has very
little to do with manufacturing plants continuing to
shift offshore to Mexico. Despite all the free-trade
rhetoric, the increasingly lowly paid middle class
in the USA have finally worked out that you just
cannot outsource all jobs offshore...
Steve Blizard, Roxburgh Securities
|
Comment
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