I attended a quite interesting presentation yesterday organized by Schroder on emerging markets. Two fund managers presented on equities and debt. The head of EM debt absolute return strategies had a very interesting analysis of the current environment.
Howard Marks published a new memo dated Jan 23 and there are some interesting remarks regarding the current environment. Continuer la lecture de « Howard Marks: Price And Value Are Still The Name Of The Game »
According to Investopedia a « melt-up » is a « A dramatic and unexpected improvement in the investment performance of an asset class driven partly by a stampede of investors who don’t want to miss out on its rise rather than by fundamental improvements in the economy. »
This is exactly what could happen to financial markets, according to veteran value investor Jeremy Grantham. Continuer la lecture de « Are We on The Verge of Final Melt-Up Before the Next Krach ? Jeremy Grantham Thinks So »
Despite tight or reasonable valuation, equities still make sense for JPMorgan.
Altran Technologies has decided to be bold, both in strategic and financial terms. The engineering services company has agreed to pay $2 bn for Aricent (a US-based rival owned by private equity firms KKR, Sequoia Capital and a former unit of Flextronics), valuing the company twice as much in terms on EV/Sales ratio based on LTM numbers. Continuer la lecture de « Altran: American Dream »
In its « Risk Reversal » Europe 2018 outlook report, Exane BNP Paribas recommends to keep a value bias and prefer Oil & Gas, Travel & Leisure, Healthcare, Telecoms, Banks and Insurance sectors. Continuer la lecture de « In 2018, Stay Away from Cyclicals – Exane »
So far, 2017 returns have been good for US equity investors. 2018 won’t repeat that, according to Morgan Stanley’s strategists in a report published today. Continuer la lecture de « Expect More Volatility in the US Equity Market – Morgan Stanley »