by admin | Oct 31, 2013 | Uncategorized
Passive investing in market index funds has been labelled a “parasitic” business. However, re-designing index rules to account for corporate moves such as mergers and acquisitions could make passive the new active. This year’s Nobel Prize in...
by admin | Oct 13, 2013 | Uncategorized
At a conference in 1995, Rex Sinquefield – who set up the first S&P index fund in 1973, quipped that it was only the North Koreans, Cubans and active fund managers who didn’t believe that markets worked. The overwhelming evidence that the vast majority of active...
by admin | Oct 4, 2013 | Uncategorized
Thomas Aubrey and Giacomo Le Pera have a new paper on measuring systemic risk to improve credit portfolio management The paper argues that the correlation calculations embedded in the Basel rulebook are unable to provide useful estimates of the systemic risk factor...
by admin | May 10, 2013 | Uncategorized
Ben Bernanke today spoke about how the Fed closely monitors asset prices. In his speech he stated: “For the purpose of safeguarding financial stability, we are less concerned about whether a given asset price is justified in some average sense than in the possibility...
by admin | Apr 24, 2013 | Uncategorized
At the beginning of 2013, Credit Capital Advisory put out a note on asset allocation and how credit based disequilibrium models can help understand the general direction of equity price movements. This was the general summary: The ex-ante estimates for 2013 show a...
by admin | Mar 20, 2013 | Uncategorized
The Chancellor of the Exchequer’s big new idea is to more than double the amount of subprime loans in order to expand home ownership. This will of course lead to a housing boom, fuelled by falling credit standards, and then a spectacular bust costing the UK tax...
