Articles
Education - 4 min
A Potential Shift for the Fed? The detail beneath the optimism
It is almost a year since the Fed raised interest rates to their current level of 5% to 5.25%, the highest in 23 years. Many market commentators have been asserting the desirability of lower rates for business and the economy. Some have asserted that it is even necessary to avoid recession. Few believed, however, that a rapid series of rate cuts were likely in the short-term. All that has changed in the past few weeks. But what has changed, exactly? And should we be swayed by this sudden change in sentiment? In this article, we’ll find out.
Jul 23, 2024
Education - 4 min
Why the Future May Be Brighter Than Many Are Predicting
There is no shortage of doom and gloom in the headlines and economic commentary these days. And to be sure, there is plenty of data to back it up. Challenged government balance sheets and geopolitical brinkmanship are not a recipe for a rosy growth outlook.As investors, we know that opportunities always exist, whether the macro picture is bright or bleak. We are also accustomed to taking a fresh look at the facts rather than piling into the latest bandwagon or being pulled along by the latest groupthink.In this article, we examine a key driver that could alter the face of the coming decade and its economic prospects: productivity.
Jul 18, 2024
Education - 4 min
Staying Private: Why Companies are Delaying IPOs
Companies have always relied on private capital - from banks, personal funds, and specialist early-stage investors such as venture capital firms - to finance the early stages of their business.Upon reaching a certain size, the most efficient way to obtain additional growth capital has traditionally been to ‘go public’, or in technical terms, to hold an Initial Public Offering (IPO). Public companies have access (via capital markets) to the full, potential universe of investors, from institutions to individuals.
Jul 3, 2024
Education - 4 min
Strategic Succession Planning: Ensuring Legacy and Prosperity
Family-run businesses are a pivotal force behind the MENA economy. In the GCC alone, they make up 50% of private sector GDP. Ensuring growth and preservation is important therefore not only for the families themselves, but for the region as a whole.Succession planning - ensuring that a business continues to thrive across generations - is no easy task. But with sufficient time, planning, and resources - it is possible. In this article, we examine what this involves in more detail.
Jun 12, 2024
Education - 3 min
The Greatest Risk in Investing (And What to Do About It)
There is a well-known joke that an economist is a person who will explain to you tomorrow why the things they predicted yesterday didn’t happen today. This may not be fair to economists, but it is fair to say good investors are wary about predicting the future, as it is fundamentally unpredictable. That doesn’t mean we are helpless in the face of risk. On the contrary, risk management is a crucial part of achieving one’s financial goals.
Jun 5, 2024
Market Insights - 3 min
Fed June Meeting: Breaking The Stalemate
The next Federal Open Market Committee (FOMC) meeting is scheduled for June 11-12, 2024, and is widely expected to see rates held at their current level of 5.25%-5.50%, where they have been since July 2023. In this article, we dive into the underlying data and attempt to sift the market facts from the market sentiment
Jun 2, 2024
Market Insights - 3 min
Embracing the Power of Private Markets: A Strategic Shift in Investment Approach
In a recent interview, Marc Rowan, CEO of Apollo Global Management, revealed that 80% of companies generating over $100 million in revenue are private. This number calls for a thorough reevaluation of the traditional focus on public equities, particularly when considering the vast landscape of investment opportunities offered by private markets. These markets provide a distinct avenue for investors seeking long-term growth and value creation.
May 26, 2024
Market Insights - 3 min
Welcoming Back the ‘Old’ Normal: Opportunities in a High Interest Regime
In 2022 inflation reached levels not seen since the early 1980s. Naturally, the immediate priority has been to bring this inflation down. While runaway inflation has been avoided without (so far) triggering a recession, there is a growing sense that higher-than-target (i.e. >2%) inflation and, by implication, higher interest rates, are here to stay. The implications of this are profound. In this article, we examine how investors can not only plan for an era of higher rates and inflation, but also how they can benefit from it.
May 5, 2024
Market Insights - 3 min
A Bump in the Road: What Will the Fed Do Next?
At the start of the year, the Federal Reserve could look back with satisfaction on its progress in the fight against inflation. The first three months of the year, however, have cast doubt as to whether the fight has been won, or is even in the final stages. Currently, the market is abuzz with speculation about when, and whether rates will go down this year. How can we make sense of this as investors?
Apr 23, 2024