Föhrenbergkreis Finanzwirtschaft

Unkonventionelle Lösungen für eine zukunftsfähige Gesellschaft

Archive for 25. Februar 2017

Tony Blair’s Democratic Insurrection

Posted by hkarner - 25. Februar 2017

Posted in Artikel | Verschlagwortet mit: , , , | Leave a Comment »

Posted by hkarner - 25. Februar 2017

Date: 24-02-2017
Source: The Wall Street Journal By JAMES MACKINTOSH
Subject: Can You Make Money in a Euro Collapse?

In a euro breakup scenario, there are a few ways bond investors can protect against a redenomination into a devalued currency

As Europe is roiled by fears of a breakup of its currency, investors and lawyers have begun digging through bond documentation in the hope of finding ways to protect themselves against the possible return of the franc, lire and deutsche mark.

The plethora of bonds available offer many ways to bet on the possibility of the end of the euro. One opportunity comes from ancient bonds dating from before the single currency was created, another from bonds sold under English rather than French or Italian law. But so far, investors seem to be making significant bets on only the simplest option—that of switching to the bonds of safe countries such as Germany, even though the safety that its bonds appear to offer could prove illusory in a worst-case European breakup.

There is no sure-fire way to protect an investment against what would be the biggest default in history—the redenomination of French or Italian bonds from euros into new francs and lire. Even though the bonds would be paid in full in francs or lire, investors paid in the devalued currencies would still class it as a default. Den Rest des Beitrags lesen »

Posted in Artikel | Verschlagwortet mit: , , , | Leave a Comment »

The Battle for Britain

Posted by hkarner - 25. Februar 2017

Posted in Artikel | Verschlagwortet mit: , , , | Leave a Comment »

European Central Bankers Don’t Like What They’re Hearing From Trump

Posted by hkarner - 25. Februar 2017

Date: 24-02-2017
Source: The Wall Street Journal

Political style and economic policy, particularly protectionism, concern pro-globalization policy makers

trump-ccPresident Donald Trump, has sent up enough protectionist flags to concern EU central bankers.

Two top European central bankers had harsh words about the economic policy coming from the U.S. in remarks Thursday.

The establishment of protectionist policies in the U.S. risks undermining a key element to wealth, the head of Germany’s central bank said.

The blunt language reflects the concern felt across the globe from policy makers as they try to make sense of President Donald Trump’s unconventional economic policy and political style.

“The U.S. erecting trade barriers leading to other countries becoming more protectionist would, I firmly believe, potentially call into question one of the key pillars of our prosperity,” said Jens Weidmann in the opening of the central bank’s annual report.

The new president’s administration has angered many in Germany by accusing Europe’s largest economy of unfairly benefiting from an undervalued euro. Den Rest des Beitrags lesen »

Posted in Artikel | Verschlagwortet mit: , , , | Leave a Comment »

Are technology firms madly overvalued?

Posted by hkarner - 25. Februar 2017

Date: 23-02-2017
Source: The Economist: Schumpeter

Three financial sanity tests for whether there is a bubble

madly-overvaluedIS THE technology industry in La La Land? There are alarming signs. House prices in San Francisco have risen by 66% more than in New York over the past five years. Even at the height of the dotcom bubble in 2001, the gap was lower, at 58%. Shares of technology firms trade on their highest ratio to sales since the turn of the century. Four of the world’s most valuable firms are tech companies: Apple, Alphabet, Microsoft and Amazon. Snap, a tiddler with $400m of sales and $700m of cash losses in 2016, is expected to list shares on March 1st that will give it a valuation of over $20bn.

For companies and investors in any industry, it is hard to work out if you are living in a bubble. To help, Schumpeter has created three sanity tests for global tech firms. These examine their cashflow, whether investors differentiate between companies, and whether forecasts of their future earnings suffer from a fallacy of composition. The exercise suggests that tech valuations are frothy, but not bubbling. Den Rest des Beitrags lesen »

Posted in Artikel | Verschlagwortet mit: , , | Leave a Comment »