Perspectives | Cordiant | Page 3

By: Cordiant  09-12-2011

Call me outdated but, as an investment advisor, I have always been puzzled by some of my clients’ concerns about liquidity.  Most pension funds have a duration of two decades, while most foundations and endowments have an infinite term.  They have a positive cash flow and little operational needs for liquidity.  Why, then, would they [..]

China’s interest in Africa is rooted in its experience with Japanese investment almost forty years ago. Complementary economic interests fuelled relations between the two nations as Japan became a major force behind China’s drive for modernization.  In 1973, Japan began to import oil from China.  In 1978, Japan offered to use low interest Yen loans [..]

The low level of debt in developing countries augurs well for the continuing strong growth of their economies and markets.  As Reinhart and Rogoff[1] demonstrate in their January 2010 paper, there is a strong relationship between the level of government debt and real GDP growth. For both developed and developing countries, GDP growth is highest [..]

While the limelight is on Brazil and China, we should not overlook the impressive economic achievements and prospects of India. India’s economy has grown over the last decade by seven percent per annum, reducing poverty from 35 to 25 percent of the population and raising GDP per capita to over US$3000, according to the December [..]

No prudent and forward looking asset allocation program can be designed without understanding the massive demographic changes that will reshape our world over the coming decades. The traditional classifications of asset classes no longer fit the economic and financial realities of today’s world and even less so tomorrow’s.  Basing equity classifications on the location of [..]

The information in this article was current at 06 Dec 2011


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Perspectives | Cordiant | Page 2

The following summarizes the IMF’s view on capital flows into developing countries.Developed country sovereigns have experienced 25 downgrades since early 2008, while emerging market sovereigns have seen 21 upgrades during 2010. Economic activity requires an encouraging regulatory environment and effective rules that are transparent and accessible to all.


09-12-2011

Perspectives | Cordiant - perspectives fr

The following summarizes the IMF’s view on capital flows into developing countries.Developed country sovereigns have experienced 25 downgrades since early 2008, while emerging market sovereigns have seen 21 upgrades during 2010. Most of us realize that over the last decade the roles of advanced economies and emerging markets have been reversed, but few of us have changed the structure of our portfolios to reflect this reversal.


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Perspectives | Cordiant - perspectives

Not only has the corporate landscape undergone a notable and dramatic improvement since the bottom of the financial crisis, but the high expectation of corporate default that accompanied the crisis proved to be wildly overestimated.