Equity and bond markets have been behaving well these past few years. Despite a slowdown in returns and a few wobbles towards the year end, 2014 was a fairly good year for investors. The MSCI World Index returned 4.8% while the Barclays Global Bond Index returned 3.8%. Clever positioning would have earned the average investor

The economy has a natural rhythm, a natural metabolism, a natural rate of growth. These growth rates are determined broadly by the endowments of natural resources and the people, how many there are, how quickly they grow, their age distribution, and their intellect and enterprise, and the tools which were made by these people to

What is the situation in Greece? · Government finances have been improving during the austerity measures,  the current account is now in surplus, the budget in primary surplus and economic growth has recovered, however, unemployment has risen sharply to 26%. · Syriza has chosen a far right nationalist party, the Independent Greeks as their coalition

“Neither a borrower nor a lender be; For loan oft loses both itself and friend, and negative yields dulls the edge of policy.” Now many countries are both. 10 year Swiss and German government bonds currently carry a negative yield. When one moves to shorter maturities, such as 2 years, we find that France, Germany,

A compromise for Greece and the troika.   A debt exchange offer. New debt at much extended maturities. Face value smaller than existing face value. New debt to feature step up coupons to equalize the NPV of cash flows versus the existing debt. Effectively a refinancing.   Very quickly after winning the Greek elections, Syriza