Monday, May 7, 2018

WSJ: What Is A 'Sudden Stop' In the Markets?

By SIMON CONSTABLE

People who invest in emerging economies should be aware that sometimes market sentiment can take a sharp turn for the worse very quickly.

It’s what economists such as Daniel Lacalle of London-based money-management firm Tressis call a sudden stop. Read more here.

Photo by Joshua Hoehne on Unsplash

WSJ: Some Active Managers Smile at the Index-Fund Robots

By SIMON CONSTABLE

Since the financial crisis there has been a consistent mantra around investing: Low-cost index funds makes the most sense because they are generally cheaper and perform better over long periods than mutual funds managed by stock pickers.

But now, some active managers are taking a new tack in making the case for their approach: They say the popularity of indexing, along with other changes in the market, is making it easier for them to find mispriced securities, resulting in a more fertile environment for stock picking than they’ve had in years. Read more here.

Photo by Jason Leung on Unsplash

WSJ: Bull Markets Die of Old Age. But Is That Conventional Wisdom Wrong?

By SIMON CONSTABLE

Is anxiety over how long this bull market will last overdone? Possibly, according to new research that suggests the life expectancy of bull markets not only doesn’t decline with age—it may actually grow.

“Once a bull market is five years old, its remaining life expectancy doesn’t diminish. If anything, it increases,” financial research firm HCWE & Co. said in a recent report. Read more here.

Nathaniel RitmeyerCC BY 4.0, via Wikimedia Commons


Wednesday, May 2, 2018

Korn Ferry: Wages and Benefits are Rising; So Is CEO Anxiety

By SIMON CONSTABLE
It’s seemingly great news, American wages and benefit levels are growing at their fastest levels in years. But while U.S. workers are cheering, the speed of the growth is forcing some leaders into facing some difficult questions about the employment costs. 
New government data showed that the costs of U.S. salaries and benefits surged in first three months of 2018. Wages grew at an annualized 2.7% clip in the first three months of 2018, the fastest increase since the Great Recession. Meanwhile, benefits costs jumped at 2.6% annualized pace, the quickest since 2015. But many executives remember that it was not even a decade ago that they were doing everything to make sure their company survived following the financial crisis, says Bob Wesselkamper, global leader rewards and benefits solutions for Korn Ferry. “They are still acutely aware that raising your cost base isn’t wise,” he says. Read more here.
Photo by Uday Mittal on Unsplash


Sunday, April 29, 2018

PJ Media: ObamaCare Could be Driving People to Drink, Study Finds

By SIMON CONSTABLE

Do you want a case of vodka with your ObamaCare this year? Or perhaps a barrel of brandy?
More people do than used to be the case, and it ain’t pretty.

Only a few years into the Obama’s signature healthcare law, also known as the Affordable Care Act, and more Americans have taken to the bottle, according to new research. Read more here.

Photo by Giovanna Gomes on Unsplash

Saturday, April 28, 2018

Korn Ferry: The To-Do List of London’s Newest Finance Leader

It has been an attention-grabbing scenario at one of the world's most visible financial institutions. Now the London Stock Exchange is getting a new leader who will face a host of challenges. 
Experts say industry disruptions like the ones facing David Schwimmer, the 49-year-old Goldman Sachs alumnus and soon-to-be CEO, are never easy, and will only become harder given the broader competition financial exchanges are facing across the globe. Indeed, few exchanges today have a lock on business the way they once did, and in the UK, the shadow of Brexit is never very far away from any financial institution. Read more here.

Korn Ferry: Your Next Corporate Benefit, Yoga Class

It’s been a great year at Company X, and already there are rumors it’s preparing to offer workers a host of new benefits. Will it be more vacations days? Changes in retirement plans? Actually, it might be stress reduction programs.
According to a recent joint study by Korn Ferry and the human resources organization WorldatWork, companies are going all-in to help workers lead healthier—and presumably longer—lives. Two out of three employers offer stress reduction programs that include yoga and massage, a jump from just over half in the year before. Telemedicine is making huge inroads, too: Three-quarters of those companies offer the service, allowing workers to access healthcare professionals by phone. Read more here.