Category: Long Term Investment

Is the Gun Industry Accurately Priced? A Short Analysis

Introduction The aim of this article is to analyse the current price valuation of the biggest players in the gun manufacturing industry, trying to assess if they are correctly priced. We will begin with a brief overview of the recent past in the guns industry, followed by an extensive analysis of our short-term position, and […]

Boosting Infrastructure: More Pain than Gain

The rhetoric for increased infrastructure spending as a fiscal stimulus has been particularly popular this fall. Firstly, Mr. Trump in his campaign claimed that he is going “to fix inner cities and rebuild highways, bridges, tunnels, airports, schools and hospitals”. Also, Phillip Hammond, the UK chancellor, in his Autumn Statement last week announced plans to […]

Trumponomics: Profit with Inverse ETFs

This article will introduce an unconventional way to profit when interest rates rise using inverse ETFs. We will show the upsides and downsides of these tools, focusing on how they could be used in today’s American market. Inverse ETFs could be a useful tool to deal with the possible future bear shift in the bond […]

Argentina: A Land of Opportunities?

The focus of this article will be on the Argentinian government debt and potential upsides and downsides it faces. We will examine the attractiveness of their fixed income market by observing the current political situation in the country, the performance of neighbor countries as well as the global economic outlook. The New Government In November […]

Special Report – Oil: an impossible trade

Oil has long been one of the main drivers of the worldwide economy and for this reason it is closely watched by all investors and traders. The central role of what, back in the days, was called the “Black gold” is given by its high cross asset correlation. It has the power of leading the […]

Rise of the Chinese Zombie Firms

As the Financial Times has very precisely coined it, “The end of the Chinese miracle” is referred to the end of an era where Chinese villagers, precisely 277 mn of them, migrated from rural areas to the cities in order to work for factories. This was an unprecedented flow of mammals from one area to […]

Market Recap 03-10-2015

BSIC Weekly Market Brief United States The major benchmarks were mixed as worries over China’s waning commodity demand and the potential for new rules on drug pricing gave way to a late-week rally. Stocks fell sharply at the start of the week, reaching back toward the lows that they had established at the end of […]

Corn and wheat: a stable (cointegrating) affair

Given the recent market volatility, and the prolonged commodity rout, we decided to investigate whether some long-term relationships are still present on the market. And, of course, we looked for potential trades arising from the situation. We analysed different commodities on different time-frames (from 5-minute to weekly data). While noise seems too strong and liquidity […]

Hong Kong – Shanghai Connect: A bridge to nowhere?

What is the Hu-Gang Tong? On November 17, China took another leap in opening its markets to foreign investors with the establishment of the Hong Kong – Shanghai Stock Connect program. The so-called “Hu-Gang Tong” program will for the first time ever enable mainland residents to trade shares in Hong Kong. The program’s goal is […]

MARKET RECAP 22|03|14

[edmc id=1589] [/edmc] US Another volatile week for the markets and for the U.S. ended on Friday amid concerns over Russia. As was expected, Crimea voted for annexation to Russia on Sunday 16th and this led to further sanctions to a group of Russian wealthy individuals that rattled Russia’s economy on Friday. Equity benchmarks in […]

Time to open Pandora’s box?

Rumors about the plans to expand Itunes Radio to more English-speaking countries other than US by early 2014 led to a turbulent week for Pandora, the music streaming industry leader. With about 72 million active users, Pandora has been the first music streaming website to go public. This year Pandora has outperformed the market, with […]

‘Over the summer’ trade on commodities

Not so long ago, prices of oil, steel and gold (just to name a few) were thought to continue floating upwards forever as China entered its third decade of growing with breakneck speed. However, commodity prices have been deteriorating since 2008-2009, in line with sluggish growth and fall in demand in the developed world. This […]

The decline of Japan’s Toshiba

Japan’s Toshiba said Wednesday that its quarterly net earnings fell 62 percent from the previous year as demand for its televisions, computers and other digital products stumbled. The technology and engineering corporation said it earned 23.01 billion yen ($233 million) between January and March 2013, the last quarter of its fiscal year, down from 61.22 […]

All time record debt offering for Apple – the first since 1996

Apple, Inc. Market Cap (as of 03/05/13): $418.2 bn Transaction Size: $17.0bn   On the 30th of April Apple Inc.  has set a new corporate record. In fact, after having recently regained its position as the world’s most valuable company and having announced the largest share buyback in history, it sold $17bn of bonds, the largest corporate-bond deal […]

Long term investment: continuation of Netflix uptrend

Vanquishing markets in April 2013, Netflix has been on a stream recently. After releasing their Q1 numbers on March 31st and got higher than expected revenues, investors and markets got suddenly excited about the stock. Moreover, we’ve seen that their new programming is amassing a lot of praise from critics. House of Cards, one of […]

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