Insights

Investment Insights by our experts and thought leaders

South Africa at a Crossroads

The imminent party election will be crucial in determining this major Emerging Market’s future.

Shale to the Chief: Can US Shale Oil Keep Up the Growth?

Having recently returned from the US, Stefan Hansen, Senior Research Analyst at Nikko AM Australia, shares his thoughts on US shale oil production and the potential impact on the oil price.

Japan’s “Show Me the Money” Corporate Governance

The implications of a surprising decline in non-manufacturers’ profit margin.

Canada and Australia are not the same

From an economic perspective Canada and Australia share some common features, but we would caution that the performance of the two economies is substantially different than generalisations would suggest.

Uncertainty in Germany – What are the options?

Even as the situation in Germany to form a new government is difficult, financial markets have reacted very mildly to the uncertainties.

May's Position in Question?

We think it is unlikely that May will be replaced within her own party. This is because there is a lack of an heir-apparent, and the Conservative Party would be extremely reluctant to even slightly increase the risk of another election.

Forbes: Powell & Some Fed Board Nightmare Scenarios

“Hopefully for the markets, the Fed transition will be smooth, but it might not be and hawkish Presidents may have much greater influence.”

John Vail, Chief Global Strategist for Nikko Asset Management, contributes a regular column to Forbes.com

New Zealand's New Centre-Left Government Makes for Uncertain Times

Just as politics in other developed countries have recently taken on a more populist and/or anti-capitalist tone, so too has New Zealand’s.

Abe’s New Bull Market in Equities and Home Values

The Case for Abenomics and global reflation leading to a TOPIX level of 2500 in two years’ time.

A Pickup in the Chinese Economy – What to watch

To help bridge the gap between the perceived unreliability of Chinese statistics and the importance of analysing the world’s second largest economy, we look for measures which have less potential to be manipulated.

Will Investors Be Ready When Chinese Bonds Go Global?

Most bond index providers have started to recognize China’s financial market liberalisation and reform efforts. We think it is only a question of time before they are included in the main benchmark indices.

Asia High Grade Credit – A better European approach to Emerging Market Debt

A separate allocation to Asia IG offers European investors a way to mitigate risk within their EMD exposure.

The Rise of Chinese FDI into ASEAN

Our senior fixed income portfolio manager in Singapore explains why he is bullish on ASEAN currencies for the long-term.

House View: Global Economic and Equity Reflation Despite Less Dovish Central Banks

Despite geopolitical risks and less dovish central banks, the Global Investment Committee remains moderately optimistic about the global economy and equity markets, while being cautious on global bonds.

Germany's Election Results – What now?

Despite the uncertainty surrounding the time it will take before the formation of a new government, we do not think there is risk of major policy change in Germany. The election outcome, however, will likely weigh on the aspirations of France’s Macron for deeper Eurozone integration.

Developed Asia-Pacific: Growth Dynamics in Asia-Pacific – Crucial Differences in the Region

Given the shifting dynamics in the region, for investors interested in Asian equities, there are multiple options depending upon the level of risk they are willing to assume. This paper looks at the outlook for several countries in Asia-Pacific.

The Dangers of Averaging

When there are structural changes, simple data averaging often leads to wrong conclusions.

Japan Equity Outlook: “Investing in Japan vs. investing in Japanese companies”

Investing in Japan is not the same as investing in Japanese companies. Given the increase in their overseas exposure, we believe it is a good time to revisit opportunities in Japanese companies.

Forbes: New Info Shows Coordinated Monetary Policy Tightening Ahead

“There was an upward surprise in the US CPI data today, with the CPI exceeding the month-on-month (MoM) consensus estimate”

John Vail, Chief Global Strategist for Nikko Asset Management, contributes a regular column to Forbes.com

“Although Mester and Yellen do not align closely with Trump’s values, they are at least professional central bankers and can likely be relied upon to drive a non-political, non-confrontational but most importantly a safe course for monetary policy and bank regulation.”

John Vail, Chief Global Strategist for Nikko Asset Management, contributes a regular column to Forbes.com