Harvesting the Size Factor Premium

Factor investing is a well-documented method of generating excess returns, but some of the practical aspects of it are often overlooked in academic research, which tends to focus on “pure” premiums. Investors wanting to access these factors – size, value, volatility, momentum, etc. – are presented with a number of investment alternatives that aim to Read more […]

PMIs vs. Pan Asia Bond Markets

The China PMI continued to show deterioration while the headline PMIs for other countries like South Korea, Taiwan and Indonesia also ticked down.  The market is expecting more easing to come in order to support the growth. As of May 15, 2015, the S&P Pan Asia Bond Index rose 0.10% this month, bringing the year-to-date Read more […]

The Rieger Report: Munis Face an Unholy Trio

Three storms are converging on the municipal bond market: supply, interest rates and bad news headlines – a powerful trio of bad news for the municipal bond market. The S&P Municipal Bond Illinois Index is down 1.55% for month-to-date and is the worst performing state index for the month so far.  The index is down 1.16% Read more […]

European Government Bond Markets Continue Sell-Off With the Exception of Sweden & Norway

Most European government bond markets continued their downward spiral during the week of May11th, 2015, led by a sell-off in US Treasury markets.  New supply from the US Treasury pushed yields up (bond prices down) and aided a global downward trend.  Europe is showing its sensitivity to uncertainty over when the fed will start to Read more […]

Offering Choices…The S&P BSE AllCap

The importance of choice is gaining ground in all areas of life.  I really resonated to the latest advertisement from Amazon, “Hindustani Dil Kahta Hai, Aur Dikhao, Aur Dikhao!” (“The Indian heart says, Show me more, show me more!”).  I would agree that choice is not only important in our day-to-day lives; it also holds Read more […]

A Big Step Forward for Saudi Arabia’s Equity Market

On May 4, 2015, the Saudi Arabian Capital Market Authority (CMA) released the “Rules for Qualified Foreign Institutions Investment in Listed Shares,” or the QFI program, setting the stage for institutional investors based outside of the Gulf Cooperation Council (GCC) to make direct investments in Saudi Arabian equities for the first time.  Although additional steps Read more […]

What are the Missing Pieces in Chinese Fixed Income?

As of April 30, 2015, the fixed income ETF market in China totaled CNY 8 billion; it is only 0.03% of the total market value tracked by the S&P China Bond Index.  The fixed income ETF market in China is small when comparing with that of the U.S., which totaled USD 321 billion as of the Read more […]

Foreign Investor Access to Onshore Chinese Bond Markets Grows

China continues to broaden foreign investor access to their onshore bond market. Luxembourg is the latest country being granted an RQFII quota by the People’s Bank of China, followed Canada, Germany, Qatar and Australia.  According to the data published by State Administration of Foreign Exchange (SAFE) on April 29, 2015, the approved RQFII investment quota Read more […]

The Essence of VIX: What You Really Need to Know

What is the essence of VIX? This may seem like an abstract, philosophical question, but I can assure you it is not. It is a practical one, and if you can understand what makes VIX unique, you will know why this index matters so much. Informed investors know that VIX: Employs a wide range of options Read more […]

SPIVA® Europe Scorecard 2014: How did active funds perform versus their benchmarks?

Published every six months, the SPIVA Europe Scorecard aims to measure the performance of active funds against their corresponding benchmarks.  The results for the Year-End 2014 Scorecard are now in, and they reveal few surprises. Euro-Denominated Funds In spite of a slight improvement in the last quarter of the year, growth in Europe for the Read more […]