The year of living dangerously
2012 promises a rough ride for investors. Much of the industrialised world is engaged in a deleveraging process which will take several years and have negative consequences on economic growth. As a result, the global economy is extremely fragile and it won’t take much to trigger a major crisis.
BL-Global Flexible - Situation as at 12 January 2012The net equity allocation of BL-Global Flexible as at 12 January is 47%. 95% of the fund's assets are invested in equities, with 50% of the equity exposure hedged through the sale of futures on equity indices. Endgame for the eurozone?
What with the EU summit of 26 October, the announcement and then the abandonment of the Greek referendum, and last Friday’s G20 summit, the last two weeks have certainly been turbulent for the eurozone. At the end of the fortnight, it's increasingly evident that the authorities are unable to find a solution to the crisis.
BL-Global Flexible: Investment in gold mining shares
We have invested 2% of the assets of BL-Global Flexible in gold mining companies, with an objective of gradually raising this to 5%.
Should we still be buying equities?
The last few weeks have been miserable for equity investors – the Euro Stoxx 50 index, for example, has slumped by 30% since 1st July. Whereas at the start of 2011, equity indices seemed set to return to their pre-2008/2009 crisis level, now some are even in danger of dropping below the levels seen at the very depths of the crisis.
Economic and financial environment: some key points
Recent data has shown that economic activity in a large part of the industrialised world has never fully recovered. And if you worry that things are bad in the U.S., go to Europe.
BL-Global Flexible 1 September 201190% of BL-Global Flexible's assets are currently invested in equities of which 45% are hedged through the sale of futures. The decline in long-term interest rates has been used to lower the bond allocation to 4%. Do the recent stock market declines represent a buying opportunity?
Equity markets have seen something of a nosedive since the end of July. Is this a buying opportunity?
A Greek tragedy
Last week the Greek Parliament went ahead and adopted a new austerity bill which will see the European Union and the International Monetary Fund (IMF) pay another 12 billion euro tranche to Greece and the implementation of a new bail-out plan for the country.
BL-Global Flexible - Situation as at 10 June 2011
We took advantage of the recent correction in the stock markets and some stocks to increase the net equity allocation to 57%.
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Latest comments
For gold to be in a bull market you need: - ...
Do the recent stock market declines represent a buying opportunity?
Le 25/08/2011 par Guy Wagner
After reading your analyse, I thought, "What about investing in ...
Do the recent stock market declines represent a buying opportunity?
Le 24/08/2011
Hi Guy, I'm a regular reader of your blog and ...
A Greek tragedy
Le 29/07/2011 par Ian Brown
hi Guy, great blog. Do you have an opinion on domestic and/or ...
BL-Global Flexible - Situation as at 10 June 2011
Le 15/06/2011
The problem is that: - Greece does not have a liquidity ...
Update on our investment strategy
Le 24/05/2011 par Guy Wagner