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Date
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March 20, 2020
Asset Allocation,Investing

Coronavirus freezes credit markets

Credit markets have been hit hard across the board. ‘Exiting at normal prices is now virtually impossible because there is hardly any liquidity.’ Only ETFs can still be easily sold, resulting in dramatic price declines. Can the ECB’s latest support …
March 17, 2020
Asset Allocation,Investing

High yield crisis also offers opportunities

March is not even halfway through, but has already presided over the largest fall in the price of European high-yield bonds since October 2008. The BofA European Currency High Yield Index is already in the minus 8% this month, but the unprecedented fall …
March 16, 2020
Asset Allocation,Investing

Fed emergency measures 'a defining moment'

The decision of the US Federal Reserve to cut interest rates once more and restart QE was expected by investors. But not on a Sunday afternoon. Asset managers characterise the sudden decision as 'a defining moment', for more than one reason. 'We had …
March 12, 2020
Institutional

Brexit boosts Luxembourg insurance market

A 44.5% increase in premium income in Luxembourg’s insurance sector last year was driven mainly by Brexit relocations in the non-life sector. However the traditional mainstay for the industry, life insurance, also enjoyed a strong year with income up …
March 11, 2020
Asset Allocation,Investing

Coronavirus crisis: all eyes on the ECB

The Fed and the Bank of England responded to the coronavirus fall-out with emergency rate cuts of 50 basis points. Now, all eyes are on the ECB. ‘Hopefully, these drastic interest rate cuts will prove to be an overreaction by policymakers. Unlike during …
March 8, 2020
Asset Allocation,Investing

'Interest rate cut mostly helps to reduce volatility'

The Fed's rate cut was not the most clear-cut answer to the corona crisis, says Hendrik Tuch, head of fixed income at Aegon Asset Management.  But he understands the decision. 'It anticipates on investors receiving terrible economic figures and profit …
March 4, 2020
Asset Allocation,Investing

Fed rate cut fails to convince investors

Investors did not respond to the Fed's surprise 50 basis points rate cut with a relief rally. To the contrary, markets closed almost 3% lower as investors interpreted the rate cut as a warning the macroeconomic situation is likely to worsen.   Fed …
March 2, 2020
Asset Allocation,Investing

Asset managers weigh coronavirus impact

The coronavirus is causing 'a clear shock to the world economy', according to Columbia Threadneedle. Janus Henderson calls the global spreading of the coronavirus 'a real game changer that has dashed hopes of a V-shaped recovery in global growth.'    'So …
February 27, 2020

Investors complain to Esma about CSSF

Three fund directors have sent a letter to Europe’s top regulatory body to complain about a lack of action by Luxembourg’s regulator CSSF to protect investors. They run several Luxembourg-domiciled funds, known as LFP I, that were defrauded for millions …
February 27, 2020
Asset Managers

US asset managers win Morningstar’s best fund house awards

T. Rowe Price has won the Morningstar Luxembourg Fund Award for best fund house, the data provider announced on Thursday during a ceremony at the Centre Culturel 'Schéiss' in Luxembourg. T. Rowe Price also won the award for best fixed income fund house. …