PA ANALYSIS: August highlights the trouble faced by active funds
The volatility seen in August has been simultaneously worrying and interesting for anybody involved in the investment industry, particularly active fund managers.
News
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China’s yuan calamity could spark interest rate cuts and reform backtracking – Henderson
The yuan devaluation is reform-driven rather than export-related, says Henderson’s Charlie Awdry, and could lead to lower Chinese interest rates and backtracking on financial reforms.
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Asset manager pessimism on US and EM deepens further
Return expectations from US equities among asset management companies are at a post-financial crisis low. EM equities may look cheap after last week’s correction, but asset managers have their reasons to stay sceptical.
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Flash crash susceptibility and correlation complications
Diminished liquidity and the dominance of central banks has left all markets more susceptible to ‘flash crashes’ argues David Riley, head of credit strategy at BlueBay Asset Management.
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Woodford tops August sales chart as trackers surge
Market volatility is prompting investors to favour a familiar name as CF Woodford Equity Income topped The Share Centre sales chart for the third month running.
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Tilney Bestinvest announces quadruple financial planner hiring
Tilney Bestinvest has added another chapter to its ongoing UK push with a quadruple round of financial planner hires.
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Moody’s: Little risk of credit crisis in EM
In a contrarian view, ratings agency Moody’s said it believes that the risk of a downward spiral and financial contagion is unlikely in emerging markets.
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Lombard Odier launches EM sovereign debt focused ETF
Lombard Odier Investment Managers has teamed up with ETF Securities on an exchange-traded fund targeting the EM debt space.
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F&C UK Property Fund converted to PAIF
BMO Global Asset Management has converted the £260m F&C UK Property Fund to a Property Authorised Investment Fund (PAIF).
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Five market plays following the summer sell-off
Hargreaves Lansdown’s Laith Khalaf and Axa Wealth’s Adrian Lowcock on which markets to invest in and how to access them.
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Friends Life and Aviva merger probed by FCA
The Financial Conduct Authority is investigating unusual increases in share price prior to Aviva’s merger with Friends Life, according to reports.
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Fragile China PMI data sends shares lower
Soft manufacturing numbers have become the latest piece of information emanating from China to trouble equities markets.