Debunking the complexity of Converts
Convertible bonds are less complex than you might think. We understand why some believe the asset class to be the domain of specialists, but perhaps if we address three of the subjects that present a challenge for investors, convertible bonds will seem much more straightforward to understand. These three topics are: Convertible bond valuation Whether […]
A merry dance…
I wrote on the subject of profit margins last year in Margin Call and how we try to normalise them as part of our company evaluation. I referred to The Heinz-Kraft Company (KHC) and how under 3G Capital, a private equity firm, margins were significantly raised at KHC. A consequence of those expanding margins was […]
Wind assisted returns
The ascendancy of the growth style of investing over the last decade has been unusual in its strength and duration. There are now signs that the winds of change are blowing through global equity markets. Read on to find out how RWC’s Global Equity Income strategy may benefit should the growth headwind become a dividend-investing […]
Charts that make you go……hmmm!
Years of zero interest rates, central bank money printing and government bail outs appear to have created a stock market defined by speculative excesses. It is often said that ‘a picture is worth a thousand words’ and therefore we have put together a series of charts demonstrating just how ebullient investors have become. You will […]
Understanding the source of past returns is the key to estimating the likely future
Understanding the source of past returns is the key to estimating the … it is, therefore, highly unlikely that future returns will be the same as past.
Coal divestment
This makes coal an obvious target for immediate replacement by renewables, in combination with gas. Investors have been divesting out of …
Value funds could hold the key to impact investing, not ESG funds
Value has faced several well-known challenges in the past decade. Low interest rates and weak economic growth have pushed valuation …
Leaning the statistics in your favour
Leaning the statistics in your favour … The RWC Global Equity Income strategy acknowledges the risk of being wrong and simply aims to lean …
Could this be the craziest growth stock bubble ever?
… events in the US might have surpassed the extremes of 1999 raising the question of whether this is the craziest growth stock bubble ever.
Outlook for 2021: Just the start of the rotation to value
Returns in the UK equity market for 2020 were split in two halves, with energy, materials, financials and cyclicals being amongst the worst performing sectors from 1 January to 8 November (the date the Pfizer vaccine was announced) but registering some of the biggest gains for the rest of the year. Of course, we celebrated […]