Edmond de Rothschild Asset Management (EdRAM) is launching new funds in its emerging markets range: Edmond de Rothschild Eastern Europe and Edmond de Rothschild Latin America. The first of these is a fund which privileges themes that may provide sustainable growth (consumer spending, infrastructure investment and commodity procurement). It invests in equities from emerging Europe, which offer growth in profits, good visibility and attractive valuations. The mutual fund is managed by Gegham Ananyan, assisted by Thomas Gerhardt, director of emerging market equity and commodity management. The second is a fund which seeks to capture growth in Latin America, by adopting positions on major equity markets – Brazil, Peru, Colombia, Mexico and Chile – through major investment themes: consumer spending, infrastructure and energy. Managers select businesses which offer the best growth rates and/or which are likely to become future leaders in their sectors. The mutual fund is managed by Patricia Urbano, assisted by Martin Fechtner, a fund manager specialised in emerging market equities, with a team of 10 manager/analysts.
Among the top priorities of the ABN Amro group is private banking, Les Echos reports. According to Gerrit Zalm, chairman of the board at the Netherlands-based bank, the private bank presents the advantages of low risk, moderate capital requirements, and of providing the bank with liquidity. This ambition in private management, however, is not expected to find expression in external growth operations, due to the restrictions imposed by the European Union in exchange for public aid received. Timely and small acquisitions, however, have not been ruled out, the newspaper notes.
The head of trading for the EMEA region at AllianceBernstein has left the asset management firm, Financial News reports. The news comes at a time when the asset management firm is moving away from equities in favour of bonds.
In the first quarter of this year, Standard Life Investments posted net inflows of GBP1.1bn for its third party business. This activity now represents assets of GBP76.1bn, a record level, according to a financial statement from the group. On the UK wholesale market, net inflows totalled GBP475m, and the firm’s Sicav posted net inflows of GBP253m (compared with GBP173m in 2011). European dedicated funds have seen 354% growth in net subscriptions, to GBP518m. The average revenue yield across our third party business has been maintained at 37bps (1 January 2012: 37bps).
BlackRock on Wednesday announced the appointment of Cliff Speed as managing director and a senior strategist within BlackRock’s Multi Asset Client Solutions (BMACS) group. He will work in BMACS’ Europe Middle East and Africa (EMEA) Client Strategy team and will report to John Dewey, Managing director within the BMACS group. The team, which supports BlackRock’s market leading Liability-Driven Investing (LDI) offering, is 25 strong with focused LDI responsibilities as well as broader asset-liability and asset allocation modeling resources and strategic advice capabilities. Overall the team is responsible for more than GBP100bn of LDI strategies for clients in EMEA. Cliff Speed joins from Bank of America Merrill Lynch, where he was senior actuary in the Pensions and Insurance Solutions team. In this role he was responsible for proposing relevant client solutions taking account of risks and market opportunities.
In a study entitled “Management takes aim at Europe with UCITS IV,” which appears in Agefi Weekly on 26 April, Yann de Saint-Meleuc, associate director fo the Finance unit at Euroland Consulting, explains that the UCITS IV directive does not eliminate borders in Europe. Product sales may be easier, but that does not eliminate operational difficulties, such as fund processing, which remains complex whenever working in several countries. “There is still a lot to do to improve the administrative chain between various players based in different countries, particularly if the asset management firm wants to be able to identify foreign subscriptions,” the head explains. Also, he says, the real winners out of the changed introduced in the UCITS IV directive are small and mid-sized asset management firms, which are just beginning to diversify their sales into channels beyond their home countries. “UCITS IV reduces the cost of entering international markets,” de Saint-Meleuc explains.
Jupiter launches the Jupiter Strategic Reserve Fund, managed by multi-asset specialists Miles Geldard and Lee Manzi. This unit trust is a global multi-asset portfolio with a total return objective, and is the onshore version of the established Jupiter Strategic Total Return Fund Sicav, which launched in October 2010. With its emphasis on capital growth and low volatility, it aims specifically to meet investors’ requirements in these more difficult and volatile times.Miles and Lee joined Jupiter in 2010 from RWC Partners and have worked together for 14 years.
Polar Capital Holdings has recruited Michael Hufton to assist Robert Gurner and Andrew Marsh to manage the Polar Capital European Conviction Fund Polar Capital European Forager, Hedge Week reports. Hufton had previously been a fund manager at Sloane Robinson.
How are finance sector professionals in France taking the changes to their fixed salaries and bonuses in 2011? Poorly, it appears. According to an annual survey of jobs in the banking and finance sectors by the website eFinancialCareers.fr, fixed salaries have not risen. More than half (55%) of professionals in the financial sector report stagnating salaries, compared with 42% of professionals who have had a raise. As a result, 44% say they are dissatisfied with their monthly income, compared with 26% who say they are rather or very satisfied. The picture is even gloomier in the area of bonuses. In 2011, bonuses fell overall, with more than half of respondents (53%) receiving a lower bonus than last year, compared with only 28% who received a higher bonus. As a result, nearly half of professionals surveyed say they are dissatisfied, while 24% say they are relatively dissatisfied, and 25% are very dissatisfied. 62% of respondents say the bonuses they received were disappointing and did not meet their expectations. Unsurprisingly, 44% of professionals are considering changing employers during 2012, while 67% say that a decline in their bonuses is related to the performance of their company.
The Asset Management unit of Credit Suisse has earned income before taxes of CHF 250 million in first quarter largely due a partial sale of its investment in Aberdeen Asset Management (reduced from 19.8% to 9.8%), which resulted in a gain of CHF 178 million. Excluding this gain, income before taxes was CHF 72 million, down from CHF 175 million in 1Q11 and from CHF 90 million in 4Q11. Investment-related gains of CHF 101 million decreased 37% from 1Q11 but increased significantly compared to 4Q11. Fee-based revenues of CHF 409 million decreased 9% compared to 1Q11, with a decline in placement fees, asset management fees and equity participations income. Our fee-based margin was 40 basis points compared to 41 basis points in 1Q11. Total operating expenses of CHF 413 million were up 12% compared to 4Q11 and remained stable compared to 1Q11. Asset Management recorded net asset outflows of CHF 13.7 billion, primarily from a single low margin mandate.
China Investment Corp, the Chinese sovereign fund, and BlackRock will jointly launch an investment fund focused on China, according to reports in the Financial Times. Liu Erfei, chairman of Chinese activities at Bank of America Merrill Lynch, will be leaving the bank to manage the firm, which will have several billion US dollars under management, according to sources familiar with the matter.
Societe Generale Private Banking has appointed Antoine Blouin as chief investment officer of Societe Generale Private Banking (Suisse) SA. He replaces Olivier Aubenas, who becomes commercial director and member of the executive committee of the private bank in Switzerland.Antoine Blouin will be responsible for managing the private bank’s investment teams and supervising the local asset allocation committee. He will also be in charge of the management and development of the product and services offering for the clients of Societe Generale Private Banking (Suisse) SA and its subsidiaries, a statement says. Meanwhile, Mourtaza Asad Syed is appointed deputy CIO. He will also have transversal responsibility for the investment themes for the entire private bank worldwide. In this respect, he will ensure that clients benefit from advice which corresponds to the investment strategy of the private bank and respond to their specific needs. Antoine Blouin began his career in 1999 at the Banque du Louvre, now HSBC Private Bank France (Paris), as relationship manager, before taking responsibility for the Large Corporate, Institutional Investors and Family Holdings desk. He moved to HSBC Private Bank Switzerland (Geneva) in 2005 as product specialist and marketing manager for Discretionary Management. He joined Societe Generale Private Banking in 2008 to develop the funds advisory activity then the Advisory Desk.
Barclays has recruited Tsukasa Miyachi as managing director, to focus on the Indonesian market, Asian Investor reports. He had previously been head of wealth management for Singapore at Nomura.
After two months of net inflows, equity funds and balanced funds on sale in Norway have seen net outflows, acording to the Norwegian fund association Verdipapirfondenes forening. In March, retail investors withdrew a net total of NOK628m (EUR83m) from equity funds, and NOK151m (EUR20m) from balanced funds. Overall Norwegian retail investors hold slightly over NOK100bn (EUR13bn) in equity funds, and NOK13.4bn (EUR1.8bn) in balanced funds. Since the beginning of the year, equity funds sold to retail investors have seen an increase in their assets of NOK9.9bn (EUR1.3bn), of which NOK0.6bn (EUR0.08bn) came from net inflows, while the remainder came from positive market effects.
L’opérateur de marché américain a conclu un accord avec la firme de trading pour compte propre DRW Trading destiné à lancer des contrats à terme cotés qui répliquent des swaps sur actions cotés sur le marché à terme. Ces produits seront destinés aux «utilisateurs du marché à terme et aux traders qui n’interviennent pas habituellement sur le marché dérivé des swaps » précise Ed Tilly, PDG du CBOE.
D’après les données de l’Agence américaine d’information sur l'énergie (EIA), les stocks de brut ont augmenté la semaine dernière aux Etats-Unis de 3,98 millions de barils à 373,02 millions, alors que les économistes attendaient une hausse de 2,7 millions de barils. Les stocks d’essence ont baissé de 2,24 millions de barils à 211,73 millions.
Itau Unibanco, la première banque privée du Brésil, a surpris les investisseurs en annonçant une hausse de 38% de ses provisions pour risque au premier trimestre, à 6 milliards de réaux. La facture devrait monter à 6,4 milliards puis 7,1 milliards lors des deux prochains trimestres, sur fond d’inquiétude sur l’endettement des ménages et des PME. Le titre chutait hier de près de 5%.
Les Pays-Bas peuvent ramener leur déficit public à 3% du PIB en 2013 malgré la crise politique ouverte, a estimé Fitch hier. «Toutefois, les incertitudes politiques nationales ont augmenté tandis que les risques économiques et financiers résultant de la crise de la zone euro demeurent significatifs. Il apparaît clairement que si notre scénario central ne devait pas se matérialiser, la pression sur la note s’accentuerait», nuance l’agence.
La chambre de compensation a décidé de porter à 4,75% la marge initiale demandée pour les obligations espagnoles d’une maturité de 3,25 à 4,75 années. La marge initiale pour les obligations françaises d’une maturité de dix à quinze ans est quant à elle relevée à 6,4%, selon un communiqué publié sur le site de LCH.Clearnet.
Les commandes de biens durables aux Etats-Unis ont diminué de 4,2% en mars, leur baisse la plus prononcée depuis janvier 2009, ce qui laisse penser que l’activité industrielle a perdu de son élan vers la fin du premier trimestre. Les économistes anticipaient une baisse de 1,7%. En février ces commandes ont augmenté de 1,9%, au lieu de 2,4% en première estimation.
L’Etat grec a cessé le versement de diverses prestations sociales, dont des pensions de retraite, à 200.000 personnes soit coupables de fraude soit décédées, a annoncé mercredi un responsable du ministère du Travail. Ce chiffre représente environ 2% de la population grecque.
La Financial Services Authority (FSA) lance au deuxième trimestre une consultation sur un projet visant à empêcher les traded life policiy investments (TLPI), ou «death bonds», d’atteindre une vaste majorité de clients particuliers. Ce marché évalué à 1 milliard de livres outre-Manche est jugé trop risqué, complexe et «toxique» pour les investisseurs individuels.
La Chine et la Corée du sud vont commencer leurs négociations sur leurs accords de libre-échange dès le début du mois de juin, selon le site Internet qui se réfère à des sources émanant du Ministère des Affaires étrangères de Corée du Sud. Il précise que ces négociations seront annoncées mi-mai lors du sommet tripartite avec le Japon.
Le gouvernement indien envisage de dépenser plus de 11 milliards de dollars (8,3 milliards d’euros) pour renforcer son influence au sein du Fond monétaire international, selon le journal qui se réfère à des sources gouvernementales. Le quotidien ajoute que le droit de vote du pays devrait passer de 2,34% à 2,69%.
Le fonds souverain chinois et le premier gestionnaire d’actifs mondial devraient lancer un fonds d’investissement commun orienté sur la Chine, selon le journal qui cite des sources proches. Liu Erfei, président des opérations de Bank of America Merrill Lynch va quitter la banque pour diriger la coentreprise, qui devrait réunir plusieurs milliards de dollars sous gestion.