Investment strategy – Maw Fin http://mawfin.com/ Mon, 10 Jan 2022 20:48:48 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://mawfin.com/wp-content/uploads/2021/10/default-120x120.png Investment strategy – Maw Fin http://mawfin.com/ 32 32 EFI focuses its technology investment strategy on which to capitalize https://mawfin.com/efi-focuses-its-technology-investment-strategy-on-which-to-capitalize/ Wed, 05 Jan 2022 14:04:00 +0000 https://mawfin.com/efi-focuses-its-technology-investment-strategy-on-which-to-capitalize/ FREMONT, Calif., Jan. 5, 2022 (GLOBE NEWSWIRE) – Electronics For Imaging, Inc. announces that it will prioritize technology investments to accelerate the growth of its rapidly growing EFI ™ inkjet industrial business to continue to dominate the industry in the analog-to-digital transition, as well as in its market leader Fiery® Business. As part of this […]]]>

FREMONT, Calif., Jan. 5, 2022 (GLOBE NEWSWIRE) – Electronics For Imaging, Inc. announces that it will prioritize technology investments to accelerate the growth of its rapidly growing EFI ™ inkjet industrial business to continue to dominate the industry in the analog-to-digital transition, as well as in its market leader Fiery® Business. As part of this focused strategy, EFI completed the sale of its packaging and print productivity software business eProductivity Software (“EPS”) to a subsidiary of Symphony Technology Group (“STG”). EFI and EPS will continue to work with their common customers and partners to ensure mutual success.

This realignment allows EFI to accelerate investments in its Inkjet and Fiery business units in order to capitalize on the growth opportunities available in the existing segments served by the company, as well as drive expansion into markets that are beginning the transformation to digital.

“We have never been so excited about the opportunity presented by the industrial inkjet markets and our ability to leverage Fiery, the leading digital front-end technology (DFE) for digital color printing, to continue. to drive analog-to-digital transformation in all value segments of imagery – while increasingly serving new adjacencies including e-commerce, direct-to-clothing sales and other rapidly growing segments, ”said said Jeff Jacobson, CEO and Executive Chairman of EFI. “We are making significant investments to continue to be the undisputed market leader in packaging and corrugated cardboard, display graphics, textiles and building / decor materials. “

“The potential of high-growth industrial inkjet markets prompts us to accelerate our investments in market-leading products and services that drive analog-to-digital transformation. Industrial inkjet imaging is one of the greatest opportunities I have seen in my 35 years in this industry, ”added Jacobson. “Selling the software business provides our Industrial Inkjet and Fiery teams with the direction that will best position them for success. “

Industrial inkjet: seizing an unprecedented opportunity
The industrial inkjet space abounds with opportunities in existing and adjacent verticals. EFI Inkjet will continue to strengthen its leadership in high-volume, shuttle, and once-pass inkjet technology, which the company has currently implemented into award-winning, high-performance products for packaging and corrugated cardboard, display graphics, textiles and building materials. / Vertical decor. EFI will also leverage its leading expertise in hardware, mechanical control software, high-speed electronics, services, cloud-connected devices and ink innovations to deliver the next generation of technology. high-volume, high-quality, versatile printers and presses.

Following the realignment, EFI is investing in R&D to strengthen its position in key markets while entering new categories, including the development of technologies to meet new applications for the textile space and for packaging.

“The future of printing is digital, and this realignment further strengthens EFI’s position as a technology leader and accelerates the growth of our innovation advantage as a supplier to the world’s leading digital printers for the markets of packaging and corrugated cardboard, display graphics, textiles and building / decor materials. Said Scott Schinlever, COO and Managing Director of EFI Inkjet. “This paves the way for our customers to continue producing more in less time, with less labor, with higher quality, with reduced environmental impact, and will allow us to orient our level of knowledge and development. inkjet expertise towards promising new applications on the market. “

Fiery: driving innovation and growth in digital printing
The Fiery business unit, under the continued leadership of Fiery COO and General Manager Toby Weiss, remains the world’s leading DFE supplier, enabling the high performance required in many verticals, including packaging, signage and commercial printing with advanced Fiery solutions generating printers and final presses from many major equipment manufacturers.

“The Fiery product portfolio incorporates world-class color algorithms, advanced cloud technology and many other first-class proprietary solutions that reduce production time and improve print quality,” said Weiss. “By working closely with our partners, our investments in the future of Fiery technology will drive even stronger solutions, including cutting-edge cloud offerings through an EFI IQ ™ product suite that continues to help customers to reach new levels of automation. , precision and profit potential in digital printing.

Productivity software: investing for growth under new ownership
EPS’s new owner, STG, is a leading private equity firm focused on investing in software, data analytics and software-based technology services companies, and will help EPS deliver increased value to its packaging and printing customers and accelerate global growth. STG completed this acquisition on December 30, 2021. The price and terms of the transaction were not disclosed.

Moelis & Company LLC acted as exclusive financial advisor and Sidley Austin LLP as legal advisor to EFI in connection with the sale of EPS. Paul Hastings LLP acted as legal counsel to STG.

EFI’s next Connect User Conference will be a joint event for EFI and EPS customers. Executives from both companies will highlight their technology improvements and product roadmap strategies at the gathering Jan. 17-21 in Las Vegas.

About EFI
EFI ™ is a global technology company, based in Silicon Valley, leading the global transformation from analog to digital imaging. We are passionate about our customers’ success with products that increase competitiveness and boost productivity. To do this, we develop disruptive technologies for the manufacture of signage, packaging, textiles, ceramic tiles, building materials and personalized documents, with a wide range of printers, inks and digital front-ends. (www.efi.com)

Follow EFI online:

Follow us on twitter: https://twitter.com/EFIPrint
Follow us on Instagram: https://www.instagram.com/efiprint
Find us on Facebook: www.facebook.com/EFIPrint
Watch us on YouTube: www.youtube.com/EFIDigitalPrintTech

NOTE TO EDITORS: The EFI logo and Fiery are registered trademarks of Electronics For Imaging, Inc. in the United States and / or certain other countries. EFI and IQ are trademarks of Electronics For Imaging, Inc. in the United States and / or certain other countries. All other terms and product names may be trademarks or registered trademarks of their respective owners and are hereby acknowledged.

Nothing herein should be construed as a warranty in addition to the express warranty statements provided with EFI products and services.

Contact:
David Lindsay, EFI
+1 404 931 7760
david.lindsay@efi.com



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Risk management is the key to a successful investment strategy https://mawfin.com/risk-management-is-the-key-to-a-successful-investment-strategy/ Mon, 03 Jan 2022 13:00:00 +0000 https://mawfin.com/risk-management-is-the-key-to-a-successful-investment-strategy/ Risk management is more important than selecting “winners” in the stock market, according to financial strategists. Richard drew PA There are many resources that offer investment advice on what you should buy now to thrive in the year ahead. The likelihood of these recommendations catching your attention may be high, but the likelihood of the […]]]>

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Risk management is more important than selecting “winners” in the stock market, according to financial strategists.

PA

There are many resources that offer investment advice on what you should buy now to thrive in the year ahead. The likelihood of these recommendations catching your attention may be high, but the likelihood of the choices turning out to be wonders in the marketplace is low. In the interest of your long-term financial security, focus on early 2022 by gaining insight into yourself that can make you a better investor without having to find the right investments to own.

Critical insight is understanding your relationship to risk. How well do you tolerate it? Can you afford to take it? How will you react when you are faced with risk head-on in your account balance?

Many investment education programs and financial advisers will offer you to assess your tolerance for risk by answering hypothetical questions or questions about how you have reacted to investment results in the past. Understanding tolerance can help you gauge your willingness to accept unknown results in exchange for the possibility of a future return on your investment. It is a relatively immutable measure.

Risk tolerance assessments do not help you understand your ability to accept risk. Whether or not you can afford to take the risk depends on the size of your investment assets, your income sources, your age, your expenses… a variety of things that change over time, making risk capacity a variable factor that requires the attention of a comprehensive and ongoing financial plan. Given the strength of stock returns in 2021, your ability to accept risk in your portfolio may have changed as we head into 2022. Your tolerance for risk may also have improved. People tend to view investment markets as less risky when they are going up and riskier when they are going down, when in many ways the opposite is true.

While your ability to take risks has increased and you are tolerant of it, that doesn’t mean you need to increase the risk level of your investments until you understand the third component of your risk ratio. .

You can be comfortable with your tolerance for risk and your ability while being both overwhelmed by what psychologist and behavioral finance author Daniel Crosby calls your risk-averse composure. It is at extreme times in the investment markets, both for better and for worse, as fear and greed become influential, that you need to understand how the emotional element of running your business becomes. life savings influences your decisions. If you have little self-control, you may be likely not to stick to your investment strategy during times of stress or excess. The best investors have a high level of composure amid the ever-changing landscape of investment markets, the global economy, and personal factors that impact financial security.

If you know you are sensitive to times of lack of composure, especially if you also have low risk-taking ability, you can design an investment portfolio (or work with an advisor to do so) that limits the risk. the likelihood that you will find yourself in times when you are tempted to choose another path, perhaps at precisely the wrong time.

The investment industry typically communicates on risk-adjusted returns when trying to optimize the risk / reward profile that best suits a particular investor. What might be more helpful, Crosby says, are anxiety-corrected returns. If you can design and implement an investment strategy that can reduce exposure to stressful times when risk becomes more evident, you will be much more likely to stick with your strategy.

Even if you sacrifice some potential return in exchange for less anxiety, you can build wealth. The magic of compound returns is not so much to get periodic exceptional performance from your investments, but simply to maintain even average performance for a long time. As Howard Marks wrote, “That doesn’t mean good returns don’t matter. Of course they do. Just that they matter less than how long your returns can be earned. Excellent for a few years is not as potent as good enough for a long time. And few things can beat the average for very long. The only thing that matters is where you are in the long run.

Make 2022 the year in which you embark on a documented financial plan and investment strategy that incorporates an intentional assessment of your personal risk characteristics. Rather than continuing to search forever for successful investors who can overcome your investing behavior, consider reading “The Psychology of Money” by Morgan Housel or “The Behavioral Investor” by Crosby. You may learn about yourself and your relationship with money that will help you manage key life transitions over time.

Gary Brooks is a Chartered Financial Planner and the Chairman of BHJ Wealth Advisors, a registered investment advisor in Gig Harbor.

garybrooks
Gary brooks


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Top 5 NFT Investment Strategies – 2022 https://mawfin.com/top-5-nft-investment-strategies-2022/ Mon, 03 Jan 2022 06:41:43 +0000 https://mawfin.com/top-5-nft-investment-strategies-2022/ Non-fungible tokens are the current buzz in the digital space. Everyone has heard of NFT and they want to try it out and check out its immense hype. This has led to the commerce revolution in the digital community. Now it is a very trendy process to own NFTs, not only is it popular and […]]]>

Non-fungible tokens are the current buzz in the digital space. Everyone has heard of NFT and they want to try it out and check out its immense hype. This has led to the commerce revolution in the digital community. Now it is a very trendy process to own NFTs, not only is it popular and has a good reputation among the community, but it is a great opportunity for people to invest and view NFTs as investments. In this blog, the complete structure of NFT investment strategies is described and a comprehensive NFT investment guide is provided.

Are NFTs a Good Investment?


NFTs create thunderstorms in digital space. It’s hard to find a person who hasn’t heard of this amazing platform. Since the popularity is so great, NFTs are very common and bought and sold by the majority of the digital community. NFTs as an investment are a very safe way to make a profit; profit depends on the longevity of the asset and on luck. Some NFT investors experience this. But overall, it’s a good investment.

What are the 5 NFT investment strategies?

The NFT investment guide for dealing with a safe and secure investment is very extensive and offers a wide range of NFT investment strategies.

NFTs have become very popular due to their ability to exchange digital works of art online. This technological breakthrough not only trades digital art, but also secures its ownership in the blockchain network. The prowess of securing ownership is the primary reason digital audiences buy and sell digital artwork as NFTs. Considering the benefits of NFTs, investing in digital artwork is a great initiative.

Digital works of art are the pioneers of NFTs and are the best-selling in all existing markets. As they are available so widely, investing in them is a perfect choice for NFT investors. Buying one NFT artwork or purchasing multiple artwork from the same collection allows investors to sell them in the future when the market value of those NFT assets increases.

Real estate is a very massive and huge field where a high volume of transactions is involved. The concept of ownership is the most important factor in any business area. The transfer of ownership is quite complicated in the real estate field. This is due to the involvement of intermediaries such as banks, financial institutions and central authorities. Thus, the transfer of ownership gradually became conflictual. NFTs are the solution to this challenge. By converting the legal documents from the real estate platform to NFT, it secures the ownership of the property. Thus, it is a very safe investment compared to a centralized version of real estate investing. Hence, this should be a premier investment opportunity for investors looking for a home run.

NFT games are the latest trend in the digital space now. The concept of play to win has revolutionized the way a game is played in today’s digital spectrum. The ability to allow gamers to earn money for playing the game has taken over and has become a very popular area in the blockchain industry. NFT games have become a perfect platform for investors to invest in. Many new protocols are introduced such as staking, yield pooling and much more.

The NFT market is at the heart of all NFTs that need to be traded, sold or bought. An NFT Marketplace is a special platform created on a blockchain platform. This platform initiates all NFT transactions on the power of blockchain and secures every transaction detail regarding transactions. The NFT market has become a great business opportunity for entrepreneurs. It has become a pivotal point for companies to adopt and invest. By investing in an NFT market and developing a unique platform, it attracts huge numbers of users. Income is generated from listing fees, typing fees, auction fees and more. Hence, it is a good NFT investment strategy to make profit and income over a short period of time.

NFT Marketing is a perfect NFT investment because of its ability to attract high profile users. NFT Marketing is a unique way to increase the number of inbound users to the platform by promoting it extensively. NFT marketing includes social media marketing, email marketing, content marketing, advertising promotion, and more. By investing in these types of NFT investment strategies, it is possible to earn immense income and profits in the future.

Can I make money with NFT?

NFTs have become a sea of ​​opportunity for everyone in the world. The ability to convert your work into an income generating asset is very impressive. This is possible thanks to NFTs. NFTs give everyone the opportunity to monetize their work; be it music, artwork, videos, trading cards, and the list goes on. NFTs are very unique and special, as mentioned before they monetize work, at the same time it doesn’t end there; NFTs are stored on a blockchain and ownership is secure. Therefore, every time the sold NFT is traded again, the original owner receives incentives. Thus, NFTs are very efficient and constitute a perfect platform to earn money in a very safe and secure environment.

Conclusion

Non-fungible tokens are the epitome of digital success today. It has become a great investment platform and is expected to reach amazing heights in the future. With the prowess of blockchain and NFT, the digital space is secure and has evolved into a perfect investment platform for crypto and digital enthusiasts and entrepreneurs.


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How IPOs can be a smart investment strategy to build wealth https://mawfin.com/how-ipos-can-be-a-smart-investment-strategy-to-build-wealth/ Fri, 31 Dec 2021 03:58:02 +0000 https://mawfin.com/how-ipos-can-be-a-smart-investment-strategy-to-build-wealth/ Granted, not all IPOs make gold, but it’s not uncommon for a stock to double just a few months after its IPO. Unless you were hiding in a cave with no internet, you would already know that 2021 was the year of IPOs. More than 51 IPOs hit the Indian market in October, raising a […]]]>

Granted, not all IPOs make gold, but it’s not uncommon for a stock to double just a few months after its IPO.

Unless you were hiding in a cave with no internet, you would already know that 2021 was the year of IPOs. More than 51 IPOs hit the Indian market in October, raising a total of Rs 90,000 crore.

And for the investor who knows how to pick the winning IPOs, accumulating wealth in the short and long term has been a dream come true. Well, not all IPOs make gold; some have been missed because the business has not performed as expected.

But it’s not uncommon for a stock to double just a few months after its IPO.

Let me unpack that a bit and show you the 4 Unique Benefits of Investing in IPOs.

1: Advantage for early bird investors

With an IPO, you invest as the business moves from private to public. This means that you are investing in the hottest stocks of the company, especially when they are moving the fastest with huge potential for growth and expansion. And let’s say the company you’ve invested in has cutting edge, breakthrough solutions, explodes, and keeps growing. You benefit from a huge windfall of profit. Some IPOs are worth their diamond for investors at the right time. For example, Amazon.com Inc. launched an IPO in 1997 and valued each stock at $ 18. So if you had invested $ 5,000 in the Amazon IPO, you know how much it is worth today in December 2021.

2: Discounted investment. Big profits

Many companies offer their shares at the lowest price when they go public. And that’s because they can be small, fast-growing, under-the-radar businesses. But as the business grows and news arrives, the share price can skyrocket. And you are missing out on the only chance to buy its shares at a price much lower than its true value. Look at Paras Defense And Space Technologies Limited. The company went public on October 1, 2021 and the issue price was Rs 175. The current price at NSE is Rs 735.45. Which means it has climbed 320% in just one month.

3: More information to make a better decision

When a company goes public, it must provide a detailed prospectus that contains information such as its past performance, assets, liabilities, financial condition, risks, growth and future plans. In addition, the company must clearly mention the price per security in the IPO order document ensuring full transparency. So, as a retail investor, you also get the same details as the big investors. This allows you to make smart and wise decisions.

4: Massive momentum. Exponential growth

Companies that launch IPOs attract large investors, large numbers of investors, and huge media and PR exposure. So gain massive momentum, making those red stocks even hotter. And since there is no stock market history or stock chart, this is blank ground for investors. This is why you often see that IPOs grow exponentially than common stocks.

Today India has become a global hotspot for IPOs. Consider this: Route Mobile Ltd launched an IPO on September 21, 2020, with a listing price of 350, and it has jumped to 400.37% so far at NSE.

This means that you could have tripled your money on Route Mobile Ltd by simply buying its shares on the day it was listed. Consider this: Happiest Minds Technologies Ltd, since its IPO on September 17, 2020, has generated an annualized profit of 616.17%.

You could have made a fortune if you had targeted the Happiest Minds technology.

How to harness the wealth creation power of IPOs?

Time is of the essence. You don’t want to miss out on a private company that interests you, that goes public and becomes a definite winner. You should tap into the potential of so many undervalued and undervalued companies going public. You shouldn’t get caught up in an IPO frenzy. You need to do your due diligence, understand the factors, and study the research reports and fundamental analysis. The prospectus does not reveal everything. You should seek expert help. There are models that show the performance of an IPO with excellent predictability. An expert can guide you on where to invest; when to invest; how much to invest; when to go out; when to sell certain stocks for profit and how much to keep invested for the long term.

(By Videsh K Totaare, Managing Director & CEO, Archers Wealth Management Pvt Ltd)

Disclaimer: These are the personal opinions of the author. Readers are advised to consult their financial planner before making any investment.

Financial Express is now on Telegram. Click here to join our channel and stay up to date with the latest news and updates from Biz.


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National investment strategy essential to achieving Vision 2030, according to King Salman https://mawfin.com/national-investment-strategy-essential-to-achieving-vision-2030-according-to-king-salman/ Thu, 30 Dec 2021 11:13:37 +0000 https://mawfin.com/national-investment-strategy-essential-to-achieving-vision-2030-according-to-king-salman/ RIYAD: The National Investment Strategy, launched by Crown Prince Mohammed bin Salman last October, is one of the most important pillars for achieving Vision 2030, according to King Salman bin Abdulaziz. In his Shura Council speech on Wednesday, the monarch said the strategy would result in the pumping of investments worth up to SR12 trillion […]]]>

RIYAD: The National Investment Strategy, launched by Crown Prince Mohammed bin Salman last October, is one of the most important pillars for achieving Vision 2030, according to King Salman bin Abdulaziz.

In his Shura Council speech on Wednesday, the monarch said the strategy would result in the pumping of investments worth up to SR12 trillion ($ 3.19 trillion) through projects. and initiatives.

In particular, the Shareek program – which aims to strengthen the Kingdom’s private sector – is expected to inject SR 5,000 billion, he said.

The strategy will contribute to the development of the economy and the diversification of its sources, in addition to developing infrastructure, improving the quality of life and offering new employment opportunities, he added.

The financial sustainability policies reflected positively on the gradual recovery of the local economy, and new investments in the Kingdom continued to grow steadily, which was manifested in the performance of activities until the end of the third quarter. of this year 2021, King Salman mentioned.

He added that financial surpluses in the general state budget are expected in 2022 and public debt as a percentage of GDP is expected to drop to 25.9%, from 29.2% in 2021.

As for the privatization programs implemented since 2018, they will increase and accelerate the quality of services, generate investment opportunities and improve the sustainability and competitiveness of the Kingdom’s economy, a- he declared.

On the Public Investment Fund front, the king said he aims to invest SR3 trillion in the national economy by 2030, which will bring the volume of public spending up to that date to 27. Trillion SR – the highest volume of spending recorded by the Kingdom in its history. .

This will achieve the goals of economic and social development, keep pace with the Kingdom’s vision and place its economy among the 15 largest economies in the world, he explained.

King Salman praised the financial sustainability policies implemented by the state, which positively reflected the gradual recovery of the Saudi economy, as investments continued to grow steadily, which was evident in the performance of the third quarter 2021, with expectations of financial surpluses. in the 2022 budget.

He also highlighted the Kingdom’s success in dealing with the repercussions of the coronavirus pandemic, which resulted in the influx of Haj and Umrah pilgrims, as 17.5 million Muslims were only able to perform Umrah during the month of Ramadan.

The national transport and logistics strategy launched by the crown prince affirms to move forward with economic development and reform, to work for the development of this important sector and to unleash its potential under the initiatives of the vision, said the King.

The strategy will work on the diversification of the local economy and the consolidation of the link with the global economy and the development of local content, up to 33% of the costs of the sector, to support sustainable development, he added. .

The King also praised the milestones in the education sector as he has supported the pandemic through the use of both online learning and in-person participation. This was made possible by the development of digital infrastructure, which enabled the transfer of large data.


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Will 2022 finally see value work as an investment strategy? https://mawfin.com/will-2022-finally-see-value-work-as-an-investment-strategy/ Tue, 28 Dec 2021 21:44:42 +0000 https://mawfin.com/will-2022-finally-see-value-work-as-an-investment-strategy/ Will 2022 see a resurgence of value investing? (Photo by TIMOTHY A. CLARY / AFP) (Photo by TIMOTHY … [+] A. CLARY / AFP via Getty Images) AFP via Getty Images Value investors believe cheaper stocks outperform more expensive ones. The only problem is, it hasn’t worked for much of the past decade. In fact, […]]]>

Value investors believe cheaper stocks outperform more expensive ones. The only problem is, it hasn’t worked for much of the past decade.

In fact, Eugene Fama and Kenneth French who formalized the value premium, even questioned its existence in an article from 2020. It was perhaps a good counter-indicator. In 2021, value investing has seen signs of life. Will it last?

What is value investing?

Value investing has a myriad of different variations, but at its core it’s about buying stocks that are cheaper than others. For example, on metrics like earnings, cash flow, EBITDA, dividends, or book value, investing in value means that you own the stocks that give you more for your invested money.

Yes, other stocks may seem like they have a better outlook, but in the long run it’s hard to predict revenue and earnings growth because it’s easy to go wrong. Stocks that are overlooked by the market may shine, or at least hurt less than feared, while the most valued growth stocks are not delivering as much as expected.

Historical performance

Value has been a robust investment factor from 1800 to 2016. This means that bets on value stocks have tended to outperform the broader market, on average. As such, the historical evidence for value is pretty strong.

The concept of value-oriented investing has persisted over time, asset classes and geographies. This is normally a good sign. However, in recent years, value investing has not produced the returns many had hoped for. Maybe it’s because now he’s too popular. Maybe the value is a cluttered trade. It is also possible that the markets have become more sophisticated. Perhaps better quantitative models now make definitions of value such as book value naïve.

However, if it doesn’t, then maybe the value is about to rebound, and maybe 2022 is the year for it. The January effect suggests that some cheaper stocks could rebound in early 2022, whether or not that happens may indicate how the year might play out for value investors.

However, you also have to be careful about what you want. There is evidence that a value investing strategy tends to perform better during recessions.


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PJSC Sberbank: Sber Asset Management launches new investment strategy for China https://mawfin.com/pjsc-sberbank-sber-asset-management-launches-new-investment-strategy-for-china/ Mon, 27 Dec 2021 12:47:04 +0000 https://mawfin.com/pjsc-sberbank-sber-asset-management-launches-new-investment-strategy-for-china/ Sber Asset Management has launched a trust management strategy for accredited investors called Celestial Income. The strategy invests in the most attractive Chinese stocks and bonds[1]. The share of bonds in the strategy is 70%[2]. It includes debt securities of state-backed banks, automakers, and developers. The average duration of the portfolio is 5.9 years. The […]]]>

Sber Asset Management has launched a trust management strategy for accredited investors called Celestial Income. The strategy invests in the most attractive Chinese stocks and bonds[1].

The share of bonds in the strategy is 70%[2]. It includes debt securities of state-backed banks, automakers, and developers. The average duration of the portfolio is 5.9 years. The yield to maturity is 4.87%.

30%[3] The strategy’s portfolio consists of stocks of the 50 largest Chinese companies by market capitalization. The portfolio is broadly diversified and primarily includes sectors such as media, retail, semiconductor and vehicle manufacturing, banking and insurance companies, and healthcare. Large companies such as Tencent, Alibaba and Taiwan Semiconductors hold the largest stakes in the portfolio. The portfolio includes stocks with high growth potential.

Dmitry Postolenko, Senior Portfolio Manager, Sber Asset Management:

“As one of the world’s largest economies with high growth potential, China is showing all signs of becoming the world’s largest economy in 10 to 15 years. This is why investments in the Chinese market are already very promising today. the Chinese market is very specific, and its mechanisms are determined by particular factors. If you do not have sufficient expertise and do not follow the internal processes of the country, it is very difficult to understand these factors. Celestial Income’s fiduciary management This strategy allows you to invest in the Chinese market without any particular knowledge or expertise. “

Investments in the Celestial Income strategy start at $ 15,000. The currency of the strategy is the US dollar. The recommended investment period begins at three years. There is no currency risk.

[1] Investments in stocks and bonds are made by purchasing investment stocks in the Investments in China interval fund managed by Sber Asset Management

[2] As of December 22, 2021

[3] As of December 22, 2021

Warning

Sberbank of Russia published this content on December 27, 2021 and is solely responsible for the information it contains. Distributed by Public, unedited and unmodified, on December 27, 2021 12:46:05 PM UTC.


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Levitation is not a long term investment strategy https://mawfin.com/levitation-is-not-a-long-term-investment-strategy/ Thu, 23 Dec 2021 11:01:50 +0000 https://mawfin.com/levitation-is-not-a-long-term-investment-strategy/ Jeanne Lappin In the first quarter of 2020, when the coronavirus reached our shores, it caused a dramatic crash. The markets have lost 38% of their value in three weeks. The Federal Reserve decided to back all possible asset classes with $ 120 billion in cash injections each month to bolster our economy as it […]]]>

Jeanne Lappin

In the first quarter of 2020, when the coronavirus reached our shores, it caused a dramatic crash. The markets have lost 38% of their value in three weeks. The Federal Reserve decided to back all possible asset classes with $ 120 billion in cash injections each month to bolster our economy as it entered a total shutdown. This pumping of money continued uninterrupted for 21 months, inflating the prices of stocks, houses, cars, lumber, toys, furniture and just about anything you want to buy. Yes, there are other factors involved like President Trump’s $ 2 billion bailout bill. It just added more excess money to the system.

Couple all that excess cash with adopting TINA (There is no alternative) to own stocks when bond portfolios are not earning anything. Stock prices have been pushed to insane valuation levels that make no sense. This is what we are correcting now. Markets are also fearful as all that pumped money will be reduced to zero by April.

The stock market has become an incredible entertainment for many locked inside. Initially, people bought companies like Zoom (589 now 198), ROKU (491 now 228), Amazon (3,773 now 3,341) and Peloton (171 now 38) which would benefit from looking after and working at the home before vaccines are available. and he was sure to get out. Now a lot of them are crashing to earth. What you pay for a stock really matters, especially if you want to buy low and sell high.

There are long established investment rules that really work for making money. Don’t be a dynamic investor, chasing the stain on the Dalmatian’s tail in front of you. That’s what the Reddit / Robinhood mob was doing. Never pay 100 times the losses for anything. Pick stocks that are no longer in vogue and are not valued at great prices. You better be in front and not behind the crowd. So be patient.

Advanced Micro Devices was just such a stock at 11 over four years ago. The company was on the verge of bankruptcy before Lisa Su came in as the new CEO to try to fix the mess. What was especially delicious was that no one believed she could. AMD traded between 10 and 15 months until it started to gain respect. When income and income became reality, the multiple that people would pay for that income also increased. This made it a “double whammy” stock combining earnings growth with multiple P / E expansion.

Now consider Ford (which we own). Ford was the only American automaker not to agree to a bailout to avoid bankruptcy during the Great Recession, as GM and Chrysler did. Even so, he got no respect in 2020 and traded in single digits. Today, Ford is a company in rapid transition to be an electric vehicle player that really knows how to make cars and trucks. In volume. It markets a new electric delivery van, its Ford 150 Lightning truck and the Mustang Mach E, all developed over several years but announced this year. Suddenly, with a new CEO savvy in PR, everyone loves Ford. Profit estimates increase and P / E increases. Another stock double whammy. Here’s the real shock: Ford is up 120% this year compared to Tesla’s 28% gain.

Always remember that when the markets get tough investors want profits. They want balance sheets. They love dividends. Vaporware can only take you so far. Beware of businesses with no income for years to come. They may never come. Actions never levitate forever. When the slowdown arrives, as always, just like Icarus when he flew too close to the sun, you too will crash into earth.

Joan Lappin CFA has been called an “investment guru” by Business Week and a “top manager” by the Wall Street Journal. The Sarasota resident founded Gramercy Capital Management, a registered investment advisor, in 1986. Email her at JLappincfa@gmail.com. Follow her on twitter: @joanlappin. Its previous columns appear at heraldtribune.com/business/columns.

This article originally appeared on the Sarasota Herald-Tribune: JOAN LAPPIN: When Markets Get Tough, Investors Want Profits


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investment strategy | Market Outlook: Sunil Singhania’s 2022 Tip: Forget Fear or Greed; be positive and stay invested https://mawfin.com/investment-strategy-market-outlook-sunil-singhanias-2022-tip-forget-fear-or-greed-be-positive-and-stay-invested/ Thu, 23 Dec 2021 08:00:00 +0000 https://mawfin.com/investment-strategy-market-outlook-sunil-singhanias-2022-tip-forget-fear-or-greed-be-positive-and-stay-invested/ “Markets are like cardiograms – as long as they go up and down we are all vigorous. So to some extent this correction was welcome. It leads to a bit of stability when it comes to price action. “For a long time as futures investors, this gave the opportunity to create a portfolio of choice […]]]>
“Markets are like cardiograms – as long as they go up and down we are all vigorous. So to some extent this correction was welcome. It leads to a bit of stability when it comes to price action. “For a long time as futures investors, this gave the opportunity to create a portfolio of choice rather than going in and chasing stocks. So we weren’t unduly worried and we are not unduly worried,” says Sunil Singhania, Founder, Abakkus Asset Manager LLP.

We were looking for a Santa Claus this year. You have become your investors’ Santa Claus!
Thank you very much for all the kind words. It has definitely been a very good 18 months since the start when the pandemic hit us. Those who have been positive about the Indian economy and Indian stock markets have fared very well.

But for the first time in December, this market put our nerves to the test which had not been done in this bull market so far. The market is down 10% from the recent high. We have seen a bad period of volatility. So is this the new normal? Are we ready for the same in 2022?
Volatility has always been the order of the day in the equity markets. Obviously, no one likes deep corrections because we are inherently all bullish when it comes to the stock markets. But as October approached, we were in a phase where making money was becoming too easy. IPOs were out of date. They used to open two to three times their IPO price. Many stocks in the wider market were hitting new highs on a daily basis and it was like there was no tomorrow.

So to that extent it was very obvious that there had to be some correction. Obviously, the correction lasted longer than it had in the past two years and Nifty’s 9-10% correction caused some of the broad market stocks to drop 20-30%. So to that extent, yes, investors were a little nervous, but it’s something we’ve seen a few times before and so I don’t think we need to be overly concerned.

I always say markets are like cardiograms – as long as they’re high and low we’re all healthy and warm and pretty well. So to some extent this fix was welcome. This leads to a bit of stability when it comes to price action. For long-term investors, this also gives the opportunity to build a portfolio of choice rather than going into it and chasing stocks. So we weren’t unduly worried and we are not unduly worried. I’m not saying we’re at the end of it. Maybe we will have more bouts of volatility. The flow of information on a global scale is very intense these days. I think equity investors should always be prepared for volatility, maybe volatility is slightly higher, but so be it.

We call 2021 a year of fascination and imagination. Fascinating things have happened in the digital world, whether it’s crypto or NFT. The sheer wealth that has been created in other asset classes, the kind of excitement we’ve seen is unprecedented. What does this mean for the overall picture for 2022?
I think the world has become more dynamic. There have been upheavals, new concepts and new ways of living. You forget the meta-world which is the virtual world. It looks like a sci-fi movie where you can virtually buy a house, virtually have friends, virtually buy paintings and so on and that is where the NFTs of the world come in. At the same time, it should be remembered that some of the big winners having the same boring old businesses like steel, textiles and others perform better than all of the high-flying themes.

So while we need to be aware of all of these themes, blindly investing in them, no matter how valued, will not be good for the financial health of investors. The reason in terms of what you pay is as important as the theme you are playing for.

In case we see a reversal or adjustment in the NFT or the crypto world, could this impact risk appetite and fairness as an asset class?
In the short term this has an impact, but over a period of time investors adjust. Investors who are interested in new products, which the traditional ones do not understand and do not want to understand, are very different. So crypto could turn out to be a great asset. I do not understand and therefore we stay away. NFT is another thing; the concept is superb but how to promote them? We do not know.

But luckily, crypto is mass retail, so the amount invested is very low so far. As for NFT, there are only a handful of investors, but when you look at them and read a lot of things written on them, I think the only reason investors invest is because they think the price tomorrow will be more than it is today. No fundamental justification is given for any of these new age trading instruments. But yes, in the short run, if people lose a lot of money in a single asset, maybe if investors are common to all asset classes, it could have an impact. In my opinion, this will not have too much of an impact on other asset classes.

One of the reasons you’ve been so successful is that you bet on IT, Mastek, Route Mobile, and your good old favorite HCL Tech. where is IT going now? In light of what we’ve heard from Accenture, how do you see the IT industry?
IT services is a sector where Indian companies have global competitiveness and expertise. The other thing that is happening in the IT world is that many businesses have yet to embrace the new age to digitize all of their operations. For example, everyone wants to move to the cloud, but there is a data point that says less than 25% of companies have adopted the cloud so far. Thus, 75% more companies must adopt the Cloud. And when they do, they’ll need companies to enable the movement and that’s where Indian IT service companies would come in.

The world of digitization is similar to the world of data analysis. When we talk to IT service companies, I find demand to be the least of their problems. The problem now is more the supply, the increase in the number of people. We are therefore in a phase where the next four or five years are shaping up to be extremely good for IT departments.

We also have a bit of mind where we look at profitable companies and the profit growth of the underlying assets. So IT departments and businesses that were exposed to the digital world were our way of investing almost into the new age. So we were lucky. We were a little early. Businesses have done well, but as we move forward we continue to be overwhelmingly positive about the IT services space. The recent small depreciation of the rupee is also a positive wind and these are companies that are maintaining a growth rate in their mid teens. They are free cash flow generating companies that pay high dividends and opt for buyouts. They tick all the boxes and we remain overweighted in this segment.

Are your top 10 headlines likely to change dramatically over the next 12 months?
As long as the business continues to operate as expected of them, there is no reason for us to go out of business. It’s always easy to say the stock has gone up 50%, 100% and let us sell it, but we don’t realize that something else we will be buying would have also seen a similar or maybe slightly higher move. lower. So as long as the business has been performing as expected or better, there is no reason for us to go out of the business.

At the same time, what’s good about the Indian economy and the markets is that we are very diverse. We are present in all sectors. We have so many listed companies. The country is growing thanks to entrepreneurs and many, many of them continue to appear. So, time and time again, opportunities present themselves and as investors we are open. We are not obsessed with particular sectors or themes. The only underlying theme we follow is that the company should have visible earnings growth and, to that extent, we are open to investing in companies from all industries.

In fact, we made as much money in a steel company as we did in an IT services company. So, at a price, every business can be a great business, and at a price, the best business may not be the best stock. It is a simple philosophy that we follow. So, it is possible that many of them will continue to be in the main holdings and it is also possible that new ones will be added.

The differentiator for an investor over the past 18 months has been that those who bought fear have hit a home run. What will the differentiating approach be for an investor for the next 12-18 months now?
Maybe part of it is right that if you bought at the height of the fear, you made a lot of money, but even though you were an investor before Covid, you made great returns. Our two funds were launched before Covid, so these returns are independent of whether you bought at the height of the fear or before.

The bottom line is that if you invest in a country that has visible growth rates in terms of GDP, corporate profits will grow faster than GDP, and returns on a compound basis will be phenomenal. The problem is, we end up comparing our returns from low to high and from peak to low and therefore we become fearful and greedy from time to time.

My take would be that an investor should have reasonable expectations and if they have a four to five year time horizon there is no reason to believe that Indian stocks cannot deliver teen-like returns. . If one is very smart and can time the market and if one is brave enough to put everything up to the peak, go ahead and do it. But I don’t think there are too many such investors and it’s best to keep it simple – be positive and stay invested.

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investment strategy: consumer discretionary is in an ideal position for the next 12-18 months: Sailesh Raj Bhan https://mawfin.com/investment-strategy-consumer-discretionary-is-in-an-ideal-position-for-the-next-12-18-months-sailesh-raj-bhan/ Wed, 22 Dec 2021 09:02:00 +0000 https://mawfin.com/investment-strategy-consumer-discretionary-is-in-an-ideal-position-for-the-next-12-18-months-sailesh-raj-bhan/ We are entering a phase of consolidation where the markets will examine how the larger sectors that have improved over the past 12 months and are starting to produce in terms of earnings. The recent correction reflects some consolidation and a very strong three-year earnings environment in India, ”says Sailesh Raj Bhan, senior fund manager, […]]]>
We are entering a phase of consolidation where the markets will examine how the larger sectors that have improved over the past 12 months and are starting to produce in terms of earnings. The recent correction reflects some consolidation and a very strong three-year earnings environment in India, ”says Sailesh Raj Bhan, senior fund manager, Nippon India Mutual Fund.


Do you think the running of the bulls will continue in 2022?
Some of the bull run has certainly happened over the past 12-18 months and we’ve seen a substantial reassessment. We are entering a phase of consolidation where the markets will examine how the larger sectors that have improved over the past 12 months and are starting to produce in terms of earnings. The recent correction reflects some consolidation and a very strong three-year underlying earnings environment in India.

The last few years have been pretty weak and we’ve seen an improvement come in and when you see these big sectors pulling, it can hold up for a while. Overall, a strong earnings environment over the next three to four years should benefit.

Over the past profiting season, Indian corporate margins have been squeezed due to rising inflation. It is now a global problem. Inflation in the United States is at its highest level in four decades. We have seen the action of the FOMC. The Bank of England responded with a rate cut off the turn. Back home, let’s see what happens. How would you play with this theme in the markets?
Inflation is real in the sense that it affects all sectors and certainly has an impact or push on prices. Businesses have no choice but to raise prices. The only point is that this happens after an extended period of five to seven years of companies’ squeezed price increase capacity.

This is sort of a welcome relief for a lot of companies in terms of the ability to price commodities in particular. Directionally, the pressure on consumption is there. The reality is that November has generally been a bit weaker. The post-holiday season has been weaker in India and a few pressure points exist as larger price increases exist and consumer stress is visible today. We’re seeing a slowdown on the rural side and some kind of pressure because of the bigger increases that businesses have to take.

Inflation is also distorting a bit as we had a very low inflationary period before the rebound in the last 12 months. Now from the bottom we see a very clear change. As things normalize over the next 12 months, we would see inflation absorbed from a corporate profitability perspective and normalized margin should be back in a few quarters in India.

Zomato’s profitability is low or rather the loss is higher and the market capitalization is higher. This is the same with some of the other new listings. How are you adapting to these changes?
In most companies of the new era it depends more on how they have been valued in the private market and some of them are reflected in the public market as well. We pay a lot for a lot of these new age companies in terms of initial valuations.

In a few companies a certain premium is warranted, but we find that because the markets have been so good for the last six to nine months and valuations, a lot of these private companies are getting pretty high. We are seeing a flood of IPOs. Some streamlining or resetting of the way government markets perceive private companies coming in for listing is clearly visible in recent months. Our approach is therefore very simple.

There is the right to win. We are willing to give a premium to a longer time horizon when we find that even the business model or type of scale and scope of the opportunity is limited. There, the evaluations are far from reality. We completely avoid these spaces and so it’s a mix and match. Pick a few good opportunities to gain opportunities and maybe give them a little higher than normal valuation while avoiding 80-90% of those companies.

In the past you bought Info Edge, now Naukri. You have integrated the entire living space very well. You bought specialty foods. How do you bet on the consumer space?
After a few years of consolidating valuations and slowing growth, consumer valuations are starting to normalize. Valuations are squeezed by around 20-30% at most of these companies, but the recovery and rebound in growth is still a long way off. I don’t think this is a very easy trip as Covid has certainly impacted lower middle India in a certain context in terms of income and savings. A certain slowdown in consumption seems to be the challenge today and it will play out over the next 12 months. This is a reassessment for pure consumer businesses and although consumer staples don’t appear to be the case, consumer discretionary, which targets the 10-15-20% of India, seems less affected.

So there is a possibility to participate. Nothing is free on the market today. Valuations are not what they were 12-18 months ago so you have to be very picky and selective, but companies serving the top 20% are doing well and seem to be in an ideal position for the 12-18. next months as well. .

You bought stocks like Linde India and there is a big commitment. Are you betting on all this clean energy space, new energy, hydrogen?
Some of the investments in the industrial sector, made in recent years, have been more in terms of economic recovery, volume, manufacturing, industrial activity and capacity building in India. Underlying factors like low taxes, very low interest rates and now the political environment favors everything related to manufacturing.

The investment is much more likely to do well over the next four years due to the weaker performance in the past and also changes in demand, location and all the other factors; China plus a factor also supports this. So the core belief of investing in consumption is an important theme over the next three, four years and a lot of our investments contribute to that.

Some of the investments go into pretty much anything that happens in the manufacturing sector that requires industrial gases or the creation of capacity or companies that rely on the growth of capital goods. Our aim is to choose those types of businesses that can eventually have revenues that are maybe double or 50% higher than the average index revenues and this is where the opportunity to capture growth remains in India today. ‘hui.

You managed a pharmaceutical fund. MNC pharma, domestic pharma or API pharma – where do you see the growth and where do you see the problems?
The most important segment of pharmaceutical sales is the domestic market. It is very clear that this continuing to compose market is completely underpenetrated and any variable you look at can generate significantly above normal growth for the next 10 to 15 years.

Also, the profitability of this market is very high or very good given the context of capital required for the company and the company’s margin structure. Market underpenetration and expansion may still not be as good as it was 10 to 15 years ago, but it is still very, very high.

The best known fact today is that 27 crore people in India are over 50 years old. India which is considered to be one of the youngest nations in the world with a predominant young demographic profile has 27 crore of people over 50 and every year 80-90 lakh people are added to this group every year. .

This creates a huge market and with very strong brands today there are very few challenges for the current national brand business. This space continues to worsen and will likely create the greatest value for the pharmaceutical industry. The other important segment is that of export oriented companies on the brand side. Indian companies sell their brands in around 15-20 countries with their own field strength or their own brands in markets comparable to India. These are emerging market opportunities and have a profile similar to India. But the prices are better there than in India. Thus, these sections can grow 10-15% for a long time. Similar economic aspects also come into play.

The third area where the struggle has taken place in terms of US markets is where the pressures on commodity prices continue to be high in the sense that the commodity sector is not in a position to price better. generic space in the United States, but some companies have taken the plunge to enter the brand’s specialty areas. It’s an extremely difficult market, but the size of that market is much bigger and some of these companies can reach $ 1 billion with 40% contribution. This is an important opportunity and few leaders will seize it.

Finally, in India there is a very exciting opportunity in the hospitals and diagnostic service space. It is a sector that has suffered greatly from the underpenetration of insurance, the very high cost of setting up infrastructure and generally lower revenues compared to the cost of appropriate medical treatment in an expensive space. fully-fledged private sector. Covid has really made a big difference in terms of healthcare preferences, in terms of the type of money that will go into that particular sector, the need for capacity and the entire domestic hospital space is also able to price their services very well.

I think maybe this space is a result of very normalized profits towards a reasonably strong profit environment and that the demand environment is also reasonably good. There cannot be excess demand, but normal levels of income growth and whatever supports reasonably good growth. Plus, insurance penetration helps space. Thus, the private hospital space also works very well.

Finally, the new tech space or the pharmacy and online solutions space or the health tech space and I think it’s just emerged, the models haven’t been proven yet, no scale in many cases are not reached yet and I think the economy, except on the pharmacy side, I think, does not appear to be there at the moment. These are therefore spaces that we are watching.


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