Equities

Asset allocation – Kinetic vs. potential energy

Columbia Management Global Asset Allocation Team, | August 4, 2014

While most equity markets had positive first half performance, we still expect modest acceleration in growth ahead for the global economy. From both a valuation perspective and investor sentiment viewpoint, Chinese, Russian and Japanese equities look cheap. Europe appears vulnerable to shifting sentiment in addition to further downward revisions to profit expectations. In our latest

Corporate governance – The next catalyst for Japanese equities

Daisuke Nomoto, Senior Portfolio Manager | August 4, 2014

Overhauling corporate governance to harness the power of private enterprise is critical to Japan’s growth strategy. Better engagement between corporate management and shareholders should ultimately lead to higher returns for holders of Japanese equities. We are focused on companies that can generate sustainable free cash flow, earn returns well above their cost of capital and

Investing selectively in Asia

Soo Nam Ng, Head of Asian Equities | July 14, 2014

Beneath the surface of slowdown headlines lay pockets of exciting growth opportunities. As companies step back from chasing revenue growth and start emphasizing profit delivery, better cash flows and dividend payouts typically follow. We see the greatest contrarian opportunities in sectors where market sentiment has been most depressed. In my previous two articles, I argued

Second quarter earnings preview

Tom West, Director of Equity Research | June 30, 2014

We believe YTD valuation improvement in stocks is more likely the result of basic supply and demand than an upward revision off corporate prospects. Going into corporate reporting season, we’re focused on whether the cyclical sectors show some signs of increasing activity. For the less cyclical sectors and consumer discretionary industries, we want to see