The minimum volatility strategy has worked very well in the last ten years. It also tends to be a less risky strategy.
The potential for a downside protection and upside participation is how minimum volatility strategies have delivered strong risk-adjusted returns over the long term.
The advantage of minimum volatility funds is that by limiting the downside during the deepest troughs, it’s well poised to capitalize on the rebound.
Jim Chanos, the founder of Kynikos Associates, believes that China’s (ASHR) (FXI) outlook is pretty grim due to its immense debt burden.
The SSE Composite Index rose slightly by 0.4% to 2,927.16 from June 1 to June 8, 2016, as the market prepared for the long weekend.
Sound government policies are essential for healthy business growth. Frequent changes in policies are detrimental to business.
Zell sees investment opportunities in emerging markets. Investment in emerging markets is possible by identifying growth opportunities.
In an interview after the SALT Conference 2016, Sam Zell mentioned opportunities in emerging markets, regulations, and the upcoming US presidential election.
China’s manufacturing sector has been plagued by weak demand, rising labor costs, overcapacity in industries, and tighter resource and environmental constraints.
The Shanghai Stock Exchange (or SSE) Composite Index rose from May 25 to June 1, 2016, and closed at 2,913.51 on June 1.
Sam Zell, a real estate tycoon, said in an interview wth CNBC on May 24, 2016, that “the Federal Reserve should have raised interest rates two years ago.”
Mark Yusko has been bullish on China for a long time. He thinks that although China’s GDP declined, it’s still at a much higher level than other countries.
The SSE Composite Index was almost flat for the week ending May 27. It ended at 2,821.05 on May 22. Investors were cautious about a probable rate hike in the US.
China launched the new gold fix mechanism on April 19, 2016, in which gold is priced in the yuan. The Shanghai Gold Exchange set the price at 256.9 yuan, which is $39.71 per gram.
Central banks in developing economies have gone on a gold-buying spree, with China and Russia leading the pack.
China and Russia are selling U.S. Treasuries to prop up their currencies, which lost a lot of value against the dollar last year.
According to the U.S. Department of the Treasury, central banks are selling U.S. Treasuries at the fastest pace since 1978. They’ve sold a total of $123 billion so far this year.
Following the release of the FOMC minutes, investment-grade bond (FMEQX) (CSJ) (BND) yields jumped 10 basis points from the previous day and ended at 3.18% on May 18, 2016.
With the US economy gearing itself up for the another rate hike, investors are investing in short-term Treasury securities whose price will fall less in value when interest rates rise.
DoubleLine’s chief executive officer Jeffrey Gundlach wrote in an e-mail that the Fed is “signaling economic data are sufficiently robust to warrant a rate increase.”