3-Year Treasury Notes’ Overall Demand Fell on July 7
The US Treasury holds monthly auctions of three-year Treasury notes. The latest auction was held on July 7.
Hyman Bullish on Financials, Investors Upbeat about Rate Hike
Trump’s domestic growth-friendly policies Returns have been surging for the financial sector (XLF) (VFH) as the market expects to benefit from the Trump administration’s projected policies. Markets are highly confident with the expectation of more rate hikes, for example, and of widespread deregulation. Banks’ earnings have thus been getting a huge boost, and the market has been […]
What Led to Invesco’s Discounted Valuations?
Invesco has a price-to-book ratio of ~1.4x on an LTM basis.
How Did US Treasury Auctions Fare Last Week?
The US Department of the Treasury’s 26-week Treasury bill, or T-bill, auction, totaled $26 billion last week.
How Wall Street Analysts View Invesco
Of 16 analysts tracking Invesco in April 2018, four analysts suggested a “buy,” and six analysts gave “hold” ratings on the stock.
What’s Expected from Invesco Moving Forward?
Analysts gave a high estimate for Invesco’s (IVZ) 1Q18 earnings per share of $0.72 and a low estimate of $0.64.
Understanding State Street’s Investment Management Business
State Street Corporation’s (STT) investment management business generated revenues of $1.6 billion in 2017, up from $1.3 billion in 2016.
Analyst Ratings on Blackstone Have Stayed Steady
Asset managers have been negatively affected in 1H 2018 by the unsupportive global environment.
How ETFs Can Impact State Street’s Investment Management Division
In the first quarter, BlackRock (BLK) saw inflows of $35.0 billion in its ETF offerings.
Declines in S&P 500 correlation benefiting TROW, IVZ, and JNS
The concept of tracking the dispersion of stocks via a correlation reading may be a bit intimidating. However, the principle doesn’t involve a lot of grey matter.
Bill Gross: Top Stock Picks with High Dividend Yields
On October 18, CNBC reported Bill Gross top picks. His top stock picks were Annaly Capital (NLY), Invesco (IVZ) and Allergan (AGN).
Private equity, hedge funds, and other alternative assets
Private equity is capital invested in companies that aren’t listed on stock exchanges. These alternative assets include venture capital.
Acquisitions Boost Invesco’s Assets under Management
Invesco (IVZ) reported its second-quarter results today, posting EPS of $0.66.
State Street’s Second-Quarter Earnings and Acquisition Plan
On July 20, State Street (STT) reported its second-quarter earnings. The company’s EPS was $2.05, which surpassed analysts’ expectations by $0.04.
How T. Rowe Price’s Valuation Compares
T. Rowe Price’s (TROW) NTM (next-12-month) PE ratio is 15.19x, higher than peers’ average of 10.08x.
What Could Help T. Rowe Price in Q2 2018
Of T. Rowe Price’s (TROW) total assets under management in the first quarter, $579.3 billion comprised equity, $135.8 billion comprised fixed income and money market assets, and $299.1 billion were multi-asset funds.
How Macros and Monetary Policies Could Drive TROW’s Performance
Donald Trump’s imposition of additional tariffs on $200 billion in Chinese imports has increased trade tension, which could impact the global economy and business.
State Street’s Investment Servicing Division: What’s Ahead?
In the first quarter, State Street’s Investment Servicing division garnered net interest income of $663.0 million for a YoY increase of 30.0%.
Tariffs: TD Ameritrade’s Views and the Impact on Asset Managers
On July 11, JJ Kinahan of TD Ameritrade Holding (AMTD) stated his views on the rising US-China trade tensions.
What Charles Schwab Predicts for Second Half of 2018
On July 10, Charles Schwab (SCHW) presented its forecast for the second half of the year.
A Look at Invesco’s Total Assets under Management
At the end of the first quarter, Invesco (IVZ) had total AUM (assets under management) of $934.2 billion.
What Will Invesco’s Revenue Be in Q2 2018?
Of Invesco’s (IVZ) total first-quarter operating revenue of $1.4 billion, the company’s investment management fees contributed $1.0 billion.
What Could Affect Invesco’s Performance in Q2 2018?
In this series, we’ll study the factors that could drive Invesco’s performance, valuations, and analyst ratings.
State Street’s Investment Management Division in Q2
State Street’s (STT) investment management division garners fee revenue from trading services, management and processing fees, and other revenue.
What’s Expected for State Street’s Investment Servicing Business
In the first quarter, State Street’s (STT) fee revenue made up a significant portion of its investment servicing revenue.
T. Rowe Price’s Assets under Management Rose in May
T. Rowe Price released its AUM for May on June 12. The company’s AUM was $1.04 trillion—compared to $1.02 trillion in April.
T. Rowe Price Group’s 1Q18 Results Beat Expectations
T. Rowe Price Group reported earnings today for the quarter that ended in March.
How Analysts Are Viewing Blackstone
Blackstone (BX) is covered by 14 analysts in March 2018. Seven of them are recommending a “strong buy” for the stock, and six are rating it a “buy.”
How Analysts View Invesco
16 analysts covered Invesco Limited (IVZ) in February 2018.
How Do Invesco’s Valuations Look?
Invesco (IVZ) has a price-to-earnings ratio of 10.77x on an NTM (next-12-month) basis compared to the peer average, which stood at 16.56x.
How Invesco’s Long-Term Inflows and Outflows Trended in 4Q17
Invesco (IVZ) witnessed long-term inflows amounting to $56.7 billion in 4Q17, while long-term outflows were $52.3 billion.
Analyzing Invesco’s Total Assets under Management
As of December 31, 2017, Invesco’s (IVZ) total assets under management (or AUM) stood at $937.6 billion.
What Are Invesco’s Total Operating Expenses?
Invesco Limited (IVZ) incurred total operating expenses of $1.0 billion in 4Q17 compared to $982.4 million in 3Q17, which reflects a rise of 5%.
How Invesco’s Assets under Management Are Trending
As of January 31, 2018, Invesco Limited (IVZ) reported total assets under management (or AUM) of $972.6 billion, a 3.7% rise compared to the total AUM as of December 31, 2017.
What Analysts Are Recommending for State Street Today
Of the 20 analysts tracking State Street (STT) in January 2018, none has recommended a “strong sell” or a “sell.”
Can State Street Recover from Discounted Valuations?
State Street’s (STT) PE (price-to-earnings) ratio stood at 14.6x on an NTM (next-12-month) basis, compared with the peer average of 17x.
Understanding State Street’s Balance Sheet
State Street’s (STT) total assets stood at $238.4 billion at the end of 4Q17, compared with $242.6 billion in 4Q16.
Invesco’s Total Operating Revenues Rose Marginally
Invesco (IVZ) generated total operating revenues of $3.7 billion in the first nine months of 2017.
Assets under Management of Alternative Asset Managers
On June 30, 2016, Carlyle Group (CG) reported total assets under management (or AUM) of $175.6 billion.
How Invesco’s Dividend Yield Curve Has Evolved
Revenue and earnings Investment management company Invesco (IVZ) saw its revenue fall 8% in 2016, after flat growth in 2015. In 2016, its investment management, service and distribution, and performance fees fell. Its operating expenses fell 3%–5% in 2015 and 2016, and its operating income fell 13% in 2016 after rising 6% in 2015. Meanwhile, its […]
Last Week’s 13-Week Treasury Bill Auction: Focus on Direct Bidders
The US Treasury Department auctioned 13-week Treasury bills (or T-bills) worth $28 billion on May 2.
Overall Demand Jumped for 52-Week Treasury Bills Auction
The US Treasury auctioned $20 billion worth of 52-week Treasury bills (or T-bills) on April 26, 2016.
Overall Demand Barely Moved for 2-Year Treasury Note Auction
The US Treasury holds monthly auctions for the two-year Treasury note.
Why the Bid-to-Cover Ratio Fell for the 26-Week T-Bills Auction
The U.S. Department of the Treasury held the weekly 26-week T-bills auction on April 11. T-bills worth $4 billion were on offer—the same as March.
Overall and Fundamental Demand Rose for 30-Year T-Bonds
The monthly auction for 30-year Treasury bonds, or T-bonds, was held on April 14 for $12 billion—the same as the previous month.
What Just Happened to 26-week Treasury Bills?
At the Treasury Department’s weekly auction of 26-week Treasury bills on March 28, T-bills worth $26 billion were on offer—$2 billion less than last week.
Why Overall Demand Tanked for the 2-Year Treasury Note in March
The two-year Treasury note auction size was set at $26 billion, an amount that has been constant since January 2015. The issue’s coupon rate was ~0.88%.
Coupon Rate, High Yield Rose for 5-Year Treasury Notes in March
On March 29, five-year Treasury notes worth $34 billion were auctioned—the same as one month previously. The issue’s coupon rate was set at 1.25%.
Why Did the Bid-to-Cover Ratio Jump for 30-Year Treasury Bonds?
The monthly auction for 30-year Treasury bonds (or T-bonds) was held on March 10 for $12 billion, $3 billion lower than in the previous month.
2-Year T-Notes’ High Yield and Coupon Rose
The demand for the two-year T-notes was higher at the November 23 auction. The bid-to-cover ratio rose by 4.7% to 3.2x at the November 23 auction.
YTD High Yield for the Two-Year Treasury Note Auction
Demand for the two-year Treasury note was higher in September’s auction. The bid-to-cover ratio rose by 3.5% month-over-month to 3.27x in September’s auction.
High Yield Rose Due to the 10-Year TIPS Auction
Nominal bond yields rise due to higher inflation expectations. TIPS protect the value of debt securities from eroding due to inflation.
Market Demand Rises for 26-week Treasury Bills on August 31
The US Treasury held the weekly 26-week Treasury bills auction on August 31. After a fall in demand the previous week, the fundamental market demand rose.
Market Demand Rises for the 26-Week Treasury Bills
The U.S. Department of the Treasury held the weekly 26-week Treasury bills, or T-bills, auction on July 27. T-bills worth $24 billion were on offer.
Indirect Bidding Rose at the 2-Year Treasury Notes Auction
The demand for the two-year T-notes was higher in the July auction. The bid-to-cover ratio rose by 4.30% month-over-month to 3.42x in July’s auction.
Overall Demand Is Weak for 26-Week Treasury Bills
The U.S. Department of the Treasury held the weekly 26-week Treasury bills, or T-bills, auction on July 13. T-bills worth $24 billion were on offer.
Overall and Market Demand for 5-Year Treasury Notes Fell in June
Yield on five-year Treasury notes in the secondary market fell marginally lower following the auction. It ended at 1.69% on June 24, down two basis points from the previous day.
Demand for 10-Year Treasury Inflation-Protected Securities in May
Nominal bond yields rise due to higher inflation expectations. Treasury Inflation-Protected Securities protect the value of debt securities from eroding due to inflation.
Indirect Bidders Storm 26-Week Treasury Bills Auction on April 13
After two weeks of staying away, indirect bidders, which include central banks, came back to buy 26-week Treasury bills. It was a rare occurrence.
Market Demand Up for 3-Year Treasury Notes at April Auction
Yield on three-year Treasury notes moved higher in the secondary market after the auction. It ended April 7 at 0.85% compared to 0.83% on April 6.
Strong Indirect Bidding at April’s 30-Year Treasury Bond Auction
The overall demand at the 30-year Treasury bond auction remained weak with the bid-to-cover ratio reading 2.18, the lowest since May 2014.
Demand for Ten-Year TIPS Surges as the Fed Backs Off
The U.S. Treasury auctioned ten-year TIPS worth $13 billion on March 19. The amount was lower by $2 billion from the January 22 auction.
Indirect Bidders Flock to the 30-Year Treasury Bond Auction
The monthly auction for the 30-year Treasury bond, or T-bond, was held on March 12 for $13 billion. It was $3 billion lower than the previous two auctions.
How does BlackRock compare to its peers?
How does BlackRock compare to its peers? BlackRock faces major competition from State Street and Vanguard.
Why the 26-week Treasury bill auctions see higher market demand
Market demand was strong at the auction. It was impacted by high demand from overseas bidders. The share of primary dealer bids in the August 18 auction fell to ~48%—compared to ~65% in the August 11 auction. Direct bids increased marginally to ~4% of the competitive accepted bids. The percentage of indirect bids increased to ~48% from ~32%.
Key investor takeaways from the 3-year US Treasury notes auction
The U.S. Treasury held this auction on August 12, putting $27 billion worth of securities on offer. The amount on offer was the same as July’s auction amount. Despite the same level of issuance, the bid-to-cover ratio was 10% lower at 3.03x—compared to 3.38x in the July auction.