IMF Staff Country Reports-The People's Republic of China: Financial Sector Assessment Program; Systemic Oversight of Financial Market Infrastructures-Technical Note
June 26, 2018--EXECUTIVE SUMMARY
China's landscape for Financial Market Infrastructures (FMIs) is one of the largest and most complex in the world. It consists of a range of payment, clearing and settlement systems, including several interbank payment systems, securities settlement systems and central counterparties(CCPs).
Many of the systems have high volumes by international comparison and are systemically important at a national level. Disruptions, both operational and financial, in one of these FMIs may significantly impact the functioning of the Chinese economy. The landscape is subject to changes, following international developments, such as the establishment of a cross-border interbank payment system (CIPS) and a CCP for over-the-counter (OTC) derivatives. The development of new, innovative products, for example, in the area of internet payments, is changing the landscape further.
JP Morgan Asset Management adds two to Asia Beta Strategies team
June 25, 2018--JP Morgan Asset Management (JPMAM) is expanding its Asia Beta Strategies team with two Hong Kong appointments.
Albert Chuang has relocated to Hong Kong as Portfolio Manager on JPMAM's Quantitative Beta Strategies Investment team. He is focused on quantitative research, model development and portfolio management for strategic beta and alternative risk premia strategies. He manages portfolios for both Funds and Institutional clients.
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Source: institutionalassetmanager.co.uk
Lonsec issues 'Recommended' rating for BetaShares' Hybrids Active ETF (ASX: HBRD)
June 25, 2018--Lonsec commends Fund Manager on strong understanding of the complex Australian hybrid market dynamics.
BetaShares, a leading manager of Australian exchange-traded products, has today announced its Active Australian Hybrids Fund (managed fund) (ASX: HBRD) has been awarded a 'Recommended' rating from Lonsec.
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Source: BetaShares
China's yuan eases again, set for worst week since Nov...
June 22, 2018--China's yuan fell to its lowest in more than five months against the dollar on Friday, hit by weaker central bank guidance and continuous seasonal corporate demand for the greenback. The Chinese currency, set for its worst week since November 2016, has erased all the gains it made this year.
"The losses in the yuan against the dollar this week reflect declines in the yuan basket index, with the U.S. tariff announcement a trigger," a chief dealer at a Chinese bank said. The renminbi has lost more than 1,000 pips or about 1.6 percent from last Thursday's late night close, the day before U.S. President Donald Trump threatened to impose new tariffs on Chinese goods.
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Source: newstage.com.ng
IMF Working Papers-Monetary Policy and Inflation Dynamics in ASEAN Economies
June 21, 2018--Summary:
This paper investigates the evolution of inflation dynamics in the five largest ASEAN countries between 1997 and 2017. To account for changes in the monetary policy frameworks since the Asian Financial Crisis (AFC), the analysis is based on country-specific Phillips curves allowing for time-varying parameters.
The paper finds evidence of a higher degree of forward-looking dynamics and a better anchoring of inflation expectations, consistent with the improvements in monetary policy frameworks in the region. In contrast, the quantitative impact of cyclical fluctuations and import prices has gradually diminished over time.
view the IMF Working Papers-Monetary Policy and Inflation Dynamics in ASEAN Economies
Source: IMF
Deeper reforms in Korea will ensure more inclusive and sustainable growth
June 20, 2018--Short-term prospects for the Korean economy are good, with an uptick in world trade and fiscal policy driving growth, but productivity remains relatively low and the country faces the most rapid population ageing in the OECD area, according to a new report from the OECD.
The latest OECD Economic Survey of Korea looks at recent economic developments, as well as the challenges to ensure that the benefits are shared by all. The Survey projects growth of about 3% for the 2018-19 period, and lays out an agenda for ensuring broader-based and more inclusive growth going forward.
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Source: OECD
Australian House Price Valuation Update: What's cheap, what's expensive?
June 20, 2018--The latest Australian Bureau of Statistics Residential Property Price Report suggests house prices eased in most capital cities in the March quarter. This note provides an update on my house price valuation estimates.
It suggests that while Sydney property remains relatively overvalued, several other capital cities now appear relatively cheap. Importantly, however, overall Australian house prices are not that expensive given the current level of interest rates.
Australian House Price Valuations
According to the ABS, the nation-wide value of "established" house prices (i.e. those on their own plot of land), fell by 0.8% in the March quarter, to be up only 2.2% over the past year.
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Source: BetaShares
An Investor's Guide to Inflation
June 18, 2018--In an era of central-bank inflation targeting,what matters most is arguably not inflation,but inflationary pressures. If actual core inflation is contained through tighter monetary policy (as the US Federal Reserve is attempting to do now in the US),it means higher real policy rates and also higher real discount rates for all asset
Introduction
As we know, inflation, or the general rise in the price of goods and services over time, erodes the purchasing power of a fixed dollar amount over time. This can have a significant impact on the real returns we can expect over our investing lives: just like nominal returns and interest, inflation also has a compounding effect. This was evident during the 70s and 80s, where global shocks propelled the consumer price index (CPI) growth over 15 per cent year-on-year in this country and other developed economies.
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Source: BetaShares
InvestSMART active ETF debuts on ASX
June 18, 2018--InvestSMART's first active exchange-traded fund (ETF) has debuted on the Australian Securities Exchange (ASX).
The InvestSMART Australian Equity Income Fund (INIF), which managed to exceed its target and closed at more than $30 million of fund under management (FUM), commenced trading on the ASX at a unit price of $2.50.
It would mirror the group's existing unlisted Intelligent Investor Equity Income Portfolio, which has returned 11.5 per cent per annum since inception.
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Source: investmentcentre.moneymanagement.com.au
SET to launch "SETTHSI Index" and "SETCLMV Index" on July 2
June 15, 2018--The Stock Exchange of Thailand (SET) today announced
the upcoming launch of the two new indices named "SET THSI Index (SETTHSI)"
consisting of stocks, highly perform on environmental, social and governance
(ESG) perspective; and "SET CLMV Exposure Index (SETCLMV)" which comprises of
Thai stocks, generating revenues from Cambodia, Laos, Myanmar and Vietnam
(CLMV), allows investors to get benefit from these growing economies.
SET Senior Executive Vice President Rinjai Chakornpipat said "the launching of
these two new indices will support investors to get benefit from the CLMV
economies and sustainable stocks.
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Source: Stock Exchange of Thailand (SET)
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