Since Donald Trump’s election victory last week, a consensus has quickly been building among investors that US treasury yields will spike. And that US equities will benefit. Have markets been too quick in drawing their conclusions?
Here you can see a slideshow of photos taken at Expert Investor Norway, held in Oslo on 15 November 2016.
Norwegian investors have been stepping up their allocation to US equities this year, but are planning a retreat following Donald Trump’s election victory. They are planning to invest even more money in their long-standing favourite asset class instead.
Companies in the Nordic countries continue to hold the majority of their liquidity in bank accounts. And they don’t have plans to diversify, despite the threat of negative central bank interest rates being passed on to them.
Dutch and Swedish fund buyers predicted the equity market correction that shook investors in January. Their peers from Denmark and Belgium, however, need to polish their crystal balls.
They have been the most popular asset class since the final quarter of 2014, but for how long will the European equity mania continue? Saturation is setting in slowly, but at the same time it seems investors are seeing few alternatives to the asset class yet.
The Norwegian government has launched a review of the asset allocation of the national oil fund ‘Statens pensjonsfond utland’. The purpose of the review is especially to determine whether its current exposure of 60% to equities should be increased.
Low volatility stocks lose their defensive characteristics when rates go up and markets are under stress, fund managers told the audience at Expert Investor Norway last week. Is this a risk which could seriously unsettle markets, after the huge inflows into low volatility strategies in the past years?
Here you can see a selection of photos taken at Expert Investor Norway, held in Oslo on 19 November 2015.
Industrifinans’s Arild Orgland explains why he is a big UCITS fan and talks about how he scours the fund world for managers who think in the same way that he does.
In part two of this interview, Niclas Hiller talks about the implications of being based in Norway, with its heavy reliance on oil-related industries, and how he is reacting to recent oil price weakness.
The Norwegian financial regulator recently announced that it considers the DNB Norge fund, a supposedly actively managed fund invested in Norwegian large cap equities, a so-called closet-tracker. Orgland used the DNB Norge fund in his client portfolios until last year. He gives his view on the controversy surrounding this fund.
