Articles cover India, China, Hong Kong, Brazil, Malaysia.
P26. “Protect your equity portfolio with three resilient assets”. Examines different “asset classes” as a means of further diversification. Compares against 2008 financial crisis, which affected global markets. Summary – (1) Japan stock market and Yen have low correlation to other equity markets; (2) Gold as a hedge; (3) Bonds having low or negative correlation with equities; (I thought the article explains basic financial/ economic principles; great for layperson investor).
P46. Interview with BNP Paribas Asset Management Brazil, on Brazil’s emerging economy.
p54. Another interview, with investment manager of Aberdeen Asset Management Asia Limited, on emerging markets (China, India, Brazil, Russia, Thailand).
P58. On UCITS funds (Undertakings for Collective Investment in Transferable Securities).
P70. Interview with Robert P. Miles (expert on Warren Buffet and Berkshire Hathaway). Suggests passive investors can benefit from low cost index fund and dollar cost averaging and compounding over time. Analyse what could go wrong for the company, in addition to what could go right. Understand the business you are investing. Consider management quality, and finance yardsticks like ROE, margins, retained earnings. Ability of the business to generate cash flow in future (“intrinsic value”: present value of cash flow generated by an investment in the future). To remain rational, control emotions, avoid buying when everyone is buying and selling when everyone is selling, importance of patience.
P71. “An investor’s guide to Islamic funds”.
P78. “Signs of an asset bubble in China?”
P82. “Bottom-fishing: will buying the worst performers give the bets future performance?” Article suggests it may not. Advise is to make the usual considerations in investing rather than pursue a bombed-out stock.
P86. Article explaining what is Yield-to-Maturity in evaluating bond funds. YTM is the expected returns when bond is held to maturity, assuming no default and coupons are reinvested at same rate. As invested amount increase, YTM decreases. Cautions against assuming a low bond price equals low yield. “The appropriate thing to do would be to buy bonds or increase bond holdings when the yield is high and decrease when the yield is low”. Advise is to compare yield of bonds than their performance (price) charts. Some fund sites provide YTM info.
P90. On ETFs (like mutual funds but can be traded like shares). Has ETFs for bear markets.