Monthly Archives: March 2016

Ranking T-Advisor: The best stocks and funds in March

What stocks and funds were the best in March? T-Advisor publishes its ranking taking into account the score. T-Advisor patented score provides an asset rating (bullish, neutral or bearish) based on key performance indicators and technical analysis.

The best shares in March were as it follows:

Company Score Perf. YTD Volatility Weekly VaR Market

EUROPE

Norcom Info Tech

10

230.34%

93.04%

-15.35%

Deutsche Boerse
Fimalac

10

23.33%

26.93%

-3.83%

Paris
Devoteam S.A.

10

22.84%

37.79%

-7.64%

Paris
PCAS

10

21.08%

29.34%

-4.94%

Paris
Picanol

10

20.86%

34.92%

-7.01%

Brussels

USA/CANADA

Claude Resources

10

75.64%

41.79%

-7.35%

Toronto
Richmont Mines

10

73.21%

49.75%

-13.79%

NYSE
Pro-Dex Inc

10

51.09%

31.31%

-6.85%

Nasdaq
Summit Financial

10

34.01%

20.40%

-3.66%

Nasdaq
Orbcomm

9.91

32.60%

34.61%

-7.17%

Nasdaq

ASIA-PACIFIC

Clinvel Pharmaceuticals

10

56.65%

39.86%

-8.37%

Australia
Manaccom Corp.

10

28.43%

42.71%

-7.18%

Australia
Miura

10

20.89%

24.34%

-4.63%

Tokyo
Yamaha

10

18.51%

30.23%

-5.30%

Tokyo
Lion Corp

10

13.11%

33.00%

-6.70%

Tokyo

LATAM

Embonor

9.54

15.59%

26.67%

-6.03%

Santiago de Chile
Casagrande

8.90

82.86%

77.23%

-12.44%

Lima
Alicorp

8.49

1.72%

29.27%

-7.71%

Lima
CTC

8.41

166.67%

58.04%

-3.33%

Santiago de Chile
Multifoods

8.35

100.00%

49.85%

-9.49%

Santiago de Chile

The best funds in March were as it follows:

Fund Score Perf. YTD Volatility Weekly VaR Managing company

EQUITY FUNDS

INVESCO NIPPON SMALL/MID CAP EQUITY FUND

9.17

7.28%

22.37%

-4.59%

Invesco
SISF US SMALL & MID EUR HG C ACC

8.25

1.31%

14.49%

-4.26%

Schroder
SCHRODER ISF SWISS SMALL & MID CAP EQUITY I CAP

8.23

0.30%

14.44%

-3.61%

Schroder
FF-ASIAN AGGRESSIVE Y

8.16

2.43%

22.64%

-5.56%

Fidelity
INVESCO US STRUCTURED EQUITY FUND [LUX] CH

8.14

2.47%

12.64%

-3.35%

Invesco
M&G INV 1 AMER — ACCUM.SHS — CLASS -C- EUR

8.05

0.01%

19.59%

-5.79%

M&G Investment
AMUNDI EQ US RV — SHS -AU- — CAPITALISATION

8.04

0.45%

16.89%

-4.85%

Groupama
AXA PAC EX-JA — ACCUM.UNITS — CLASS -B- EUR

8.04

0.74%

21.65%

-5.23%

AXA
JPMORGAN ASEAN EQUITY A (ACC) – EUR

8.03

2.67%

22.13%

-5.85%

JP Morgan

FIXED-INCOME

BLACKROCK PY ST-SBI

8.55

1.71%

7.87%

-1.74%

BlackRock
ALLIANZ EURO HIGH YIELD BOND AT (H2-PLN)

8.10

1.61%

5.14%

-1.10%

Allianz
FF-GLB STRAT BD AC SEK HD

7.99

4.50%

4.98%

-0.77%

Fidelity
CIE BENR OPP IN — SHS -A-(USD)

7.90

3.11%

2.05%

-0.54%

B. Rothschild SICAV
AWF US HY BD — SHS -A-EUR HEDGED (95%)- — CAPITAL…

7.70

2.15%

7.56%

-2.20%

AXA
AXA WF GLOBAL AGGREGATE BONDS J CAP JPY HEDGED JPY

7.69

2.87%

2.86%

-0.67%

AXA
AVIVA FUNDS – LONG TERM EUROPEAN BOND FUND P1 CAP

7.61

7.13%

14.20%

-2.33%

Aviva
JPMF INVESTMENT FUNDS – GLOBAL HIGH YIELD BOND X – EUR

7.57

1.97%

7.26%

-1.84%

JP Morgan
AXA WF GLOBAL EMERGING MARKETS BONDS F CAP EUR

7.51

3.93%

4.97%

-1.27%

AXA
JPMORGAN FUNDS – EUROPE HIGH YIELD BOND FUND

7.37

1.79%

5.80%

-1.35%

JP Morgan

 

Weekly market opportunities in T-Advisor: the best on March, 28th

T-Advisor updates weekly a list of market opportunities from several stock exchanges around the world. We sum up a selection of the best ones:

EUROPE

  • Actelion (Switzerland). A biopharmaceutical company specialised in drugs and treatments for rare diseases.

Actelion main figures in T-Advisor

Actelion chart in T-Advisor

  • Ementor (Oslo). An IT infrastructure company that sells, installs and support products from other enterprises.

Ementor main figures in T-Advisor

Ementor chart in T-Advisor

AMERICAS

  • Industrias CH (Mexico). An iron and steel producer with factories in Mexico, Canada and USA.

Industrias CH main figures in T-Advisor

Industrias CH chart in T-Advisor

  • Ambev (Sao Paulo). The largest brewery in Latin America and the fifth in the world.

Ambev main figures in T-Advisor

Ambev chart in T-Advisor

ASIA-PACIFIC

  • Singapore Technologies Engineering (Singapore). An integrated engineering group in the aerospace, electronics, military contracting and marine sectors.

Singapore Technologies Engineering main figures in T-Advisor

Singapore Technologies Engineering chart in T-Advisor

  • Daiwa House Industry (Tokyo). Japan’s largest homebuilder, specializing in prefabricated houses.

Daiwa House Industry main figures in T-Advisor

Daiwa House Industry chart in T-Advisor

Find more opportunities from the main exchanges in the world on our module “Market opportunities” in T-Advisor.

USA: economic uncertainties in an election year

The American economy has shown how an open economy can perform the best and the worst. In the years of the beginning of the crisis, there was a huge drop in all indicators. The GDP fell an 8% in a quarter in 2009, but at the end of the same year, it grew around 4%. However, the evolution shows a great instability and the forecast are also similar, with a perspective of 2-3% GDP growth for this and next year.

US GDP evolution in the last years

The past market turmoil was also dangerous for investors. Under these circumstances, the Federal Reserve chose a wait-and-see strategy. Finally, in its last meeting, the institution pointed out two rate hikes instead of four, as it mentioned in December. Investments and exports remain soft and a rate hike could make dollar more expensive, which would not be positive for future developments.

These uncertainties happen in a presidential election year. Caucuses and primary elections show the following stage: Democrats fight is between the moderate Hillary Clinton and the liberal (in an American meaning, which in Europe would be social-democrat) Sanders; on the other side, Republicans are divided between the millionaire Donald Trump and the senator Ted Cruz. Clinton and Trump, respectively, have the advantage. The difference is that the Republican Party does not support Trump. Let’s see the evolution of this situation, even more when The Economist listed a possible Trump victory as one of the 10 main global risks.

What is happening in the American markets? If we take into account the S&P 500 as one of the main references, there was a steady grow till last year, when market uncertainties were back with the Chinese crisis and how it could affect US, apart from the drop of the oil price.

T-Advisor chart: S&P 500 evolution in the last 5 years

T-Advisor global trend evolution also shows this weakness in the last year:

T-Advisor chart: USA global trend evolution

The investing landscape is not clear, but several experts are optimistic about a positive evolution of S&P this year, with a closing better than in the beginning of the year. For instance, Oppenheimer is the most optimistic and bets that the reference index will close 2016 around 2,300 points.

In the case of the Dow Jones, these are the companies with the best performance in the last year:

Best performance assets in Dow Jones

On the contrary, these are the worst:

Worst performance assets in Dow Jones

It is notorious how technology is not a sure bet, as Microsoft is on the top, but IBM is amongst the worst-performance companies, just to mention two very well-known brands.

To sum up, politics will influence this year in America, but the economic machine works very independent from them. The Fed actions, the evolution of the oil price and the dollar, as the Asian evolution will have more effects surely than the possible Trump-Clinton election.

Weekly market opportunities in T-Advisor: the best on March, 14th

T-Advisor updates weekly a list of market opportunities from several stock exchanges around the world. We sum up a selection of the best ones:

EUROPE

  • ISS (Copenhagen). One of the world’s leading facility services companies, with several business lines: facility management, cleaning, support, property, catering and security.

ISS main figures in T-Advisor

ISS chart in T-Advisor

Snam Rete Gas (Italy). Italy’s leading company in the transport and dispatching of natural gas.

Snam Rete Gas main figures in T-Advisor

Snam Rete Gas chart in T-Advisor

AMERICAS

  • Weingarten Realty Investors (NYSE). A real estate investment trust (REIT). It is a shopping centre owner, manager and developer.

Weingarten Realty Investors main figures in T-Advisor

Weingarten Realty Investors chart in T-Advisor

  • Ultrapar (Sao Paulo). The fourth largest Brazilian company. The holding has business lines in oil, chemicals, pharmacies and storage of liquid bulk.

Ultrapar main figures in T-Advisor

Ultrapar chart in T-Advisor

ASIA-PACIFIC

  • Hongkong Electric (Hong Kong). The first electric provider in Hong Kong since the 19th century and one of the two main electricity generation companies in the region.

Hongkong Electric main figures in T-Advisor

Hongkong Electric chart in T-Advisor

  • Singapore Press Holdings (Singapore). A media organisation in Singapore with businesses in print, Internet and new media, television and radio, outdoor media, and property. It owns 18 newspapers in four languages and more than 100 magazines.

Singapore Press Holdings main figures in T-Advisor

Singapore Press Holdings chart in T-Advisor

Find more opportunities from the main exchanges in the world on our module “Market opportunities” in T-Advisor.

ETF, the asset revolution has consolidated

Exchange Traded Funds, or ETF by its initials, are the trendy security in the last years. Their assets have doubled in the last five years, as this BlackRock chart shows, although there is a reduction in January 2016, because of the general volatility of the equity markets:

Global ETP assets by year. Source: BlackRock

ETF are there to stay. There will be no reversal. In this short history (although they exists since the end of the 1980’s), there have been a few entities that have specialised in creating and selling these products: iShares by BlackRock, Vanguard and State Street, as the following table shows:

Global ETP providers. Source: BlackRock

But why are ETFs so successful? Why is there an offer from a few to 1,800 different products in so short period of 10 years? Flexibility, low fees and trading like stocks are some of the advantages against traditional mutual funds. Although there are also some disadvantages, investors still look at them as a very attractive asset. The explosion of them as a business contributed to create a long list of specialised media in Internet, because professionals and individuals have been looking continuously for information about them.

The design of an ETF is very different depending the cases: equities, fixed income, money market, commodities… They replicate an index or track a collection of securities or sectors in the known as passive management. After creating the product, there are only some adjustments every certain period, but the product performs independently of the manager.

In T-Advisor, our Watchlist has a long list of ETF categorised by their strategy for our registered users:

T-Advisor ETF Watchlist

It is just an option, but it is interesting to consider because of its price transparency linked with diversification. You invest in a diversified product, that means that you reduce some risks, and you have steady information of the price fluctuation, against mutual funds, whose prices are updated when markets are closed. In costs, they are cheaper than mutual funds. Yes, they are more expensive that a share, but you have to consider the above-mentioned diversification.

This is probably the reason of the success: the combination of the flexibility and transparency of a share and the diversification of a mutual fund. A survey conducted by EY in 2014 already talked about the promising future of ETFs amongst wealth managers and invertors. That future is already here.

Weekly market opportunities in T-Advisor: the best on March, 7th

T-Advisor updates weekly a list of market opportunities from several stock exchanges around the world. We sum up a selection of the best ones:

EUROPE

  • Barco NV (Brussels). A global technology company that designs and develops networked visualization products for the entertainment, enterprise and healthcare markets.

Barco main figures in T-Advisor

Barco chart in T-Advisor

  • Galp Energia (Lisbon). The main energy company in Portugal, with activities in gas, oil, cogeneration and renewable energy.

Galp Energia main figures in T-Advisor

Galp chart in T-Advisor

AMERICAS

  • Idexx Laboratories (Nasdaq). A corporation specialised in products and services for veterinary, water testing and dairy markets.

Idexx main figures in T-Advisor

Idexx chart in T-Advisor

  • Loblaw (Canada). The largest food distributor in Canada with more than 2,000 stores in the country.

Loblaw main figures in T-Advisor

Loblaw chart in T-Advisor

ASIA-PACIFIC

  • Sundrug (Tokyo). A retail chain with business lines in drug stores for pharmacy and cosmetics and discount stores for food  and household goods.

Sundrug main figures in T-Advisor

Sundrug chart in T-Advisor

Find more opportunities from the main exchanges in the world on our module “Market opportunities” in T-Advisor.

My goal in bearish markets: capital preservation

Markets are currently very volatile. We have lived a strong bearish period, but it is not sure that the bulls are coming, as the trend is not clear yet. In this case, panic is the worst adviser. On the contrary, investors have to analyse properly their portfolios to take right decisions. If you are not a trader, if you are a long-term investor, then you have to assume that it is difficult to avoid losses in some periods, moreover when all markets are dropping. So, your goal has to be another: capital preservation.

What does capital preservation mean? Your goal as investor must be to keep your assets with the less possible losses or, of course, to obtain benefits. As there are many changes in the long term, then you have to concentrate your worries in the bearish times: how much are you losing? The success is not to lose or lose less than the reference markets, but how can you get that information? The answer is smart benchmark.

Smart benchmark chart in T-Advisor

The picture above is very clear: my portfolio is losing, because I have invested in a market that is going hard into negative, but I only lose -2.4%, while the reference market (the smart benchmark) loses -14%. Not bad, huh?

As we regularly say, it is important to have available the right tools to analyse your investments and take decisions. Capital preservation has to be your first goal. Don’t lose money or lose the least. Then it the bullish times, your goal has to be to outperform the reference market.

The following chart is even clearer:

Portfolio risk figures

My Germany portfolio is much better than the benchmark: quite less losses in a bear period, less volatility and better Sharpe ratio.

What other tools do I have to consider risks in order to preserve my capital?

  • Analyse how your positions contribute to risk your portfolio. In this case, you can find out if you have an uncomfortable asset to be substituted.

Risk contribution chart in T-Advisor

Risk profile comment with portfolio risk in T-Advisor

  • Consider the diversification. In bearish periods, diversification is a great help to avoid hard losses. You can analyse it with the diversification benefit, that compares how much you win if your portfolio has different assets:

Diversification benefit in T-Advisor

  • Look at the Value at Risk, which measures the probability of having a certain level of losses. As you can see, my portfolio has the worst VaR, what means that I have to consider some changes in my allocation to avoid future losses.

Portfolio risk table in T-Advisor

All these figures will help you to understand your current position and risk. Then you can decide if you have to rebalance totally or partially your portfolio. The strategy is clear: keep your capital and set your portfolio to lose less in bad times and outperform the benchmark in growing times.

Weekly market opportunities in T-Advisor: the best on February, 29th

T-Advisor updates weekly a list of market opportunities from several stock exchanges around the world. We sum up a selection of the best ones:

EUROPE

  • Straumann (Switzerland). A company specialised in implant and restorative dentistry and oral tissue regeneration.

Straumann main figures in T-Advisor

Straumann chart in T-Advisor

  • IMA (Italy). A world leader in the design and manufacture of automatic machines for the processing and packaging of pharmaceuticals, cosmetics, food, tea and coffee.

IMA main figures in T-Advisor

IMA chart in T-Advisor

AMERICAS

  • Scotts Miracle Gro (NYSE). A manufacturer that provides do-it-yourself lawn, garden and home protection products.

Scotts Miracle Gro main figures in T-Advisor

Scotts chart in T-Advisor

  • Parque Arauco (Chile). The third largest Chilean shopping malls company, with interests in Chile, Peru and Colombia.

Parque Arauco main figures in T-Advisor

Parque Arauco chart in T-Advisor

ASIA-PACIFIC

  •  JSW Steel (Bombay). A large conglomerate part of the O.P. Jindal Group. Its industrial production covers several branches, as steel, energy, minerals, ports, infrastructure and cement.

JWS Steel main figures in T-Advisor

JWS Steel chart in T-Advisor

  • Tobu Railway (Tokyo). A a Japanese commuter railway company in the Greater Tokyo Area as well as an intercity and regional operator in the Kantō region. It is the third largest rail system in Japan.

Tobu Railways main figures in T-Advisor

Tobu Railways chart in T-Advisor

Find more opportunities from the main exchanges in the world on our module “Market opportunities” in T-Advisor.