Monthly Archives: May 2016

Weekly market opportunities in T-Advisor: the best on May, 30th

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

  • Siemens AG (Xetra). The main German electronics and industrial conglomerate with operations in the automation and control, information and communications, lighting, healthcare, and energy sectors.

Siemens main figures in T-Advisor

Siemens chart in T-Advisor

  • Holmen AB (Stockholm). A manufacturer of paper and paperboard.

Holmen main figures in T-Advisor

Holmen chart in T-Advisor

AMERICAS

  • Toro (NYSE). A manufacturer of turf maintenance, snow removal equipment and water-saving irrigation systems.

Toro Company main figures in T-Advisor

Toro company chart in T-Advisor

  • Royal Bank of Canada (Toronto). The largest Canadian bank.

Royal Bank of Canada main figures in T-Advisor

Royal Bank of Canada chart in T-Advisor

ASIA-PACIFIC

  • Sunny Optical Technology (Hong Kong). A manufacturer of optical components, optical products and scientific instruments.

Sunny Optical Technology main figures in T-Advisor

Sunny Optical Technology chart in T-Advisor

  • Amada (Tokyo). A manufacturer of metal processing equipment and machinery.

Amada main figures in T-Advisor

Amada chart in T-Advisor

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

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

What stocks and funds were the best in May? 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 May were as it follows:

Company Score Perf. YTD Volatility Weekly VaR Market

EUROPE

Mensch und Masch

10

51.06%

38.33%

-7.71%

Deutsche Boerse
Elecster OYJ

10

46.01%

26.46%

-4.43%

Helsinki
LNC

10

34.05%

30.10%

-6.14%

Paris
IWKA

10

32.86%

35.98%

-5.87%

Deutsche Boerse
Koenig & Bauer

10

30.27%

42.11%

-7.99%

Deutsche Boerse

USA/CANADA

Claude Resources

10

178.21%

45.01%

-7.35%

Toronto
Richmont Mines

10

133.96%

53.98%

-13.79%

NYSE
Goldfield Corp

10

88.39%

51.03%

-8.59%

NYSE
Detour Gold

10

81.89%

49.20%

-11.05%

Toronto
Supreme Industries

10

74.89%

46.78%

-9.24%

NYSE

ASIA-PACIFIC

Tribune RSC

10

119.94%

43.68%

-8.56%

Australia
Saracen Mineral

10

108.20%

48.42%

-7.05%

Australia
Orocobre

10

64.35%

60.91%

-11.15%

Australia
Lion Corp

10

41.00%

38.93%

-6.70%

Tokyo
Aristocrat Leisure

10

19.69%

29.65%

-5.83%

Australia

LATAM

Cementos Pacasmayo

9.59

21.20%

36.31%

-9.12%

Lima
Alicorp

8.79

11.03%

32.11%

-7.71%

Lima
Graña y Montero

8.20

132.49%

73.74%

-12.18%

Lima
Norte Grande

7.28

33.84%

53.04%

-12.18%

Santiago de Chile
Cementos Lima

7.15

54.71%

47.34%

-11.59%

Lima

The best funds in May were as it follows:

Fund Score Perf. YTD Volatility Weekly VaR Managing company

FIXED-INCOME

BLACKROCK PY ST-SBI

8.55

1.71%

7.87%

-1.74%

BlackRock
NV PRE INC MUN FD 4

8.50

15.55%

13.81%

-2.27%

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

7.90

3.11%

2.05%

-0.54%

Comp. B. Rothschild SICAV
AXA WF GLOBAL AGGREGATE BONDS J CAP JPY HEDGED JPY

7.75

3.12%

2.69%

-0.65%

AXA
FF-ASIAN HI YLD ACC EUR

7.48

3.65%

11.96%

-2.83%

Fidelity
BLCKRCK NY TRII-SBI

7.42

11.62%

11.48%

-1.99%

BlackRock
PIONEER FUNDS – EMERGING MARKETS BOND I

7.39

3.26%

9.98%

-2.51%

Pioneer
INVESCO ASIAN BOND FUND C (ACC) USD [LUX] C

7.33

5.00%

2.86%

-0,66%

Invesco
BGF AS TIG BD A2C

7.29

3.71%

4.21%

-1.29%

BlackRock
AXA WF GLOBAL CREDIT BONDS I CAP USD USD

7.23

4.32%

3.30%

-0.78%

AXA

EQUITY FUNDS

INVESCO NIPPON SMALL/MID CAP EQUITY FUND [LUX] I

10

21.39%

22.97%

-4.87%

Invesco
JPMORGAN FUNDS – JF JAPAN EQUITY FUND

7.92

3.99%

20.88%

-5.49%

JP Morgan
BGF WORLD GOLD FUND A2 EUR

7.75

54.17%

34.00%

-8.19%

BlackRock

 

Weekly market opportunities in T-Advisor: the best on May, 23rd

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

  • Gamesa (Madrid). A Spanish manufacturing company involved in the fabrication of wind turbines and the construction of wind farms.

Gamesa main figures in T-Advisor

Gamesa chart in T-Advisor

AMERICAS

  • SM Banco Chile (Chile). The holding company of Banco Chile, which is a result of a merger of several local banks.

SM Banco Chile main figures in T-Advisor

SM chart in T-Advisor

ASIA-PACIFIC

  • Nissan Chemical Industries (Tokyo). A supplier of a wide range of chemical products, from pharmaceuticals to agricultural products or semiconductors, amongst others.

Nissan Chemical Industries main figures in T-Advisor

Nissan Chemical Industries chart in T-Advisor

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

Is my portfolio working or not?

Portfolio main screen in T-Advisor

Investors organise efficiently their investments in portfolios. That’s the rule, but the question is: how to follow up my portfolio? Can I preview somehow troubles in my investments? Which ratios should I take into account to set and allocate my assets?

There are some indicators that give us some clues whether we are right or wrong and the changes we have to decide:

  • Returns: of course, this is the first one. As investor, you do not have to be anxious about the short term, because volatility is our current rule. You should use a tool that provides you different terms in order to compare the evolution. However, you have to think about changes if the returns are negative in the middle term.
  • Comparison with other references: it is a good idea to compare the evolution of your portfolio with the benchmarks (an index or a smart benchmark). This comparison will help you evaluate a proportion of the profits or losses that you get and diminish or underline the importance of the result. For instance, if your portfolio losses 3% and your benchmark losses 5%, it is not so bad. You are better than the index, although you should consider change your strategy, it the negative trend intensifies.
  • Diversification: get charts about the proportion of the assets in your portfolio related to regions, currencies and asset category. A diversified allocation will help you avoid several risks.
  • Risk: this is actually the second most important indicator after returns. Analyse the volatility, the value at risk (VaR) and the risk contribution of your positions. A segmented analysis will focus better your next decisions. Should I keep, sell or buy? Another quite important figure is the Sharpe ratio to understand how interesting is assuming risks in order to obtain certain returns.
  • Trend: you should as investor use tools to get the portfolio trend, if bullish or bearish.
  • Portfolio and investor profile consistency: is your portfolio consistent with your investment profile, your risk tolerance and your expected returns? That is another question that you have to ask yourself.

You need tools to make a full analysis and obtain a whole view over your portfolio and take the best decisions to improve your results. It is important that you get unbiased indicators, watch risk and returns, understand everything and take rational decisions, never guided by a short term situation. At the end, it is not only about profits, but above all capital preservation. The T-Advisor platform offers these figures so that everyone can set and allocate assets their own portfolios in the most efficient way.

Weekly market opportunities in T-Advisor: the best on May, 15th

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

  • Deutsche Post (Xetra). The world largest post and logistics service.

Deutsche Post main figures in T-Advisor

Deutsche Post chart in T-Advisor

  • Scottish and Southern Energy (London). A Scottish energy company and one of the “Big Six” that dominate this market in the UK.

Scottish and Southern Energy main figures in T-Advisor

Scottish and Southern Energy chart in T-Advisor

AMERICAS

  • RLI (NYSE). An American property and casualty insurance company.

RLI main figures in T-Advisor

RLI chart in T-Advisor

  • Embotelladora Andina (Chile). One of the largest bottling groups in Latam. It produces its own beveradge and also has the Coca-Cola franchise in South America.

Embotelladora Andina main figures in T-Advisor

Embotelladora Andina chart in T-Advisor

ASIA-PACIFIC

  • China Water Affairs (Hong Kong). A water supply and water energy producer headquartered in Hong Kong.

China Water Affairs main figures in T-Advisor

China Water Affairs chart in T-Advisor

  • 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.

The full cycle in financial planning

Generation of proposals are part of the financial planning

Life is difficult to plan, but it is necessary to have some plans in certain circumstances. Plans cannot avoid troubles or negative surprises, but they can help deal better with them. This is the case of financial planning. What is it? The European Financial Planning Association (EFPA) explains that it “is usually a six-step process, and involves considering the client’s situation from all relevant angles to produce integrated solutions”.

The main target is knowing the customer in order to organise his or her finances for the whole life, so that the person reach his or her goals, keeps a similar standard of living and can manage unexpected events. The six steps listed by the EFPA are:

  • Establishing and defining the client and personal financial planner relationship.
  • Gathering client data and determining goals and expectations.
  • Analyzing and evaluating the client’s financial status.
  • Developing and presenting the financial plan.
  • Implementing the financial planning recommendations.
  • Monitoring the financial plan and the financial planning relationship.

Financial planning deals with all kind of assets (from cash to deposits, stocks or real estate) and life situations (worker, self-employee, retired, heritage). The main points are:

  • What are the main goals for the customer: is he or she planning to buy a house, save for the studies of the children, keep money with some annual returns for the retirement? We have to consider the age, the professional and the personal situation. Demands are not the same if the person is married or single or have one or several children.
  • What is the time horizon: after considering the goals, we have to think about a realistic time horizon to reach them. It will not be the same the timeframe for a house or for a car.
  • What is the risk profile: this is one of the main pillars, because the financial planner will propose the investment in appropriate assets. A conservative investor cannot receive a proposal with a half of the investments in stocks, for instance. There are several tools to profile investment risks, as the regulations are becoming harder to protect individual interests.

Individual investors can ask for the advice of a financial planner or be more independent using tools to organise their own plans. T-Advisor financial planner is one of the possibilities. What does an investor have to ask to this kind of tools?:

  • A chance to select different goals and time horizons.
  • An analysis of your risk tolerance.
  • A result with a range of possibilities from the more optimistic to the more pessimistic.
  • An analysis of tax and inflation effects.
  • A proposal of a combination of assets to reach your goal taking into account your risk tolerance and the time frame.

Nobody knows the future and financial planning will not avoid shocks. That is part of life. But financial planning can help organise your goals with a realistic view and react wiser to those shocks in order to keep a regular standard of living.

Weekly market opportunities in T-Advisor: the best on May, 9th

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

  • Royal Mail (London). One of the oldest post services in the world and the main mail and parcel company in UK.

Royal Mail main figures in T-Advisor

Royal Mail chart in T-Advisor

AMERICAS

  • MDA (Toronto). A global communications and information company specialised in satellites, robotics, radars and surveillance solutions.

MDA main figures in T-Advisor

MDA chart in T-Advisor

ASIA-PACIFIC

  • APA (Australia). Australia’s largest transporter of natural gas.

APA main figures in T-Advisor

APA chart in T-Advisor

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

Hybrid advisor: the future mix of humans and technology in finances

Hybrid advisors, the mix between technology and humans

Do you remember Robocop? Yes, that kind of police half machine half human. Paul Verhoeven’s film was very successful at the end of the 80’s last century. That proposal (the fusion between humans and machines) is a possible development in finances, but please do not expect a cyborg in a bank or managing fund office.

The adviser and blogger Michael Kitces proposed the approach to the “cyborg” advisor already last year and repeated it somehow some days ago. Robo-advisors have changed deeply the financial landscape. Algorithms, low fees and thin structure are the main characteristics, but humans still play a role in some robo-advisor models. Let’s look, for instance, Personal Capital or Vanguard Personal Advisor Services, where there is a combination of technology and human advice.

A recent report from My Private Banking points out that this mixed advisor model will grow by 2020 up to 3,700 billion dollars and represent the 10% of the total investable wealth in 2025. On the contrary, pure automated robo-advisors will keep only a 1.6% of the market share. It already mentioned a relevant trend: the white label robo-advisors by technological providers for financial entities.

The robo-advisor phenomenon have shown a more complex evolution than it was expected. At the very beginning, it sounded that machines will substitute everyone in the wealth management branch. However, we are evolving to a mixed landscape where pure automatic robo-advisors (Betterment, Wealthfront) and automated platforms for self-directed investors (as T-Advisor) live together in the markets with entities that have developed their own platforms (as Vanguard did) or bought existing companies (as BlackRock did with Future Advisor) and with cyborg wealth managers.

The market has place enough for several models, but it is true that the changes are focusing in providing a “human touch” to algorithmic solutions. Kitces, as we already mentioned, titled his recent post as: “The B2C Robo-Advisor Movement Is Dying, But Its #FinTech Legacy Will Live On!”. The text explained the difficulties of the pure tech model, but accept the revolution in the sector made by technology. In fact, he underlines that technology isn’t replacing advisors, but increasing the number of them. Wealth managers accepted technology and they are learning how to use it and improve their results. My Private Banking proposes also different approaches and strategies to robo solutions depending on the customer segments.

In conclusion, the financial sector is already aware that robo-advisors are not anymore fashion: they are a stabilised solution in the market and they are real competitors to the classical individual human-to-human relationship in advising. But the sector finally learned. They have forgot the negative opinions and adopted a different view. Technology is an ally and human advisors have to play the battle in this field if they want to survive. The hybrid advisor model is a kind of solution that will complete progressively the wealth-managing sector with the traditional and the pure tech model. Let’s see the trend in the next years and the market share that they will take up.

Weekly market opportunities in T-Advisor: the best on May, 2nd

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

  • Prysmian (Italy). A world leader in the energy and telecom cables and systems industry.

Prysmian main figures in T-Advisor

Prysmian chart in T-Advisor

AMERICAS

  • Grupo Bimbo (Mexico). One of the most important baking companies in the world, presented in 22 countries around the world and producer of 10,000 products of 100 brands.

Grupo Bimbo main figures in T-Advisor

Grupo Bimbo chart in T-Advisor

ASIA-PACIFIC

  • Newcrest Mining (Australia). Australia’s leading gold mining company. It also operates in copper mines. Its interests are currently in Australia, Asia and Africa.

Newcrest Mining main figures in T-Advisor

Newcrest Mining chart in T-Advisor

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