Institutional Investor (July 15)
“Investors need to understand the limits of what high returns tell them about a fund and probe deeper than the track record. In credit, headline returns can look attractive for years until the weakest loans finally reveal themselves. Only then do investors discover what was really sitting at the bottom of the portfolio.”
Tags: Credit, Fund, Headline returns, High returns, Investors, Limits, Loans, Portfolio, Probe, Reveal, Track record, Understand, Weakest
South China Morning Post (June 21)
“China’s rapid transition to electric vehicles (EVs) has been widely hailed as an economic success story. But it is also creating a serious headache for the country’s local governments, which are tasked with maintaining one of the world’s largest road networks.” EVs accounted for fully 60% of last month’s new car sales, but the EV boom “is creating a growing fiscal black hole, as heavier electric cars send roadwork costs spiralling while simultaneously undercutting the tax revenues used to fund repairs.”
Tags: $60, China, Economic success story, EVs, Fiscal black hole, Fund, Governments, Headache, Heavier, Maintaining, New car sales, Rapid transition, Repairs, Road networks, Roadwork costs, Spiralling, Tax revenues, Undercut
Financial Times (February 28)
Norway’s $1.3 trillion sovereign wealth fund, the world’s largest, “is voting against Apple’s pay policies, including $99mn in salary and bonuses for chief executive Tim Cook, part of a growing shareholder backlash against remuneration at the tech giant.” The funds rationale includes the belief that “a substantial part of annual pay should be provided in shares that are locked in for five to 10 years.”
Tags: Apple, Backlash, Bonuses, Cook, Fund, Norway, Pay policies, Remuneration, Salary, Shareholder, Sovereign wealth, Tech, Voting
Financial Times (June 10)
“The depth of collusion between Toshiba, the Japanese government and the former investment head of the world’s biggest pension fund to influence board nominations last year has been laid bare by an independent probe” and “represented an attempt to unfairly restrict the exercise of shareholder rights.”
Tags: Board, Collusion, Depth, Exercise, Fund, Government, Independent, Influence, Investment, Japan, Nominations, Pension, Probe, Restrict, Shareholder rights, Toshiba, Unfairly
Reuters (April 20)
“Income tax was introduced in the United Kingdom in 1799 to fund the Napoleonic Wars against France. America imposed the tax in 1861 to pay for its civil war. The coronavirus pandemic is not literally a war. But it will lead to massive debts and eventually higher taxes.”
Tags: Civil war, Coronavirus, Debts, France, Fund, Income tax, Napoleonic Wars, Pandemic, Taxes, U.S., UK
Investment Week (June 24)
“The highly-publicised suspension of Neil Woodford’s flagship LF Woodford Equity Income fund has significantly damaged the UK general public’s relationship with investing…. There will ‘clearly be ramifications’ for the active management industry.”
Tags: Active management, Damage, Flagship, Fund, General public, Investing, Ramifications, Suspension, UK, Woodford
