Basel-based investment group Investors Trading offers boutique commodity trading advice in a competitive and often challenging market
Catering to the most exclusive clientele, Investors Trading is a boutique operation offering bespoke commodity trading solutions. But one must not be fooled by the size of the company, because it packs quite a punch. Much of its recent success can be attr...
In today’s economic climate, the critical function of a fund manager is controlling risk. Successful managers grasp market complexity, respect the trauma of loss and value unique strategies
Let’s face it; managed futures have not been a productive investment over the past three years. Many managers and multi-manager funds have been posting disappointing returns. Within multi-manager funds, diversification has helped reduce drawdowns, but e...
Deutsche Bank’s managed investment platform, dbSelect, is a fast-growing platform for accessing liquid hedge fund strategies in a way that is not only efficient, but also transparent and secure
The hedge fund industry has faced a difficult year, and managers are increasingly wary of where the markets will head and when. There is evidence that in 2012 investors have shifted assets towards low-risk investments, as the eurozone continues to struggl...
World Finance takes a look at Goldman Sach’s Alternative Investments and Manager Selection Group’s platform of investment solutions
The Alternative Investments and Manager Selection (AIMS) Group is the team at Goldman Sachs Asset Management which provides investment solutions across leading hedge fund, private equity, real estate, credit and traditional long-only managers – investme...
With many industries looking to consolidate in the face of adverse market conditions, European and North American merger arbitrage firm CIAM sees opportunities for investors
Launching a hedge fund in the midst of a global economic crisis is something that might be considered a particularly brave move, with criticism for the industry coming from the press and opportunistic politicians. However, there is still potential to find...
Strong returns have been a hallmark of Fort’s business over the years, even in today’s choppy financial waters. The steady approach appears to be paying off
Running a successful hedge fund for the best part of two decades requires a clear strategy, which is something that US-based firm Fort has striven for since its launch in 1993. Consistently posting double-digit returns since its inception, the firm has al...
EIM’s ‘ECHO’ fund is a unique product created to address widespread investor concerns over two current threats borne out of the policy responses and aftershocks to the 2008 crisis: inflation and deflation
EIM has been focused on creating innovative solutions to investment problems for 20 years. The Enhanced Convexity Hedge Overlay compartment of the AAA Alternative Fund (ECHO), recognised as the Most Innovative Fund-of-Hedge-Fund (Europe) this year by Worl...
Thalia is a forward-thinking company whose single strategy funds of hedge funds and bespoke solutions offer innovative ways to invest in hedge funds
In ancient Greece, Thalia was the goddess of rich and luxurious banquets. In modern Switzerland, it is an alternative asset management company, founded in 2003 by BSI SA and Generali Investments. Within this international group, Thalia represents the link...
Endre Dobozy, Managing Director of FTM, explains why his Vanuatu-based fund continues to be a safe bet for investors
In an investing world gone mad, it seems the series of crises that have hit the global financial system are escalating to the point where they could bring the whole thing down. Each day brings with it a potential new challenge to be overcome. Could Gree...
BrunnerInvest believes that there is still plenty to be gained from hedge funds in their various forms
At present, there are many articles in circulation claiming that most hedge fund products have failed to meet their objectives, with many funds being unable to keep pace with the equity markets. Below I will explain where this criticism falls short, and w...
The sector’s return to form has surprised few and pleased many
After a volatile year, the hedge fund industry is starting to show a return to profitability, according to reports. Some recent figures show that in February the industry grew by 2.5 percent, and that figures for the first quarter of 2012 show gains of fi...
As sub-investment grade bonds regain popularity on European markets, many analysts have pointed to warnings from recent history
Other analysts see it as a good profit opportunity in a market where interest rates continue to hover near zero. One anonymous fund manager has said that “short-duration, high-yield paper with a reasonable credit quality that matures or is callable very...
Following a calculated risk in uncharted territories, Paulson & Co. is being held to account
Hedge fund manager, John Paulson, has come under scrutiny since Chinese-based timber company Sino-Forest, one of Paulson’s hedge fund buys last year, lost 70 percent of its stock value in just a few months. The massive shortfall has resulted in the firs...
The Latin American hedge fund industry has become an unbridled success story, providing a reliable and effective region to the wider global economy
The last decade has witnessed incredible growth in the hedge fund industry in Latin America. Hedge funds these days are larger than they used to be both in terms of the number of investors and in terms of assets under management. In addition to this, they...
With continued activity throughout the year, numbers dropped – as did enthusiasm – but business kept on
With the value of many companies remaining depressed due to the continuing economic downturn, the time may seem ripe for speculative companies to make buyout bids in the expectation of boosting their value in order to realise a healthy profit. However, he...
European countries are scrambling to raise every last penny of funds through taxes. But some countries may have gone too far...
Though all business taxes in Belgium can be paid online with little effort and preparation, the rates are still sky-high at 57.7 percent, including a staggering 50.8 percent total rate on profits only in social security contributions.
In Belarus, a company spends up to 338 hours annually preparing for and paying ten different taxes and duties. The total tax rate has incredibly been lowered to 60.7 percent, from 117.5 percent in 2008.
A company in France pays seven different taxes and duties, the sum of which can amount to 65.7 percent of profits; though President François Hollande has announced a wave of business tax rate cuts coming up.
A business in Estonia pays 67.3 percent of profits in tax, 37.2 percent exclusively in social security contributions. The country has gone against the grain in Europe by raising businesses taxes from 48.6 percent in 2008 to the current rates.
While corporate income tax (IRES) in Italy is limited to 38 percent of taxable profit, a company operating in Italy can expect to pay 14 other taxes and duties, including social security contributions, bringing their total payable tax to 68.7 percent of profits, according to the World Bank.
Norway taxes motor fuels twice, with a road use tax and a CO2 emissions tax. Combined with strikes in the energy sector that have curbed output, the price of gas at a local pump has soared to $10.12 per gallon.
Though Turkey sits on the Suez Canal and neighbours many oil rich countries, the price of a gallon of average gas clocks in at $9.41 in Turkish pumps, because of a 60 percent share of taxes.
Like Turkey, Israel is surrounded by oil-rich neighbours, but drills very little itself. Gas prices are controlled by the government, so about half of the $9.28 per gallon goes to taxes.
There are few gas stations in Hong Kong, but the ones available charge up to 76 percent more per gallon than mainland China, where the government caps the cost of fuel. A gallon at the pumps will cost around $8.61 on the island.
Expensive labour costs make the Dutch petrol prices the dearest in Europe, at $8.26 per gallon; though the 57 percent tax add-ons don’t help.
8 February 2007
HSBC warns of subprime mortgage losses
2 April 2007
New Century goes bus
14 September 2007
Wholesale markets have dried up
17 March 2008
Rescue of Bear Stearns
7 September 2008
Rescue of Fannie Mae
15 September 2008
Lehman Brothers file for bankruptcy
3 October 2008
US congress approves $700bn bailout
14 February 2009
$787bn stimulus approved by congress
The effects of the current financial crisis are global and irrefutable. With the collapse of Lehman Brothers, the domino effect of irresponsible public monetary policies, huge levels of unsustainable debt, and a deregulated financial sector, has escalated to the point where no corner of the globe has been left untouched.
Syria and Egypt launch an attack on Israel on Yom Kippur and set off a twenty day war;
US President Carter creates Department of Energy, which develops the US strategic petroleum reserve
The Organisation of Petroleum Exporting Countries (OPEC) used their oil reserves as a weapon with the Arab Oil Embargo against those who supported Israel. By January 1974, world oil prices were four times higher than they were at the start of the crisis, especially in the US, and the shock led to a huge drop in the stock market with NYSE losing $97bn in just six weeks. The embargo lasted five months, and the effects are still seen today.
1923 – 1924
The trouble began when Germany missed a repatriation payment, worth about one third of the German deficit in this period. Inflation was already high but by 1923 it was raging. Prices doubled within hours, and by late 1923, it cost 200bn marks to buy a single loaf of bread. People burned money as it was cheaper than buying firewood. Germany eventually regained control of its economy when it introduced the Rentenmark into circulation in 1923, and then the Reichmark in 1924.
The Great Crash
Recovery and Recession
After the decadence of the Roaring Twenties, the 1930s saw the biggest economic slump of all time. The stock market crashed on 29 October 1929, and optimism and decadent living tumbled along with the figures. The GDP fell from $103.6bn in 1929, to $66bn in 1934 and the subsequent years of recovery were the most dramatic in US history.
Otto Heinze and his brother Augustus Heinze bought shares of United Copper.
The stock market was already cautious over the tight money supply, but the US was thrown into a depression after the stock market fell nearly 50 percent from its peak in 1906. The Heinze brothers thought they could influence market shares but ended up bankrupting lenders that provided the financing to buy the stock. A chain reaction left nine institutions bankrupt. By February 1908, the panic was over and the government created the Federal Reserve system, to prevent banks from exercising too much control over the economy.