Since the onset of the credit crisis central banks around the globe have used extraordinary means to keep an over-levered global economy afloat. It may have worked best here in the United States but many market observers see signs of trouble. Here we present 10 reasons for their concerns.
This is a story about trust. About why many Americans have tuned out and lost hope in financial “experts.” It's about the insights, foresights, reckless predictions and lack of conviction from media outlets, Wall Street analysts and talking heads that monopolize today’s market dialogue.
Despite the fact that the end of floor trading was an industry-wide known inevitability, the announcement came as surprise to those still making a living on the floor who argue it was more personal vendetta than sound business decision.
Every time trend following goes through a difficult period there are those who like to bury the strategy, but the recent bad stretch had even some believers worried. Then trend-following came roaring back in 2014 and looks ready for an extended run as market trends and volatility have gotten their mojo back.
During the last two decades, as managed futures have attempted to move from a niche investment product to a mainstream one, the space has changed — and not necessarily for the better. Aided by a distribution and sales network that rewarded low volatility and convergent strategies, managed futures has been pushed to justify its inherent volatility that is more due to its divergent nature than underlying risk.