Beyond Bulls & Bears

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

“The European political landscape remains uncertain. We continue to watch for headlines on the Italian budget, and France, as support for French President Emmanuel Macron continues to wane amidst protests and speculations over a vote of no confidence.” Franklin Templeton European Trading Desk team

Distortion, Divergence and Diversification: 2019 Global Investment Outlook
Perspectives

Distortion, Divergence and Diversification: 2019 Global Investment Outlook

Volatility has plagued equity markets globally in 2018—most notably emerging markets and US equity markets. As the US economic expansion officially crossed the nine-year mark in 2018, many investors started to wonder when the cycle would change—and what the catalyst might be. Our senior investment leaders see plenty of reasons to be optimistic about the year ahead, but recognise investment opportunities may be more divergent, with some previously overlooked countries or asset classes potentially taking the spotlight.

An Integrated Approach to Managing ESG Risks and Opportunities
Equity

An Integrated Approach to Managing ESG Risks and Opportunities

Information, data and research are the fuel for investment decisions. Over the years, as new information has emerged and evolved, investors have found innovative means to harness new insights to help inform their decisions. Today, some forward-looking investors are deepening their focus on environmental, social and governance (ESG) analysis to provide additional perspectives to complement existing research efforts. Julie Moret, Franklin Templeton’s head of ESG, explains how ESG contributes to an evolved investment evaluation framework and serves as a tool to assess broader holistic risks.

Meet the Manager: Wendy Lam
Equity

Meet the Manager: Wendy Lam

“As a biotech investor, my job is to somehow predict the future. I have to predict whether a clinical trial for a drug is going to succeed or fail, whether a drug is going to receive FDA approval or whether physicians will prescribe a drug.” - Wendy Lam

The Glistening Project: Why Some Investors are Looking Again at Gold
Equity

The Glistening Project: Why Some Investors are Looking Again at Gold

For some investors, increasing exposure to gold has been a knee-jerk reaction to bouts of heightened financial market volatility. Franklin Equity Group’s Steve Land says there’s more to gold than that. And he explains why he’s positive about both the prospects for gold and for gold equities.

Could Investors Hold the Key to Tackling Climate Change?
Equity

Could Investors Hold the Key to Tackling Climate Change?

“We think companies actively trying to meet realistic emission reduction targets that are grounded in science could create opportunities for value investors like us. Especially companies that are transitioning to a lower-carbon economy.” - Maarten Bloemen, Templeton Global Equity Group

Talking Tech in an Era of Digital Transformation
Equity

Talking Tech in an Era of Digital Transformation

Investors became more risk-averse in October amid a number of market uncertainties, causing sentiment to sour on the technology sector. Jonathan Curtis, vice president and research analyst with Franklin Equity Group, opines on factors causing the market’s recent volatility and why he sees tech-sector valuations as reasonable today. He also discusses the digital transformation that’s reshaping nearly every industry and creating new areas of opportunity for investors.

Finding Value among Stretched US Valuations, Market Dislocations
Equity

Finding Value among Stretched US Valuations, Market Dislocations

“Of all the different macroeconomic and political factors that have been on investors’ minds over the last few months, we think interest rates are likely to be the most important. As we continue to see central banks reduce quantitative easing and move toward interest-rate normalisation in the major regions of the world, we are going to continue to focus on the dislocations that this may cause for currencies, equity markets and valuations.” - Templeton Global Equity Group

Notes From the Trading Desk – Europe
Equity

Notes From the Trading Desk – Europe

The last few of days in October brought some welcome respite for equity markets thanks to month-end positioning, robust corporate earnings and better tone around US/China trade. Markets were in positive territory last week across the board.

US Equity Market: Are Things as Good as They’ll Get?
Equity

US Equity Market: Are Things as Good as They’ll Get?

The US equity market's ascent paused in October as investors digested rising rates, slowing global growth and the persistent question: “Are things as good as they’ll get?” As many observers expect further turbulence ahead, Franklin Equity Group’s Grant Bowers shares his view on US equities, the economy, and how to stay focused on long-term investing in a volatile market.

A Few Words on Equity-Market Volatility
Equity

A Few Words on Equity-Market Volatility

October has lived up to its reputation as a volatile month as concerns about rising US interest rates, slowing growth in China and upcoming US midterm elections have spooked many investors. Franklin Equity Group offers a few words on the recent turmoil, why volatility can unlock compelling opportunities and why the investment team still sees a compelling case for technology companies.

Innovation Stretches Beyond Labels
Equity

Innovation Stretches Beyond Labels

“We broadly agree with the GICS reclassification and believe the new sector homes for many stocks better reflect their core business lines. However, we might suggest the GICS reform doesn’t go far enough. As long-term investors, we classify companies according to their ‘end-market’, or the need that is being met.” – Matthew Moberg, Franklin Equity Group