December 2017 Archives - Beyond Bulls & Bears

Equity

Shedding Light on the US Utilities Sector

“We see many reasons to be optimistic about [US] utilities today as we look out over the next 10, 20 or 30 years. In our view, most companies have established constructive regulatory relationships and should be able to adjust to the higher cost of capital assumptions that would develop due to rising interest rates.” – John Kohli, Franklin Equity Group

December 28, 2017

Equity

Winded Markets May Face a More Difficult Climb in 2018

“We believe this rosier global outlook is largely priced into equities. The US market is looking the most expensive to us at a time when US corporate earnings are already well past their prior peaks.” – Coleen Barbeau, Franklin Equity Group

December 26, 2017

Perspectives

Global Investment Outlook 2018: Reflections on Growing Economies and Fading Stimulus

As markets shift away from the recovery era of monetary accommodation amid synchronised global growth, some investors may be wondering where potential opportunities can be found. We present a summary outlook for the year ahead from Franklin Templeton’s global macro, fixed income, equity and multi-asset investment teams.

December 22, 2017

Multi-Asset

The Market Implications of US Tax Reform a Bit Unclear

"Some market observers have expressed optimism that US tax reform will prove bullish for stocks—and the economy overall—but the reality is that there will be some winners and losers and we don’t ultimately know what the magnitude of the impact will be.” -Ed Perks, CIO, Franklin Templeton Multi-Asset Solutions

Edward D. Perks, CFA | December 21, 2017

Fixed Income

Global Economic Perspective: December

“The pattern of a strong cyclical upturn in the global economy combined with subdued inflation looks set to continue for some time, in our view. Nevertheless, we believe increasing demand and a diminishing pool of labor are likely to create meaningful pricing pressures at some point.” - Franklin Templeton Fixed Income Group

Christopher J. Molumphy, CFA | December 20, 2017

Perspectives

Self-Driving Vehicles: The Race to Get Them on the Road

Technological advancements over the past two decades have moved the idea of self-driving cars from the realm of science fiction to fact. Recently, Franklin Templeton Investments assembled a panel of professionals to discuss the competition between traditional vehicle manufacturers and technology companies in the race to develop a truly autonomous car.

James Cross, CFA | December 14, 2017

Fixed Income

Fed Delivers Another December Rate Hike

“It’s important to note that the United States is still historically in a very low interest-rate environment, and frankly, keeping rates close to zero for a prolonged period really isn’t healthy. In our view, this tightening cycle actually represents a normalising of rates.” - Christopher Molumphy, Franklin Templeton Fixed Income Group

December 13, 2017

Fixed Income

Why GCC Fixed Income Is an Overlooked Asset Class

Many investors could be underinvested in Gulf Cooperation Council (GCC) bonds, according to Dino Kronfol, chief investment officer, Global Sukuk and MENA Fixed Income. He explains why he believes the fixed income landscape is approaching a turning point—and why more investors may want to consider adding this dynamic asset class to their portfolios.

December 13, 2017

Equity

Why Macron’s Reform Agenda Is Boosting Business Optimism

“We see signs that France’s economy is starting to improve under President Emmanuel Macron. France is enjoying its best streak of economic growth in more than six years. And, French companies are hiring at the fastest pace in almost 17 years." – Katrina Dudley, portfolio manager, Franklin Mutual Series

December 07, 2017

Equity

Brexit and the Difficulty in Forecasting UK Market Fortunes

As we head into year-end, UK Equity team’s Colin Morton explains why making predictions for the UK equity market in 2018 is a particularly challenging task this time around.

December 05, 2017