A strong economy, a stable political environment, and low rates continue to make Switzerland an attractive real estate market for investors, even at a time when there could be a further correction in the market, argues Cedric Vinclair, real estate partner at CAT Growth AG.
Online retailer Alibaba plans to raise about USD 13 billion through a share sale in Hong Kong this month, giving the Asian financial capital a vote of confidence after months of sometimes violent protests. Catherine Yeung, investment director of equities at Fidelity International, said the listing will also give mainland investors access to China’s most valuable company by market capitalization.
The Cold War is over, but Europe is once again caught between two superpowers, says Lars Kalbreier, chief investment officer at Vontobel Wealth Management. Europe needs to “grow up” and “emancipate itself” by defining its own international agenda and “perhaps a military policy as well,” he says.
Swiss steelmaker Schmolz + Bickenbach announced a drastic downgrade for the company amid troubled times. CEO Clemens Iller warned of a lack of visibility on orders for the months ahead as the trade conflict continues to weigh on the automotive sector.
The European economy is recovering thanks to support from the ECB, which has made investments into stocks with high dividend yields even more attractive. Jeffrey Sacks, head of EMEA investment strategy at Citi Private Bank, sees high single digit returns for Switzerland and Europe moving forward.
Bitcoin Suisse is teaming up with European payments provider Worldline Global to roll out cryptocurrency payment services online and in stores across Switzerland. Marc Schluep, CEO of Worldline Switzerland, and Armin Schmid, Bitcoin Suisse’s head of crypto payments, said Switzerland will act as a test case before expanding to other European countries.
The International Monetary Fund sees global growth picking up to 3.4 percent in 2020, thanks largely to a better economic performance from developing countries including Brazil, India and Russia. That forecast looks too rosy to Maurice Obstfeld, the IMF's former chief economist who is now a professor at the University of California, Berkeley. He questions the strength of an emerging market bounce-back next year.
Christine Lagarde’s first task as the new European Central Bank president may be to prove she has the know-how for the job despite lacking an education in monetary policy. “She may not be a technical economist, but what’s even more important in a central bank decision-maker is judgment,” says Adam Tooze, professor of history at Columbia University and director of the European Institute. “She has shown that she has that judgement.” Whether Europe’s central banks will get in line behind her is the question, he says.
British relations with Switzerland will be more important than ever after its departure from the European Union, the UK’s former Chancellor of the Exchequer Philip Hammond tells CNNMoney Switzerland. Speaking at the SIFF conference in Zurich, he said the UK had learned a thing or two about negotiation from the Swiss in the past.
Combining renewables with battery power offers a more viable solution than nuclear in the transition away from fossil fuels, argues Alastair Bishop, portfolio Manager, sustainable energy fund at BlackRock. The cost of new nuclear facilities, he adds, “are not competitive with building renewable energy alternatives.”
The China stock market is on track to be one of the best performers this year despite concerns over the trade war and a recent run of weak economic data. Pruksa Iamthongthong, Asian equities investment director at Aberdeen Standard Investments, said this is being driven by renewed investor confidence and a “return to fundamentals” when it comes to valuating stocks.
Cocoa prices have shot up in the months since Ivory Coast and Ghana, the world’s largest growers of the chocolate ingredient, introduced a surcharge on exports to ease poverty among farmers. While Barry Callebaut’s CEO, Antoine de Saint-Affrique, expects prices to continue to rise this year, he says the extra charge will be good for the market in the long run.
New laws would require financial firms to back up claims that they really do factor social and environmental considerations into their investment decisions. Cyril Demaria, head of private markets at Wellershoff & Partners, says these rules will bring much-needed clarity to the booming but largely unregulated sector of responsible investing.
SMI investors cashed in on a record run Tuesday, a day after trade optimism propelled stock markets across the globe to giddy heights. Peter Romanzina, head of brokerage at Vontobel Investment Banking, discusses whether there is too much short-term euphoria.
In our new SMI series, we give you the facts about Switzerland’s biggest companies. First up is Novartis, the world’s fourth largest pharma company by revenue.