4 results for "Monthly archive:May 31, 2016"

Monthly archive:May 31, 2016

What ratios are relevant in the selection of equity sectors?
What ratios are relevant in the selection of equity sectors?
Photo: Fotolia

What ratios are relevant in the selection of equity sectors?

Shares (equities) are classified, among other criteria, according to sectors, e.g. healthcare, consumer goods, energy etc. Shareholders pursue different approaches when it comes to the classification process. In this report we follow the methodology of MSCI, a US financial service provider that offers international equity indices and risk analyses.

Default risk preferred
Default risk preferred
(c) iStock.com

Default risk preferred

Equities have recovered from their beginning-of-year slump, and bonds, especially corporate and emerging markets, have recorded impressive gains. The loosening of the monetary environment in China and the continuation of the loose monetary policy in the USA have reduced the risk aversion of investors. In terms of asset allocation, we generally prefer default risk. Equities […]