The Paris climate conference has yet again confronted the public with the importance of a sustainable and environmentally friendly economy for the future of our planet. The goal of imposing a cap on global warming of below two degrees centigrade requires a Herculean effort. Paul Severin interviews Clemens Klein, senior fund manager about the results of the conference.
There are many factors that may affect inflation. Also, the weights of certain factors may vary across countries. Take the development of the exchange rate, for example.
The entire Bitcoin network already requires more energy than Peru or Hong Kong, or almost half of Austria’s power supply. Such a development is clearly at odds with achieving the goals of the Paris Climate Agreement, i.e. to curb global warming to below 2 degrees.
At the beginning of 2018, economic indicators are confirming the recovery scenario. Above all, the yields of government bonds are on the rise. Why is that the case, and what does it mean for the financial market as a whole?
Why is the inlfation outlook for 2018 important? In our three part series we explain how inflation works.
Author: Christin Bahr, Product Management Securities Erste Group
In the context of record lows of money market rates and low government bond yields, high-yield bonds remain in demand. In view of the already very low spreads it may be worthwhile having a closer look at this bond segment.
Dr. Ulrich Eberl is one of the most renowned German-speaking scientific journalists and futurologists. He holds a PhD in biophysics from the Technical University of Munich and was Head of Global Communication for research and future trends for 20 years at Siemens.
Capital markets recorded a positive year of 2017. The performance of the various asset classes was of the textbook variety: the higher the risk, the higher the return. At slightly more than 1%, even low-yield asset classes such as euro government bonds or US Treasuries (in USD) posted positive rates of return1). This came as a surprise seeing that many experts had expected higher yields for government bonds, which would have come with negative effects on prices.
Gabriela Tinti was interviewed by Dieter Kerschbaum, Erste AM Communications.
The global economy is experiencing significant growth, and the emerging markets have felt the increased economic growth rates as well. Even in problematic countries such as Brazil or Russia, the situation has been picking up due to the increased oil price.
This week we held our monthly Investment Committee meeting. Although only little has changed with regard to the overall economic picture, we were having a few interesting discussions that we would now like to share with you.