Download PDF Introduction In this article, we determine whether recurrent neural networks can unlock any meaningful predictive power from a given feature set in forecasting corporate bond returns – or if the data is too noisy to yield reliable predictions. We explore whether these forecasts can be leveraged into building Read more…
Download PDF Introduction A retailer is a company or individual that sells goods or services directly to consumers, typically in small quantities for personal or household use. Positioned at the final stage of the supply chain, retailers reach consumers through brick-and-mortar stores, digital platforms, or a blend of both. While Read more…
Download PDF Introduction Geopolitics has become an increasingly influential factor in M&A, shaping and influencing deals whose rationale now goes beyond financial and strategic considerations, to national security concerns and soft power demonstration. Recent, and growing, geopolitical tensions between global powers, especially between the Western and the Eastern hemisphere, have Read more…
Download PDF USA The major U.S. indices ended the week on a negative note on Friday, due to heightened inflation fears and uncertainty surrounding trade policies. On Friday, the S&P fell by 2%, the Dow Jones dropped by 715 points, and the Nasdaq tumbled by 2.70%. The sell-off was led Read more…
Download PDF Introduction Last month, we published an article focusing on the APAC IPO market, with particular attention to India, and decided to extend our exploration of equity capital markets in different regions as there is a lot going on right now. This article will examine the European IPO market, Read more…
Download PDF USA Major U.S. indices managed to close in positive territory on Friday, recovering from earlier losses after President Trump suggested some flexibility on tariffs, while several megacap stocks had a comeback. The S&P 500 edged higher by 0.1%, the Dow Jones added 32 points, and the Nasdaq gained Read more…
Download PDF Introduction In this fourth episode of the Backtesting Series, we will get into Portfolio Construction & Portfolio Optimization processes with a deep focus on MVO. If you haven’t already, we recommend reading the first three episodes before proceeding with this article. Please note that the series will include Read more…
Download PDF Introduction Behavioral finance challenges traditional assumptions of rational investor decision-making as behavioral biases systematically influence investment decisions in the financial world. This article explores how these biases influence investment decisions and examines how financial product design can exploit or mitigate such biases. First, we explain the fundamental concept Read more…
Download PDF Introduction An easy and cheap way to access capital for value-creation, or maybe the first step towards imploding a business that worked for over 50 years? Popularised in the 1980s as an alternative form of financing for corporations amid high interest rates, asset sale-leasebacks have since found applications Read more…
Download PDF Introduction In an increasingly volatile geopolitical landscape, global defence markets are undergoing rapid and historic transformation. From the United States to Europe, military budgets are surging, procurement strategies are evolving, and investor interest is spiking. In the U.S., legacy defence giants are facing a wave of disruption from Read more…
Download PDF Introduction In 2024, over 240 activist campaigns were launched globally, the highest number since 2018, according to a Barclays report. The US and APAC remained the primary regions for activism, with 44% and 29% of campaigns initiated in these areas, respectively. Meanwhile, activity in Europe saw a slight Read more…
Download PDF Introduction What are the main differences between different European economies right now? Will the two traditionally strongest nations be able to recover from these years of weak economic performance and political uncertainties? In this article we will try to tackle these questions, as well as exploring the principal Read more…
Download PDF Introduction This article explores how Hierarchical Risk Parity (HRP) compares to other portfolio optimization strategies, particularly those based on volatility and traditional portfolio theory. To rigorously test this approach, we constructed a portfolio that rebalances on the first tradable day of December each year from 2005 to 2025. Read more…
Download PDF Introduction The Danish Compromise is a regulatory provision within the Capital Requirements Regulation (CRR) which allows banks to apply favorable capital treatment to their equity investments in insurance subsidiaries. This mechanism has a significant impact on capital allocation strategies for financial conglomerates active in both banking and insurance Read more…
Download PDF USA Most stock indexes ended the week on a negative note, although the Russel 3000 Value finished 1.54% higher and the Dow Jones Industrial Average finished 0.80% higher. The NASDAQ and Russel 3000 Growth index significantly underperformed the market, predominantly driven by regulatory uncertainty and concerns of the Read more…