Market Recap 28/11/2021

Download PDF USA The US main index dropped sharply on Friday, after the Thanksgiving session, following a new Covid variant thread found in South Africa. “This variant has a large number of mutations, some of which are concerning,” the WHO said on Friday. The new variant is still under examination, Read more…

Riding the yield curve

Download PDF   Introduction Traditionally, the carry factor has been associated with a trading strategy in the FX markets. For decades, practitioners and academics have thoroughly studied the phenomenon by which currency speculators were regularly profiting from deviations from the uncovered interest parity condition. Borrowing in a low-interest rates currency Read more…

Green Bonds Boom

Introduction In this article, we will try to provide an insight on green bonds, a quickly growing new star of impact investing trends in the world. A total of US$580bn in green bonds were sold up to the year 2018, and at least another US$170bn more are expected to be Read more…

The new (old) high correlation

Empirical evidence suggests that correlation between asset classes tends to spike during a period of market crisis, because investors panic and sell indiscriminately. This phenomenon is usually short-lived and correlation returns to a normal level as the market stabilizes. During the 2008 financial crisis, this effect was amplified by a Read more…