FTfm on AV | FT Alphaville

FTfm on AV

Some highlights from Monday’s FTfm.

Jittery fund buyers go for brands
Confused fund buyers are looking to trusted brands rather than performance – recent poor performance and the increasing complexity of products are deemed as being partly to blame

Rules threaten fact finding
Fund managers are warning that rules designed to rein in insider trading within the European Union potentially threaten those who hold investigative meetings with companies they might invest in

Low yields warning on ‘safe haven’ properties
Analysis suggests losses are looming for recent buyers of top-end properties in the most expensive cities in the world

Demand keeps gilt yields low
BarCap researchers believe something needs to change over the next few years otherwise risk-free yields will remain very low for a very long time. The team has called on emerging markets to start creating their own risk-free assets

UK asset managers’ pay levels in question
Shareholder activism by investment managers can hardly be effective on pay if the managers themselves are enjoying similarly generous reward packages

No end soon to markets’ herd-like moves
Is this the beginning of a protracted period when correlations reduce, and security mispricings are steadily eliminated? John Authers suspects not

Debt managers call on agencies to reassess Indonesia
Indonesia has an expanding middle class, steady economic growth of around 6 per cent a year and a debt to GDP ratio of around 32 per cent and falling, presenting a healthier economic picture than many developed nations. Yet its credit rating was only raised to investment grade in December by Fitch, in January by Moody’s, and for Standard & Poor’s it is still double B+, which is the top junk bond level.

A contingency plan should be devised for exit from the euro and instead of making it secret it should be boring and based on tried and tested formulae, says John Dizard