Pierre Mouton, Author at Notz Stucki Group

Cartoon of the Month – “Audentes fortuna iuvat” Fortune sides with him who dares

“Audentes fortuna iuvat”, Virgil Currency risk, volatility risk, downside risk, credit risk, liquidity risk, concentration risk, equity risk, key man risk, governance risk, geopolitical risk, duration risk, counterparty risk, disruption risk, opportunity risk, macro risk, regulatory risk, reputational risk, competitive risk …. And the list goes on…. Risk is inherent…

Chart of the Month – Growth vs Value: there’s a risk in everything, so be prepared for ups and downs

Growth versus Value: there’s a risk in everything, so be prepared for ups and downs So here we go again with the never ending confrontation between the Growth guys and the Value guys: they both tell you that their philosophy is the surest way to make money in equities over…

Chart of the Month – “Who you trying to get crazy with this thing? Don’t you know I’m loco?”

“Who you trying to get crazy with this thing? Don't you know I'm loco?”(*) Hip-hop does not have a lot in common with financial markets and this 1993 song from Cypress Hill was obviously not aimed at giving any reference to any asset class whatsoever. But when looking at the…

Chart of the Month – European Financials: banking on the right stuff

European Financials: banking on the right stuff The whole financial sector in Europe has quite often been qualified as a disaster for equity investors since the GFC. It’s been now almost 10 years since the market bottomed in 2009, and an investor in European financial stocks during these 10 years…

Chart of the Month – Something hits the Faanmg?

Something hits the Faanmg*? In the recent market correction, the famous Faanmg have, on average, been hit quite hard, especially when taking into consideration the intrinsic quality of these stocks. Remember, many observers pointed out that these stocks were the main driving force behind the good performance of the US…

Chart of the Month – Small caps versus large caps: small is beautiful… Especially in Europe!

Small caps versus large caps: small is beautiful… Especially in Europe! It is often said that Small Caps outperform Large Caps over the long term; it is true, and makes sense. Smaller companies are more agile, tend to fall less under the burden of regulation, and are generally more “pure…

Booster son patrimoine

Comment gérer aux mieux sa fortune? Selon l’étude annuelle « Global Wealth Report 2017 » récemment publiée par Credit Suisse, plus des deux tiers des adultes suisses ont un patrimoine approchant ou dépassant 100'000 francs. Et 8,8% de la population résidant en Suisse sont millionnaires. En 17 ans la richesse…

Chart of the Month – What’s going on?

What's going on? The US yield curve is flattening at a steady pace. One of the most followed indicators, the 2-10 year differential, has more than halved since the beginning of the year, from 125 basis points to less than 60 bps today. Traditionally, a flattening yield curve is…

Chart of the Month – Japanese Yen: to hedge or not to hedge?

Heart shaped hedges, Japanese gardens (« Johnson’s aeroplane” – INXS, 1984) When it comes to buying Japanese equities for a non-Japanese investor, this emotional question always resurfaces: how do I manage the currency risk for the seeds I sowed in the Japanese garden, i.e. do I hedge the JPY currency…

Chart of the Month – CAPE–ability in question

CAPE–ability in question « In theory there’s not much difference between practice and theory – but in practice, there is. » Yogi Berra. More and more warnings are being sent about the unsustainability of the current CAPE ratio for the SP500 and that a correction should occur, based on the…