Advisories, Observation Deck

 

Observation Deck
October 31, 2012 Posted by

QE3, QE Infinity, Q-Eternity are just some of the expressions for what the Fed's latest round of stimulus has been dubbed. At the September FOMC meeting, policy makers embarked on further accommodation in the form of mortgage-backed security purchases in an effort to stimulate growth in the midst of persistently high unemployment, headwinds stemming from the European debt crisis and an imminent tightening of fiscal policy. The interesting point about QE3 is that it is open-ended. This means that the Fed will continue to purchase bonds or employ additional policy tools until the labor market improves "substantially" which then brings into question its forward guidance of mid-2015.

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Observation Deck
October 01, 2012 Posted by

In recent months, the financial markets have been focusing on Europe, the Fed, the fiscal cliff, and even money market fund reforms. One topic that has not received much attention is the looming expiration of the unlimited guarantee for noninterest-bearing transaction deposit accounts, which was a mandate of section 343 of the Dodd-Frank Reform Bill.

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Observation Deck
September 04, 2012 Posted by
It is often written, and perhaps too quickly assumed, that the aftermath of the financial crisis has left corporate investors with limited suitable fixed income investment choices. This impression is understandable given the high level of scrutiny that corporate executives, audit committees, and board members are giving investment vehicles.
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Observation Deck
August 01, 2012 Posted by
As a fixed income investment management firm that specializes in investing for many startups, SVB Asset Management watches public offerings carefully. In addition, we also pay close attention to the Fed and Mr. Bernanke's monetary policy.
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Observation Deck
July 02, 2012 Posted by
While there has been a great deal of attention paid to the austerity measures being enforced across Europe this year, the U.S. has been facing its own austerity challenge with the “fiscal cliff” approaching at year-end...
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Observation Deck
June 01, 2012 Posted by

On February 15, Moody's announced that it placed 114 European financial institutions in 16 European countries and another eight banks and securities firms on review for downgrade. Reasons cited by Moody's for the rating actions is a combination of the situation in Europe and/or the environment faced by Global Capital Market Intermediaries (GCMI).

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Observation Deck
May 01, 2012 Posted by
In the latest FOMC meeting, the Federal Reserve commented again that they felt inflation is contained and the recent rise in energy prices was “only temporary.” With that backdrop,it is expected that committee members will maintain their accommodative monetary policy until stronger economic data emerges....
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Observation Deck
April 02, 2012 Posted by

As the first quarter of 2012 comes to an end, it is encouraging to review the noteworthy economic data of the quarter and discuss the Fed’s posturing. In an effort to fulfill its dual mandate of maximum employment and stable prices, the Fed has focused the last four years on promoting accommodative policy.

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Observation Deck
March 01, 2012 Posted by
There is no question that the issues in the euro zone are far from over and that many headwinds to economic growth remain. Sovereign governments still need to implement harsh austerity measures and control their debts and deficits, while banks are facing capital and liquidity challenges.
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Observation Deck
February 01, 2012 Posted by
The first Federal Open Market Committee meeting of the year shed additional light on the committee’s decision-making process and provided investors further information that must be factored into their investment process. Specifically, fixed income investors must now incorporate the committee’s approved statements and the participants’ rate forecast when constructing a balanced, comprehensive portfolio that weighs both risk and reward. Here’s what I mean.
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