|Bid||0.00 x 800|
|Ask||0.00 x 800|
|Day's Range||27.65 - 27.70|
|52 Week Range||27.17 - 28.21|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||0.30|
|Expense Ratio (net)||0.49%|
Anyone researching CPI Computer Peripherals International (ATH:CPI) might want to consider the historical volatility of the share price. Volatility is considered to be a measure of risk in modern finance Read More...
The latest market sell-off that saw the Dow Jones Industrial Average lose over 1,300 points in two trading sessions caused investors to flee towards floating-rate bond ETFs and Treasury Inflation-Protected Securities (TIPS) as they dumped U.S. equities. While floating rate bond ETFs provide the necessary hedge against a rising rate environment, rising inflation can tamp down any returns realized from floating rate corporate bonds.
One of the world’s highest unemployment rates, tax increases, record fuel prices and gross domestic product that hasn’t expanded more than 2 percent since 2013 are taking their toll on businesses and consumers. “In a low-growth environment, the banks try to tread water,” said Jan Meintjes, a money manager at the Cape Town-based firm. For the moment, most lenders have tightened the credit taps amid political uncertainty ahead of elections next year and state-owned companies that are bleeding cash.
Rising interest rates have presented a challenge for passively-managed funds, which may exclude a significant portion of the investable debt market that could offer investors more diversification if they allocated capital into an actively-managed fund. For example, rising interest rates can hurt fixed-income investors who have capital allocated to debt with fixed rates that don't move with short-term rate adjustments made by the Federal Reserve. With no signs of slowing, it appears that a steady diet of rising rates is in order, according to Boston Federal Reserve President Eric Rosengren.
Fixed-income and inflation go hand-in-hand like termites to wood--inflation can erode the profits of fixed-income investments over time. Furthermore, the extended bull market has seen inflation on a steady, upward path with an increase of 2.9% for the 12 months ending July 2018, which is up from 1.9% since last August. "Inflation and fixed income are not a good combination usually," said George Rusnak, co-head of global fixed-income strategy at Wells Fargo.
For ETF investors, floating rate corporate bond ETFs provide the necessary hedge against a rising rate environment, but what are the options when inflation is rising in conjunction with the federal funds rate? Rising inflation can tamp down any returns realized from floating rate corporate bonds, but investors are keen to look at the IQ Real Return ETF (CPI) as an option to hedge against inflation. CPI seeks investment results that correspond to the IQ Real Return Index--a "fund of funds" that invests its net assets in the investments incorporated within the underlying index.
Is It Time to Turn Bullish on Gold after Its Recent Weakness? The Consumer Price Inflation (or CPI) for May rose 2.8% annually, its fastest annual pace in more than six years. The PCE (personal consumption expenditure) (CPI), the Fed’s preferred gauge of inflation, has also hit the 2.0% level.
The FOMC’s June statement was released on June 13, and the outlook for inflation remained upbeat. The highlight of the comments on inflation was the statement from FOMC Chair Jerome Powell, who said that he was not ready to declare victory on inflation. The statement indicated that on a 12-month basis, both inflation (CPI) and core inflation (which excludes food and energy) moved closer to the symmetric inflation (TIP) target, while the indicators of long-term inflation (VTIP) remained unchanged.
The US Federal Reserve has a dual mandate of achieving maximum employment and stable prices (TIP) in the economy. In recent months, the US unemployment rate has moved to multiyear lows, and it looks set to fall further, as there are more jobs available than the number of job seekers, according to the recent Job Openings and Labor Turnover Survey. The strengthening of the job market was acknowledged in the June FOMC statement, and it remained the key reason for the Fed to comfortably tighten policy.
With inflation on the rise, investors may consider ETF themes that may help diminish the negative effects and diversify an investment portfolio. The consumer price index was up 0.2% from the previous month and 2.8% year-over-year, its biggest annual gain since February 2012. The data “provide further evidence that inflation is moving towards the Fed’s objective,” and the central bank will continue on its gradual rate-hike path, Kevin Cummins, an economist at NatWest Markets, told Bloomberg.
The Federal Reserve has two major mandates—to maximize employment and maintain stable prices. There are no predefined levels for employment or prices, but the benchmark for employment has been an unemployment rate below 4.0%. The Fed set an inflation (TIP) target of 2.0% under the chairmanship of Ben Bernanke at the beginning of 2012.
The Bureau of Economic Analysis defines PCE (personal consumption expenditure) as the value of goods and services purchased by, or on behalf of, US residents. The Fed prefers this inflation (CPI) measure to assess price levels, as it reflects actual price increases for consumers.
NEW YORK , April 30, 2018 /PRNewswire/ -- IndexIQ, a New York Life Investment Management (NYLIM) company, and Chaikin Analytics will be ringing the Opening Bell at the Nasdaq this morning to celebrate ...
While small-cap stocks, such as CPI Computer Peripherals International (ATSE:CPI) with its market cap of €2.48M, are popular for their explosive growth, investors should also be aware of their balanceRead More...
In the search for the best ETFs for retirement, I discovered what I first thought were really bizarre exchange-traded funds that seemed to make little sense for any portfolio. The problem was this was before I came to understand how important non-correlated investments are to any long-term diversified portfolio. Non-correlated investments are essential to your portfolio because they tamp down volatility, and therefore risk, in your portfolio.
Personal consumption expenditure (or PCE), as defined by the Bureau of Economic Analysis (or BEA), is the value of goods and services purchased by, or on the behalf of, people who reside in the United States. PCE inflation (CPI) is the preferred tool of the US Fed when assessing the price levels in the economy, as it reflects the actual increase in prices for consumers. Increasing inflation (VTIP) could give the US Fed enough confidence to continue to increase the Fed funds rate.
When CPI Computer Peripherals International (ATSE:CPI) announced its most recent earnings (30 June 2017), I compared it against two factor: its historical earnings track record, and the performance of itsRead More...
The FOMC (Federal Open Market Committee), as part of its statutory mandate, seeks to foster maximum employment and stable prices (TIP). The efforts of the Fed with its accommodative monetary policy and excessive money printing helped bring back unemployment below the target rate of 4.5%. Over the last 12 months, unemployment levels have fallen to a 17-year low of 4.1%.
The FOMC’s (Federal Open Market Committee) March statement was released on Wednesday, March 21, 2018, and the outlook for the closely watched inflation remained muted. The statement indicated that on a 12-month basis, both inflation (CPI) and core inflation (which excludes food and energy) have continued to be below the 2% target rate. The summary of economic projections released along with the FOMC statement indicated minimal changes to the inflation growth outlook.
CPI Computer Peripherals International (ATSE:CPI) delivered a less impressive 1.07% ROE over the past year, compared to the 11.19% return generated by its industry. Though CPI’s recent performance is underwhelming,Read More...
South Africa's rand surrendered some gains on Friday but remained near its three-year best ahead of Cyril Ramaphosa's maiden state of the nation address after he was sworn in as the country's president. Other South African assets continued to rally, with bond yields on the benchmark at their lowest since December 2015, while five-year credit default swaps (CDS) fell 3 basis points (bps) from Thursday's close. On Wednesday Jacob Zuma resigned as president after of weeks of pressure, ending a nine-year tenure punctuated by scandals, stagnant economic growth and policy uncertainty.
South African bank Capitec said on Monday it had no need to adjust its loan book after facing further criticism from U.S. firm Viceroy Research about its financial reporting. Capitec last week dismissed ...
South Africa's government has asked the financial services regulator to consider launching a market abuse probe into Viceroy Research after its report on Capitec sparked a sell-off in the stock, it said on Thursday. The National Treasury also asked the Financial Services Board (FSB) to alert relevant overseas regulators, including in the United States and Britain, to consider whether the U.S. research firm was regulated appropriately, it said in a statement. Viceroy Research criticised lending practices at the bank on Tuesday, saying it understated defaults, triggering a brief slump of 25 percent in its shares.
South African lender Capitec Bank Holdings dismissed Benguela Global Fund Managers' letter on Thursday, which had raised concerns about the lender's business practices. Benguela wrote to Capitec last month, ...