The Dodd-Frank law strives to increase transparency in derivatives trading by moving over-the-counter trading to exchanges, where prices and counterparty risk are easier to track. This provision has pluses and minuses for financial institutions. On one hand, funding the over-the-counter … Continue reading
As described in an earlier post, most U.S. banks now have — or are close to having — the capital they need to meet the federal government’s new capital requirements, we believe. One exception involves institutions that continue to have … Continue reading
In 2010, Congress passed the Wall Street Reform and Consumer Protection Act, popularly known as Dodd- Frank, with the purpose of regulating behavior of banks and financial institutions, capital markets, derivatives trading, and treatment of retail customers. Since then, regulatory … Continue reading
Sometimes an industry evolves beyond the research model that covers it. Consider the case of financial exchanges. Sell-side equity research in this area is divided regionally between Asia, Europe, and the United States, with little or no overlap. These regional … Continue reading
Energy permeates every aspect of our lives, from the power plants that provide electricity to our homes and businesses to the factories that produce everything from cars to furniture. Accordingly, affordable and efficient energy sources are crucial to the health … Continue reading
The health-care sector’s exposure to government spending and legislation is one of the greatest challenges facing health-care stocks today. For example, stocks struggled in the months preceding the passage of the Patient Protection and Affordable Care Act in March 2010, … Continue reading
Owing to fundamental risks, European bank stocks have declined sharply as fears escalate over the eurozone sovereign debt crisis. Continue reading
After being under pressure for most of 2010, health care is a strong-performing sector this year as utilization and pricing trends remain stable and investors gain perspective on the implications of health-care reform. Continue reading
Over the next 10 years, some of the greatest growth in health-care spending is projected for emerging markets such as China, India, and Brazil. For many reasons, growth opportunities are abundant in developing economies, but selecting health-care stocks, particularly among the smaller-cap companies based in these regions, is not without its challenges. Continue reading
