Global sector

Brazil shines for some luxury goods makers

It can be challenging for a retail manufacturer to break into foreign markets, particularly when draconian import duties lead to price inflation and frustrate the growth of the retailer’s brand. Penetrating new geographies can be especially challenging for the luxury … Continue reading »

Chinese tourists become big spenders

Tourists from China spent more money abroad in 2012 than tourists from any other country. At US$102 billion, Chinese international tourism eclipsed — by 20% — the total amount spent by either German or U.S. tourists. Only seven years earlier, … Continue reading »

A transitioning health-care sector offers value

Despite recent outperformance in the sector, we believe health-care stocks remain attractively valued. Health-care price-earnings multiples have recently moved closer to those of the broader market, but are still considerably lower than their historical peaks. The sector is not without … Continue reading »

This sector has a stronger pulse than the market

Investors should take notice of positive developments in the health-care sector. The market already has. Stable earnings and solid fundamentals have led health care — a typically defensive sector — to outperform in a rallying U.S. equity market. Health-care companies … Continue reading »

European brands court Chinese consumers

Since the mid 2000s, the rise of the Chinese consumer has transformed global luxury markets, opening new horizons for European companies. The challenge is to harness the buying power of China’s rapidly growing upper-middle and more affluent classes. Continue reading »

Banks brace for new derivatives rules

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 »

Bank profitability on the mend

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 »

U.S. banks show new capital strength

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 »