European Equity Valuations
Although valuation metrics show mixed results, we remain cautiously optimistic about investing in European and U.K. equities.
Research Publications Archive
U.K. Reflation Watch
In the United Kingdom inflation is under control but increasing, driven by strong consumer spending and rising oil and housing prices.
Inflation Watch
The consensus among economists and analysts seems to be that inflation does not pose a threat to the global economy.
Aftermath of the Venture Capital Bubble
Reviews investors’ concerns of capital overhang and interim valuations, and highlights that investors should keep in mind that downturns are part of the nature of this asset class, and this one comes on the heels of an unprecedented upswing.
European Private Equity
An analysis of the rapidly expanding private equity markets in the U.K. and continental Europe using the following criteria: sources of capital, market segments, valuations, leverage, and exit environment. Also included are summaries of individual country markets and exhibits covering capital commitments, EBIT purchase multiples, IPOs, M&As, and distributions to limited partners.
Benefits of Global Equity Investing
U.K. investors, although weary of high global equity correlations and the recent outperformance of U.K. equities, should not decrease their non-U.K. equity allocations for the following reasons: correlations have varied widely and could fall again; and U.K.-only mandates sacrifice 90% of the available opportunity set, represent relatively concentrated portfolios unless they take on significant tracking…
Diversification, Returns and Risk- Promise of Global Equity Investing
In recent years, the outperformance of their domestic markets relative to international markets has prompted U.S. and European investors to question the wisdom of global investing. Despite the superior risk-adjusted returns of U.S. equities and high correlations with other developed markets in recent years, investors should resist the urge of purging non-U.S. equities from their…
The Rise and Fall of the S&P 500
Over the course of the 18.25-year bull market, more than half of the market’s capital appreciation was driven by inflation and the decline in interest rates, and another 20% by multiple expansion, leaving only about 20% of the appreciation attributable to real earnings growth. Between March 31, 2000 and March 31, 2002, inflation continued to…
An Overview Of Endowment Management Costs
This survey-based report examines five main areas of endowment management expense (investment management, investment supervision, custody, legal, and accounting/audit) and explores funding sources for each.
Household Equity Ownership Trends
Equity ownership remains low in Europe due to undeveloped public equity markets, generous pension plans, and the lack of tax incentives. European bulls cite the following to argue that ownership will rise: (1) the bull market of the late 1990s raised awareness of equities, (2) with falling interest rates, Europeans are looking to equities for…