Capital Markets, Financial

BGC Partners eyes new platform to trade US Treasuries

BGC Partners plans to launch a new platform to trade US Treasuries early next year, in a bid to return to a market in the middle of evolution, according to people familiar with the plans.  The company, spun out of Howard Lutnick’s Cantor Fitzgerald in 2004, sold eSpeed, the second-largest interdealer platform for trading Treasuries, […]

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Financial

Sales in Rocket Internet’s portfolio companies rise 30%

Revenues at Rocket Internet rose strongly at its portfolio companies in the first nine months of the year as the German tech group said it was making strides on the “path towards profitability”. Sales at its main companies increased 30.6 per cent to €1.58bn while losses narrowed. Rocket said the adjusted margin for earnings before […]

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Currencies

Renminbi strengthens further despite gains by dollar

The renminbi on track for a fourth day of firming against the dollar on Wednesday after China’s central bank once again pushed the currency’s trading band (marginally) stronger. The onshore exchange rate (CNY) for the reniminbi was 0.28 per cent stronger at Rmb6.8855 in afternoon trade, bringing it 0.53 per cent firmer since it last […]

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Currencies

Nomura rounds up markets’ biggest misses in 2016

Forecasting markets a year in advance is never easy, but with “year-ahead investment themes” season well underway, Nomura has provided a handy reminder of quite how difficult it is, with an overview of markets’ biggest hits and misses (OK, mostly misses) from the start of 2016. The biggest miss among analysts, according to Nomura’s Sam […]

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Property

Spanish construction rebuilds after market collapse

Property developer Olivier Crambade founded Therus Invest in Madrid in 2004 to build offices and retail space. For five years business went quite well, and Therus developed and sold more than €300m of properties. Then Spain’s economy imploded, taking property with it, and Mr Crambade spent six years tending to Dhamma Energy, a solar energy […]

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Categorized | Capital Markets, Financial

Outflows seep out of Franklin funds


Posted on January 30, 2015

Franklin Resources, the asset management group that counts bond investor Michael Hasenstab among its top managers, missed earnings estimates in the last quarter as money continued to seep out of its funds.

But Franklin said on Friday that the outlook for Mr Hasenstab’s global bond franchise was strong, despite high-profile losses on Ukrainian debt, in response to questions about outflows and fund liquidity.

    Mr Hasenstab’s $69bn global bond fund has been one of the largest holders of Ukrainian government bonds as concerns mount over the country’s ability to pay its debts. It is down approximately $3bn on its $7bn investment, according to Bloomberg bond data.

    Although the fund has fallen behind a majority of peers in the past month, it has still outperformed 85 per cent of similar funds on a five-year view, and has recently been taking profits from lucrative bets on Irish government bonds at the nadir of the eurozone crisis.

    Analysts have been cutting their earnings forecasts for Franklin after clients withdrew more money than expected in December, particularly from the global bond portfolios. Morningstar research showed that last month was the worst to date in terms of outflows for Mr Hasenstab’s main fund, which saw clients pull $1.6bn.