As we power ahead, what next for the UK borrowers?

Takeaways: UK economy picks up steam with GDP, employment growth and government borrowing performing strongly Demand for credit from UK companies is on the up, with supply gaps being filled from the increasingly established alternative funders Outlook appears robust for debt capital supply, with the potential UK EU referendum a key risk on the horizon … More As we power ahead, what next for the UK borrowers?

Divergent – the opportunities and risks of diverging fortunes

Takeaway Monetary policies are polarising as fortunes diverge. Balancing the opportunities and risks will be easier for companies able to buy in areas of growth, access cheap debt markets in areas of stress and ride the currency waves. However, for those stuck on the wrong side of the currency equation or the growth and deflation … More Divergent – the opportunities and risks of diverging fortunes

Deflating times

Takeaways: Deflation risks in spotlight. Eurozone forecasts dip further. Saudi action pushes oil price even lower. Bank of Japan hits the QE (panic) button (again) – raising the stakes in the currency markets.  Strong corporate balance sheets provide opportunities to counter growth/deflation risks with acquisitions – despite the October M&A pause, pipelines look strong.  Investor … More Deflating times

New era in capital after (US) QE and AQR draws a line.

Takeaways: A new era awaits. The Fed’s final QE hurrah was flagged, but we expect more market discretion, volatility, disruption and currency oscillation without this safety net. The cost of debt capital will rise. Weaker/exposed nations and companies can expect a rougher ride. Brazil and Turkey look exposed. AQR ran just about to script, but … More New era in capital after (US) QE and AQR draws a line.

Dealmaking set to rebound as middle-market looks set to drive M&A

According to EY’s 11th bi-annual Global Capital Confidence Barometer (CCB), 40% of companies anticipate pursuing acquisitions in the next 12 months – the highest number for three years. More robust market conditions and expanding deal pipelines should see global M&A return to 2006 pre-crisis volume and value levels after a five-year deal slump. While 2014 … More Dealmaking set to rebound as middle-market looks set to drive M&A

Questions, Questions…

There are many questions to ponder this week. From the strength of the US recovery to why markets seem only periodically concerned with geopolitical turmoil – is everything a buying opportunity these days? Are junk bonds our canary? Is Banco Espirito Santo the last European bank casualty or a taste of things to come? US … More Questions, Questions…