Keep an eye on companies where US revenue rules

Updated: Saturday May 10, 2014 MYT 9:17:32 PM

Keep an eye on companies where US revenue rules

NEW YORK: US stock investors are finding the value of staying close to home.

Even as the U.S. economy barely grew in early 2014, companies with a domestic orientation have on balance delivered better first-quarter sales and profit growth than their globally oriented peers. Read more of this post

Investors may turn neutral on REITs

Updated: Saturday May 10, 2014 MYT 11:04:55 AM

Investors may turn neutral on REITs

BY THEAN LEE CHENG

THE initial negativity surrounding real estate investment trusts (REITs) may be dissipitating but the market is not expected to have the same buoyancy as in the previous years, says Sunway REIT Management Sdn Bhd CEO Datuk Jeffrey Ng. Read more of this post

China’s oil rig move leaves Vietnam, others looking vulnerable

Updated: Friday May 9, 2014 MYT 9:05:37 AM

China’s oil rig move leaves Vietnam, others looking vulnerable

HONG KONG: China’s decision to park its biggest mobile oil rig 120 miles off the Vietnamese coast has exposed how vulnerable Hanoi, and other littoral states of the South China Sea, are to moves by the region’s dominant power to assert its territorial claims.
The Communist neighbors are at loggerheads over the drilling rig in contested waters, each accusing the other of ramming its ships in the area in the worst setback for Sino-Vietnamese ties in years. Read more of this post

A volatile love affair with exchange funds and indexes

A volatile love affair with exchange funds and indexes

1:56am EDT

By Mike Dolan

LONDON (Reuters) – The blossoming love affair with index-based investing and exchange-traded funds is sweeping aside more traditional investment management with its hefty fee premium, even if it is stoking market volatility. Read more of this post

China central bank warns against same-day stock trading

China central bank warns against same-day stock trading

Tue, Apr 29 2014

By Pete Sweeney

SHANGHAI (Reuters) – The People’s Bank of China (PBOC) warned against implementing a same-day trading system for mainland stocks on Tuesday, as securities regulators consider how best to protect retail investors from manipulation by institutional funds. Read more of this post

In China, a Big Jet Becomes a Status Symbol

In China, a Big Jet Becomes a Status Symbol

APRIL 14, 2014

By JOE SHARKEY

IN the United States, public reaction to the corporate use of business jets can be scathing when instances of obvious excess become publicized, such as the day in 2008 when the top executives of the Detroit automakers each used a private jet to fly to Washington to argue for $25 billion in taxpayer bailouts. Read more of this post

M&A regulation Chinese style: Restrict a merger, invest in the aftermath

M&A regulation Chinese style: Restrict a merger, invest in the aftermath

By Adam Pasick @adampasick

April 14, 2014

Mergers and acquisitions are supposedly all about synergy between the companies involved. It’s unusual to see it blossom between a company and an antitrust regulator, yet that’s exactly what seems to have happened in the case of the Chinese government and the Switzerland-based mining group Glencore-Xstrata. Read more of this post

Can Lu Guanqiu’s Wanxiang really become China’s Tesla?

Can Wanxiang really become China’s Tesla?

Staff Reporter

2014-04-15

Lu Guanqiu, second left, briefs visitors on the company’s development of electric cars, Nov. 24, 2013. (Photo/Xinhua)

Lu Guanqiu, 69, the founder of Hangzhou-based Wanxiang Group, a leading Chinese auto parts maker, seems to have moved a step closer towards his dream of building complete cars, after his enterprise bought American plug-in hybrid sports carmaker Fisker Automotive earlier this year. Read more of this post

In Many Cities, Rent Is Rising Out of Reach of Middle Class

In Many Cities, Rent Is Rising Out of Reach of Middle Class

By SHAILA DEWANAPRIL 14, 2014

MIAMI — For rent and utilities to be considered affordable, they are supposed to take up no more than 30 percent of a household’s income. But that goal is increasingly unattainable for middle-income families as a tightening market pushes up rents ever faster, outrunning modest rises in pay. Read more of this post

As India goes to the polls, its banking chief could pay price of prescience

As India goes to the polls, its banking chief could pay price of prescience

His views were once dismissed as Luddite, but Raghuram Rajan is key to rebuilding Indian economic confidence, writes Jeremy Warner

The son of an Indian bureaucrat who was brought up in Delhi, Prof Rajan shot to fame for his prescience on the financial crisis Photo: Bloomberg Read more of this post

The Great Indian Election Roadshow has spawned a bustling marketplace for ideas and commerce

Elections: Spawning Business Opportunities

by Debojyoti Ghosh, Peter Griffin | Apr 15, 2014

The Great Indian Election Roadshow has spawned a bustling marketplace for ideas and commerce

For some, the world’s biggest exercise in democracy also means a chance to start new enterprises, expand existing ones, or set the ground for future endeavours. We talked to a few of these entrepreneurs to find out more about their business models (even though some of them resist being classified as businesses). This is by no means an exhaustive list, nor does it cover every type of enterprise.  Read more of this post

Long-term unemployment: What the U.S. can learn from Sweden

Long-term unemployment: What the U.S. can learn from Sweden

By Christopher Matthews April 14, 2014: 5:00 AM ET

The U.S. can learn from other countries who have had to battle the most stubborn problem in the job market today.

FORTUNE — It’s doubtful most Americans had any idea how good they’d had it.

The scourge of widespread, long-term unemployment was a problem the U.S. hasn’t really had to deal with since The Great Depression. For instance, in 2002, the U.S. had the fourth-lowest rate of long-term unemployment — when taken as a share of the overall unemployment rate — among all OECD countries. Back then, less than 10% of Americans who were unemployed had been so for more than 27 weeks. Now, 35.8% of unemployed Americans fit into this category. Read more of this post

China Set to Elevate Environment Over Development in New Law

China Set to Elevate Environment Over Development in New Law

By Sui-Lee Wee & David Stanway on 12:04 pm Apr 15, 2014

Beijing. Smog-hit China is set to pass a new law that would give Beijing more powers to shut polluting factories and punish officials, and even place protected regions off-limits to industrial development, scholars with knowledge of the situation said. Read more of this post

Indonesia rides its way to being next auto hub

Indonesia rides its way to being next auto hub 

Linda Yulisman, The Jakarta Post, Jakarta | Business | Mon, April 14 2014, 10:50 AM

Indonesia, driven by its growing car market, looks to be heading toward becoming an important automobile-production hub, not only for its own market, but also for other developing countries. Read more of this post

The Lok Sabha of dreams

The Lok Sabha of dreams

David Keohane | Apr 14 09:58 | 7 comments | Share

If we come, will they build it? Here’s the Indian economy charted, by Citi:

A slight exaggeration we grant you but there is so much focus on infrastructure and capex at the moment that it’s really not far off. The lack of decent infrastructure in India is a perennial problem and stalled infra projects lie behind a large number of bad loans clogging up the banking system. Read more of this post

When is reform of a Chinese state-owned enterprise not reform at all? When it’s not going to create value

SOE this is what passes for reform?

David Keohane

| Apr 14 14:29 | Comment | Share

When is reform of a Chinese state-owned enterprise not reform at all? Read more of this post

Yangtze River Delta becomes epicentre for China credit risk

Yangtze River Delta becomes epicentre for China credit risk

3:05am IST

By Gabriel Wildau

SUZHOU China (Reuters) – Suzhou, an ancient city in Jiangsu province 100 km (60 miles) west of Shanghai, lives in legend as one of China’s most beautiful, famous for its elegant gardens and charming canals. Read more of this post

Missing Suharto yet? Nostalgia mounts in Indonesia as democracy fails to protect Indonesians from the worst excesses of capitalism

Updated: Tuesday April 15, 2014 MYT 6:45:26 AM

Missing Suharto yet?

BY KARIM RASLAN

Nostalgia mounts in Indonesia as democracy fails to protect Indonesians from the worst excesses of capitalism.

THE dust is still settling over last week’s legislative elections in Indonesia. Pundits are still mulling over the “whys” and “how’s” of the results. Read more of this post

Chinese firms could have locked up as much as 1,000 tonnes of gold in financing deals, an industry report said, indicating a big a slice of imports has been used to raise funds due to tight credit conditions, rather than to meet consume

Updated: Tuesday April 15, 2014 MYT 12:15:54 PM

China may have 1,000 tonnes of gold tied in financing: WGC

A customer looks at a golden figurine on display for sale at a department store in Beijing. In China, imported gold is being used via gold loans and letters of credit to raise low-cost funds for business investment and speculation, says the World Gold Council – Reuters Photo. Read more of this post

Only 1 in 7 Japanese scientists are women: Study

Only 1 in 7 Japanese scientists are women: Study

Tuesday, April 15, 2014 – 13:19

AFP

TOKYO – Just a seventh of scientists in Japan are female, government figures show – the lowest rate of any developed nation, despite being a record high for the country. Read more of this post

Temasek’s dealmaking reflects big bets on rise of the consumer

Last updated: April 14, 2014 7:25 pm

Temasek’s dealmaking reflects big bets on rise of the consumer

By Jeremy Grant in Singapore

From toothpaste and shampoo in China to instant noodles and tomato paste in Africa, Temasek is betting big on growth in an emerging middle class – a significant shift for Singapore’s $171bn national investment agency, long known for its emphasis on the financial sector.

Read more of this post

Buffett derivatives, just ignore the volatility

Buffett derivatives, just ignore the volatility

Dan McCrum | Apr 14 16:44 | Comment | Share

Part of the BUFFETT DERIVATIVES SERIES

There’s an old Russian proverb, popularised by Ronald Reagan, which comes up among due diligence types: trust, but verify. Read more of this post

Is ‘smart beta’ the latest magic money tree? Returns could decline as more money flows into the strategies

April 14, 2014 8:30 am

Is ‘smart beta’ the latest magic money tree?

By Pauline Skypala

Returns could decline as more money flows into the strategies

Investors are always on the lookout for a magic money tree. The latest candidate for that label has been dubbed “smart beta”, although some would argue it fits neither of those descriptions. Read more of this post

Chinese munis will help curb shadow banks; Beijing to hasten launch of municipal bond market

April 15, 2014 6:38 am

Chinese munis will help curb shadow banks

By Henny Sender

Beijing to hasten launch of municipal bond market

It is never a good idea to have an overdeveloped capital market, as is the case in the US. Nor is it a good idea to have an under-developed capital market, as is the case in China. But at least governments can address the former more easily than the latter. Read more of this post

China engineers ‘Potemkin defaults’ to mask debt reality; Beijing wants market discipline without halting growth

April 14, 2014 11:46 am

China engineers ‘Potemkin defaults’ to mask debt reality

By Jamil Anderlini in Beijing

Beijing wants market discipline without halting growth

In the past two months, China has suffered its first domestic bond default in recent history and a series of small bankruptcies that have some investors fretting the country could face its very own “Lehman moment”. Read more of this post

The Fragile Middle: China’s migrant workers test urbanisation drive; One in five Chinese only a wage away from losing middle-class status

April 14, 2014 4:04 pm

The Fragile Middle: China’s migrant workers test urbanisation drive

By Jamil Anderlini in Beijing

Xu Bo has worked in a construction gang in Beijing for four years, helping build the city apartments and skyscrapers that symbolise China’s urban transformation. Read more of this post

Regulators Weigh Curbs on Trading Fees; SEC Officials Consider Testing ‘Maker-Taker’ Plans

Regulators Weigh Curbs on Trading Fees

SEC Officials Consider Testing ‘Maker-Taker’ Plans

SCOTT PATTERSON And ANDREW ACKERMAN

April 14, 2014 7:08 p.m. ET

WASHINGTON—A fee system that is a major source of revenue for exchanges and some high-frequency trading firms is coming under the heightened scrutiny of regulators concerned that market prices are being distorted, according to top Securities and Exchange Commission officials. Read more of this post