Money Morning Archive December 2009

Nothing is quite as disagreeable as a neighbor who has made a lot of money by not following your advice. After 9 months of 'recovery' they are all around us. They think they have perfected the art of bubble riding.

The debate rages on over which is best: an actively managed fund or a passive tracker. An active manager is someone who selects a portfolio based on his own system of analysis whereas a passive manager will simply buy and sell shares to keep a fund precisely weighted so that the value reflects that of the tracked index. The entire debate hinges on one central principle, namely, the efficient market hypothesis.

Everyone has to cut back and everyone has to make sacrifices, if we’re to save the world. That’s why the world’s leaders and their representatives are sitting in Copenhagen, working on reducing our carbon emissions. So it’s hardly the perfect time for the British government’s ‘Committee on Climate Change’ to give the all-clear to building a third runway at Heathrow airport.

Do labour regulations make it impossible to fire persistent wrongdoers? Call us naïve – but we believed that criminal misconduct warranted immediate dismissal – even with South Africa’s obsession for procedure. It  seems we were wrong.

"What's everyone's favourite currency these days?" asks Neil Shah in the Wall Street Journal. "Quite possibly, the Japanese yen". The recent fright in Dubai has inspired investors to shift some of their cash out of commodities and shares, and into safer places, such as Japan's currency. This has just driven the yen to a 14-year high against the US dollar.

All Content. Copyright © 2012. Fleet Street Publications Pty (Ltd)

Footer Menu

Disclaimer: All material on this site is provided for information only and may not be construed as medical or financial advice or instruction. The information and opinions provided on this site are believed to be accurate and sound, based on the best judgment available to the authors, but readers who fail to consult with appropriate authorities assume the risk of any injuries or losses. The publisher is not responsible for errors or omissions.