Global Equities, Multi-Asset PM, Dantes Outlook

Damanick Dantes, CMT

Global Equities, Multi-Asset PM

Dantes Outlook

We invest over a full market cycle, using multi-asset portfolios tailored to each global client, from individuals to family offices.

Built to Endure

Cross Asset Strategy

<ul>
<li>
Return dispersion among banks is wide enough to select on. Individual outcomes range from <a href="https://www.smartkarma.com/entities/fukui-bank-ltd" target="_blank" data-smartkarma-citation="entities:9011:1" rel="noopener">Fukui Bank (8362 JP)</a> at +264% to <a href="https://www.smartkarma.com/entities/rakuten-bank-ltd" target="_blank" data-smartkarma-citation="entities:35638:1" rel="noopener">Rakuten Bank (5838 JP)</a> at -23%.</li>
<li>
Leadership is rotating. Money is moving from small cheap regionals back toward larger names.</li>
<li>
We constructed a barbel portfolio. Leg A holds six trend-confirmed momentum leaders. Leg B holds six accelerating laggards.</li>
</ul>



Return dispersion among banks is wide enough to select on. Individual outcomes range from Fukui Bank (8362 JP) at +264% to Rakuten Bank (5838 JP) at -23%.

Leadership is rotating. Money is moving from small cheap regionals back toward larger names.

We constructed a barbel portfolio. Leg A holds six trend-confirmed momentum leaders. Leg B holds six accelerating laggards.


Japanese Banks: Rotating Beneath the Surface

Asia L/S Equity PM/Macro/Thematic Idea Generation

Rikki Malik

Commodities

<ul>
<li>A review of recent events/data impacting our investment themes and outlook</li>
<li>We look at the two recent Central Bank decisions and what they mean for our themes </li>
<li>The Iran/US MOU is providing an opportunity in oil and gas stocks</li>
</ul>


A review of recent events/data impacting our investment themes and outlook
We look at the two recent Central Bank decisions and what they mean for our themes 
The Iran/US MOU is providing an opportunity in oil and gas stocks


Overview #65 – A Tale of Two Central Banks

Thematic (Sector/Industry)

<ul>
<li>Japanese regional banks sit at the crossroads of many macro variables driving the Japanese stock market</li>
<li>Rate normalisation, rising loan growth and profitability and government/activist led consolidation</li>
<li>We introduce a basket of stocks to benefit from these converging trends</li>
</ul>


Japanese regional banks sit at the crossroads of many macro variables driving the Japanese stock market
Rate normalisation, rising loan growth and profitability and government/activist led consolidation
We introduce a basket of stocks to benefit from these converging trends


Japan Regional Banks - An Uncrowded Rate Trade with a Consolidation Option

<ul>
<li>New LDP leader and Japanese PM favours interest rate normalisation</li>
<li>This supports our outlook for a strengthening JPY against the USD</li>
<li>The Japanese central bank may now face pressure to raise rates</li>
</ul>


New LDP leader and Japanese PM favours interest rate normalisation
This supports our outlook for a strengthening JPY against the USD
The Japanese central bank may now face pressure to raise rates


Head of Research and Global Chief Strategist, Steno Research

Andreas Steno

Head of Research and Global Chief Strategist

Macro and Geopolitical Research House

Steno Research

Steno Research is a new macro and geopolitical research house. We are based out of Copenhagen, Denmark, but have an international team and a strong network of sources and partners around the world. The team is lead by Andreas Steno, previous global head of strategy at Nordea Bank, and Mikkel Rosenvold, former chief consultant in the Danish Ministry of Finance.

Macroeconomics

<ul>
<li>It is time for one of the most important Bank of Japan meetings in decades.</li>
<li>Markets remain unprepared for a move, despite the pre-warning of a higher inflation forecast. Here is our preview!</li>
<li>It is a no-brainer for the BoJ to increase the inflation forecast given how firm inflation has been relative to forecasts, but the big question is whether it matters for the policy decision? The short answer is yes. </li>
</ul>


It is time for one of the most important Bank of Japan meetings in decades.
Markets remain unprepared for a move, despite the pre-warning of a higher inflation forecast. Here is our preview!
It is a no-brainer for the BoJ to increase the inflation forecast given how firm inflation has been relative to forecasts, but the big question is whether it matters for the policy decision? The short answer is yes. 


Japan Watch: Markets Are Unprepared for BoJ Action

Japan

TOPIX-Banks Index is a capitalization-weighted index of all the banks listed on the First Section of the Tokyo Stock Exchange and is one of the 33 industry sectors of the TOPIX Index (TPX). The index was developed with a base value of 1000 as of January 6, 1992. The parent index is TPX.

TOPIX Banks Index (TPNBNK INDEX)

Japanese Banks: Rotating Beneath the Surface

Japanese banks are outperforming, although dispersion is wide. There's a rotation between small/large and cheap/expensive, so we built a barbel...

Damanick Dantes, CMT

Overview #65 – A Tale of Two Central Banks

A review of recent events/data impacting our investment themes and outlook. We look at recent Central Bank decisions and the Iran/US MOU

Rikki Malik

Japan Regional Banks - An Uncrowded Rate Trade with a Consolidation Option

One of our basket members Aichi Financial 7389.T suspended mid trading up 4% due to the following headline: May 13 (Reuters) - Aichi Financial...

Rikki Malik

Banking on the BoJ

New Japanese PM's interest rate stance could lead to a stronger JPY against USD. Higher rates will help certain sectors in the market

Rikki Malik

Japan Watch: Markets Are Unprepared for BoJ Action

It is time for one of the most important Bank of Japan meetings in decades. Markets remain unprepared for a move, despite the pre-warning of a...

Steno Research

Japanese Banks: Rotating Beneath the Surface

Japanese banks are outperforming, although dispersion is wide. There's a rotation between small/large and cheap/expensive, so we built a barbel...

Damanick Dantes, CMT

Overview #65 – A Tale of Two Central Banks

A review of recent events/data impacting our investment themes and outlook. We look at recent Central Bank decisions and the Iran/US MOU

Rikki Malik

Japan Regional Banks - An Uncrowded Rate Trade with a Consolidation Option

One of our basket members Aichi Financial 7389.T suspended mid trading up 4% due to the following headline: May 13 (Reuters) - Aichi Financial...

Rikki Malik

Banking on the BoJ

​New Japanese PM's interest rate stance could lead to a stronger JPY against USD. Higher rates will help certain sectors in the market

Rikki Malik

Japan Watch: Markets Are Unprepared for BoJ Action

It is time for one of the most important Bank of Japan meetings in decades. Markets remain unprepared for a move, despite the pre-warning of a...

Steno Research

New Japanese PM's interest rate stance could lead to a stronger JPY against USD. Higher rates will help certain sectors in the market