Delivering Global Macro Investment Insights

DeSaque Macro Research

DeSaque Macro Research Limited was formed by Said DeSaque in April 2012 with the view to delivering global macro investment insights aimed at providing new ideas to clients.

Said DeSaque has over 26 years of experience working as a professional economist in financial services. Prior to establishing DeSaque Macro Research, Said held positions as Senior Economist at Robert W Baird and William Blair. He began his career as a graduate at PaineWebber in 1986, where he eventually became Head of the London Economics Department.

Said takes a very keen interest in international relations, along with their implications for economic development. His research interests include the economic transformation of China and its implications for global capital markets, particularly in the United States. He is a member of Chatham House in London.

The US economy and capital markets have historically been Said’s main focus of attention. He frequently presents his views to institutional investors in diverse geographic locations. In recent years, Said has also been carefully monitoring economic developments in Asia, particularly China and Japan.

Global Economist, DeSaque Macro Research

Said Desaque

Global Economist

Thematic (Sector/Industry)

United states / Thematic (Sector/Industry)

US political populism is taking aim at share buybacks via legislation aimed to outlaw the practice being proposed by Senators Schumer (D-NY) and Sanders (D-VT) unless corporations pay their workers at least $15 per hour.After years of prohibition, share buybacks were given the regulatory green light in the 1980s, and, subsequently, they blossomed as incentive-related compensation for executives surged under the guise of stock options due to tax legislative changes in 1993.The rise of passive investment managers as outside shareholders may have boosted the use of share buybacks by corporate insiders, because these investors are less likely to question governance issues, including distribution policy.Meanwhile, there is little evidence to support the claim that share buybacks have artificially boosted S&amp;P500 operating EPS growth, while the bulk of the share count shrinkage since the Great Recession has been skewly-distributed amongst constituents.Gross fixed investment by US non-financial corporations is currently at a record-high, thereby diffusing the claims that share buybacks have been to the detriment of capital spending and, ultimately, workers.Regulation aimed at curbing share buybacks is unwarranted, but measures to curb corporate cronyism are probably needed to enhance overall governance standards.

US political populism is taking aim at share buybacks via legislation aimed to outlaw the practice being proposed by Senators Schumer (D-NY) and Sanders (D-VT) unless corporations pay their workers at least $15 per hour.After years of prohibition, share buybacks were given the regulatory green light in the 1980s, and, subsequently, they blossomed as incentive-related compensation for executives surged under the guise of stock options due to tax legislative changes in 1993.The rise of passive investment managers as outside shareholders may have boosted the use of share buybacks by corporate insiders, because these investors are less likely to question governance issues, including distribution policy.Meanwhile, there is little evidence to support the claim that share buybacks have artificially boosted S&amp;P500 operating EPS growth, while the bulk of the share count shrinkage since the Great Recession has been skewly-distributed amongst constituents.Gross fixed investment by US non-financial corporations is currently at a record-high, thereby diffusing the claims that share buybacks have been to the detriment of capital spending and, ultimately, workers.Regulation aimed at curbing share buybacks is unwarranted, but measures to curb corporate cronyism are probably needed to enhance overall governance standards.

US Political Populism Takes Aim at Share Buybacks