Todd Ausherman and Jim Cory, a real estate lawyer and the CEO of Legacy Reverse Mortgage co-hosted The Craig Sewing Show twice last month; topics include Greece, Steve Jobs, Qaddafi, the Occupy movement, and San Diego reverse mortgages. Read more »
“Hang Seng Financial”: Many investors are supplementing their gold holdings by turning to silver.
Hang Seng Financial, the Asia-based investment house, has reportedly restated its confidence in silver as an alternative to gold for clients looking to gain further exposure to precious metals.
As part of their monthly email to clients, analysts at Hang Seng Financial suggested that fundamental supply and demand dynamics coupled with the monetization of debt by governments were just two of the factors supporting the case for investment in what is seen as gold’s sister precious metal.
Although much of the spotlight has been on gold’s impressive 40% price gain in 2009, silver has become the contrarian investor’s cause de célèbre with many commentators citing the metal’s industrial uses and its perception as a currency in many parts of the world.
Hang Seng Financial analysts believe that the price of silver is likely to increase as the metal’s use in a number of new technologies continues to grow. Silver is used in RFID (Radio Frequency Identification), an electronic tag which is used extensively by retailers, logistics firms and airport baggage handlers to identify the location and identity of goods or merchandise.
Hang Seng Financial believe that exposure to silver – through the physical commodity, ETFs, and/or silver mining companies – will likely be a “very attractive investment“ over the next several years.
“Hang Seng Financial”: The price of gold is likely to be underpinned by interest from central banks in developing nations.
Financial News, HONG KONG – Sources close to “Hang Seng Financial” say that the firm remains confident in the integrity of the long term secular bull market in gold thanks to continuing and ever-present interest from central banks in developing economies.
One of the sources pointed to the November 2009 purchase of 200 tonnes of IMF gold and to the steady accumulation by the People’s Bank of China as evidence of support for the price in the years going forward.
“Hang Seng Financial” analysts are thought to believe that the trend will continue as governments in developed nations continue to resort to the printing press to stimulate their moribund economies. China has, on several occasions, said that it remains concerned at the effect of the US Federal Reserve’s quantitative easing program on the value of its dollar-denominated holdings.
China holds nearly $700 billion of US Treasury bonds and mortgage agency debt issued by Freddie Mac and Fannie Mae is widely known to be seeking to diversify the content of it foreign currency holdings away from the US dollar.
“Hang Seng Financial” believes that emerging nation gold purchases are indicative of a fundamental shift of wealth and global financial influence from the West to the East and continues to encourage clients to purchase gold and silver as a means to protect their wealth.
For those contemplating investment in fine wine as part of an overall investment portfolio, the latter part of 2008 serves as a good barometer for the resilience of this market.
As predicted, the initial dip seen last October, attributed to the large sell-off of investment grade wines as global economies turned sour, is starting to show signs of sustained recovery, thanks in large part to the unique supply and demand characteristics that influence this market. Increasing worldwide demand for these wines, particularly from the Asian market, has resulted in an inverse supply curve and prices ticking back up.
It would appear that Hong Kong’s intentions are clear in wanting to become the trading hub for fine wines in the region by adopting a zero tax policy on wines and spirits to replace the 40% tax levied previously. This, combined with the weak sterling, has been the catalyst for the major auction houses, (Sotheby’s, Christie’s, Acker Merrill), setting up shop in Hong Kong and enjoying considerable success. Traditionally, these same auction houses hold their monthly sales of fine wines in London and New York to provide added value to their core of art buying clients, which stands in contrast with the fledgling market developing in Hong Kong where wine has taken centre stage.
Rather than being ‘wine investors’, the profile of buyers in the East Asian region suggests that they are buying for consumption rather than profit, however with such a strong track record of performance within the established market, we feel it is only a matter of time before speculation begins to play a greater role and further contribute to the longevity of this present growth cycle.
Although it is often said that the market for fine wines is the last to feel the impact of any economic upheaval and the first to show recovery, there is no substitute for seeing this principal put to the test as indeed we have over the last 10 months.
What has become apparent is that rather than there being a period of inactivity – consumption, collection and speculation have remained unhindered leaving auctioneers bullish and investors currently still able to buy investment grade wines at an advantageous price, indicating probable growth in the medium as well as long term.
NEW YORK – November 20, 2008 – Opal Financial Group will be hosting the 2008 Alternative Investing Summit, December 7-9, 2008 at the Ritz Carlton, Laguna Niguel, CA.
The 2008 Alternative Investing Summit will attract investors from numerous public and corporate pension funds, family offices and foundations seeking to maximize their returns using alternative investments, while maintaining proper asset allocation in their plan portfolios. The Summit will also appeal to money managers looking to expand their alternative investing opportunities and strategies in an educational and networking-rich environment.
“The Alternative Investing Summit is meant to educate attendees of the many effects of the marketplace today, such as the implications of the convergence between private equity and hedge funds. We are also focused on defining opportunities and trends in such sectors as private equity, distressed investing and the increasing popularity of alternatives,” said Opal Financial Group’s CEO, Abe Wellington. (Focus Point Press – Emerging Manager Focus, Monday, November 3, 2008)
Opal Financial Group produces high-profile educational conferences for the institutional investing and high net worth communities and individuals around the globe. Since its inception in 1998, Opal Financial Group has been dedicated to creating events that bring together industry leaders for the meaningful exchange of information and heightened networking opportunities. To inquire more, please visit us on the web at www.opalgroup.net.
