Archive | November, 2015

Knowledge Is Once Again Outperforming In 2015


Knowledge Leaders, companies who follow a strategic innovation strategy, are once again outperforming Knowledge Followers, those companies that follow a strategic mimicking strategy. The median knowledge leader in the world has gained nearly 5.5% YTD, in USD, while the median Knowledge Follower has declined by a little over 1%. If we break it out by sector, […]

U.S. Rates, ECB Asset Purchases Driving Euro Lower


The euro fell 3 cents last week– a significant decline, certainly, but not the most extreme weekly drop witnessed so far this year: Most of the fuss associated with the rapid retreat of the euro can be attributed to the level of the currency in relation to important levels of recent support. Since the beginning […]

Median Valuations Around The World (Interactive)


In the table below, we show median P/E, P/CF, P/S, and P/B value for every country in the developed and emerging markets. Also, if you hover over an individual country’s valuation bar, you can see the median year-to-date performance through November 5th. While we fully suggest that the reader click through to come to their […]

The Marginal Productivity of Chinese Debt Has Gone From Bad to Much Worse – Not Good for the Rebalancing Case


Taking the Chinese GDP statistics at face value (an increasingly big assumption these days) we point out a rather ominous scenario which seems to be developing in the productivity dynamics of Chinese debt-financed growth. Basically the amount of growth that each new unit of credit produces is plunging to levels not seen since 2009-2010 when […]

Don’t be Fooled by the Level of the Stock Market – Other Assets Say Deflationary Headwinds Still Very Much in Play


We’ve had some run in stocks over the last several weeks. With today’s rally US stocks are now nearly 13% above their late-August low and are in spitting distance of another all-time high. This would be great news if only other asset classes and the internal leadership of the stock market confirmed the seemingly outright […]

Q&A with Geopolitical Strategist Peter Zeihan


We recently had the pleasure of a visit by Peter Zeihan, author of The Accidental Superpower: The Next Generation of American Preeminence and the Coming Global Disorder. We highly recommend Zeihan’s book to readers of our blog. The book outlines the global impact of US moves to pull away from the Bretton Woods Agreement that has been […]