Latest news with #assetmanagers
Bloomberg
2 days ago
- Business
- Bloomberg
Carry Trades Roar Back Into Favor as Emerging Currencies Rally
Emerging market carry trades are taking off again, as currency volatility subsides amid signs President Donald Trump's aggressive tariffs may not get fully enacted. An index of carry returns — for which a trader borrows in a low-yielding currency and then invests in another offering higher returns, hit a seven-year high in late May. Asset managers have boosted long positions in developing-nation currencies in recent weeks, with those on Mexico's peso reaching a nine-month high, based on CME Group Inc. data.
Globe and Mail
5 days ago
- Business
- Globe and Mail
OSC looks to improve access to private markets while investor advocate urges caution
The Ontario Securities Commission (OSC) is moving ahead with a project to make private market investment funds more accessible to investors, a proposal supported by asset managers while investor advocates raised concerns. The regulator said Thursday that it's developing a LaunchPad project through its innovation office to introduce new investment fund products with exposure to long-term assets. The project will allow firms to work with the OSC and receive exemptive relief to develop alternative investment funds for retail investors. The move follows a consultation seeking input on a framework to give individual investors access to 'long-term asset funds' comprised primarily of non-public assets. While many asset managers supported the proposal, other organizations raised concerns. The OSC's Investor Advisory Panel (IAP) said in its annual report released this week that it's concerned about the rising interest in alternative investment products, as private markets lack transparency and offer less investor protection than public markets. Any efforts to increase access to private markets should consider the risks to retail investors, it said. The OSC said Thursday that exemptive relief decisions under the project would require 'bespoke investor protection controls based on the specific details of each fund and product.' The IAP said in its submission to the OSC consultation that the 'nature and structure of long-term illiquid assets does not render them a suitable investment for a large swath of the retail investing public.' However, the IAP added in the submission that not all retail investors need to be restricted to public markets and that an allocation to 'long-term assets' within retirement plans may be suitable for investors with a long time horizon. If the OSC goes ahead with the proposed fund structure, the IAP recommends enhanced risk disclosure that explains the investments' illiquid nature and redemption costs clearly. The IAP also calls for clear fee structures that explain performance fees. OSC chief executive officer Grant Vingoe said the LaunchPad project would provide new opportunities for firms and investors while providing oversight and protection. 'The investment landscape is shifting, and retail investors are increasingly looking to diversify their portfolios,' he said in a news release. The IAP's annual report also noted concerns about unintended consequences from the client-focused reforms, which introduced enhanced know-your-client and know-your-product rules in 2021. Three of the big banks responded to the rules by restricting branch-level advisors and financial planners to selling their in-house proprietary products. The IAP warned that limited product shelves may 'reduce interest and investment in the advisory channel.' The panel also raised the issue of advisor titles causing confusion, especially at the bank branch level. '[A]n investor who speaks to a bank branch-level employee, who uses the term 'advisor' in their title, may conclude, based on that title, that the employee is required to act in the investor's best interest,' it stated in the report. 'These issues need to be addressed.' Broader lens: Technology stocks have rebounded sharply after being roiled by uncertainty and recessionary fears triggered by U.S. President Donald Trump's tariffs. Although fund managers are very upbeat on some of these mega-caps, they're also betting on other names to carry the tech baton. Shirley Won reports. Broader service: Clients have moved on from transactional relationships and are now demanding an advisor who is relational. But what exactly is a relational advisor? Julia Chung, co-founder and chief executive officer of Vancouver-based Spring Planning Inc., explains. Broader diversifiers: Most investors understand that diversification can help preserve portfolio values when markets are volatile. But an asset mix that worked during one market downturn may not have the same stabilizing effect in another. Brenda Bouw reports. Real estate: The co-founders of now-defunct syndicated mortgage company Fortress Real Developments Inc. have been found guilty of fraud after a lengthy criminal trial. Reinvest: Prominent Canadian business leaders with interests in the defence industry are calling for a major reinvestment in the sector in Canada, arguing the country can boost its prosperity and security in tandem. Rethink: Canada's business community is calling on Prime Minister Mark Carney to review the digital services tax that has triggered the U.S. government's proposed retaliatory taxes on Canadian companies and investors in U.S. securities. The proposal could cost investors who own U.S. securities up to $81-billion in additional taxes over seven years.
Crypto Insight
21-05-2025
- Business
- Crypto Insight
From rebels to recognition: Crypto's path into conservative portfolios
Driven by institutional adoption, stable infrastructure and familiar financial mechanisms, digital assets are shifting from speculative ventures into trusted components of conservative portfolios, marking crypto's maturation and broader mainstream financial integration. Cryptocurrencies were born as rebels, but they're maturing into something far more familiar: a respectable addition to conservative investment portfolios. When Bitcoin debuted during the financial crisis of 2008, it was pitched as a radical alternative, promising decentralization and independence from traditional monetary systems. But today, crypto assets are quietly following a path already traveled by stocks, bonds and commodities, transforming from speculative bets into stable investment options. Historically, skepticism greeted every new asset class. Stocks, once considered highly speculative in the early 20th century, were dismissed as volatile gambles only to become integral additions in the portfolios later, while bonds took decades to earn their reputation as a safe haven. Crypto is now entering this same acceptance stage, as institutional investors (including pension funds, asset managers and family offices) allocate portions of their portfolios to digital assets, recognizing them as potential hedges against inflation and financial instability. Why crypto's volatility is attracting conservative investors At first glance, cryptocurrencies' appeal to conservative investors may seem counterintuitive. However, the infrastructure behind is capable of providing experiences remarkably similar to traditional financial instruments. Stablecoins, pegged to currencies like the US dollar, provide the benefits of blockchain technology without wild price swings, becoming an attractive gateway for risk-averse investors. Their adoption is rapidly growing as they offer investors a familiar, fiat-like experience, but with the additional benefits of blockchain technology, such as rapid settlement and transparency. Moreover, the rise of platforms offering insured crypto custody and deposit-based rewards has significantly boosted confidence. These platforms echo traditional banking services, complete with regulated oversight, robust security and familiar mechanisms such as withdrawal flexibility and comprehensive asset protection. Putting idle crypto to work For example, CoinDepo, a crypto staking platform, illustrates how crypto has adapted to conservative financial expectations. Founded in 2021 and managing over $125 million in crypto assets for more than 55,000 users across 220 jurisdictions, CoinDepo provides an insured environment to securely hold crypto assets while earning stable rewards. 🌍✨ Together, We Can Make a Difference! ✨🌍 Check out this quick video about our CoinDepo Charity Project with the Damark Charity Foundation ( – a powerful initiative driven by our belief in positive change! Join us in making an impact on the world, one… — CoinDepo (@DepoCoin) November 13, 2024 Unlike typical crypto offerings that lock funds indefinitely, CoinDepo ensures full liquidity, allowing users immediate access to their crypto in case of emergencies. Supported by extensive insurance coverage and Fireblocks, a leading custodial provider for banks and financial institutions, it further aligns with traditional investor expectations. Additionally, the platform aims to launch crypto-backed credit cards integrated with Apple Pay and Google Pay by the end of 2025, delivering up to 8% cashback on purchases. The cards will be accepted by over 90 million merchants globally, allowing seamless utility in daily life. Choose a CoinDepo Crypto Credit Card and earn up to 8% cryptocurrency cashback 💳⁰📌 Join the waitlist now & get a 500 USDC bonus after spending $3,000 within the first 3 months⁰⁰Why choose CoinDepo Credit Card?⁰🔸Monthly ATM withdrawal limit up to $10,000 🔹No origination /… — CoinDepo (@DepoCoin) April 12, 2024 CoinDepo is also preparing to list its native token soon, which is currently in the Pre-sale stage, further integrating its ecosystem into mainstream crypto markets and expanding opportunities for user engagement. A shift toward mainstream financial acceptance As crypto adoption increases, what once seemed radical is becoming routine. Bitcoin is frequently compared to gold and referred to as digital gold, indicating the seriousness with which it's being regarded. The gradual embrace of digital assets in the finance industry is partly driven by increased regulatory clarity and institutional-grade infrastructure. Major financial institutions, once hesitant to engage with crypto, now offer products specifically designed for digital asset exposure. These changes reassure conservative investors who historically avoided crypto, allowing digital assets to take a meaningful place alongside bonds, equities and real estate in balanced portfolios. This evolution signals crypto's coming of age. By mirroring traditional asset trajectories — complete with familiar safeguards, reliable infrastructure and practical real-world use cases — crypto is no longer just for speculators. It's now an integral part of modern investment strategies, bridging the gap between digital innovation and trusted financial tradition. Source:
Reuters
08-05-2025
- Business
- Reuters
Carlyle's profit climbs on fee growth, record assets under management
May 8 (Reuters) - Global investment firm Carlyle Group (CG.O), opens new tab posted a 5.6% growth in first-quarter profit on Thursday, helped by higher fees as its assets under management climbed to a record. Distributable earnings, which measures cash that can be returned to shareholders, was $455.4 million, or $1.14 per share, for the three months ended March 31. That compares with $431.3 million, or $1.01 per share, a year earlier. While markets have been volatile for most of the year because of economic uncertainty and U.S. President Donald Trump's tariff rhetoric, large asset managers such as Carlyle have navigated the environment with relative ease. Their portfolio of investments can fetch millions in management fees, providing stability even when exit opportunities are scarce, and allowing them to capitalize on disruptions and snap up assets at a bargain. Carlyle's fee-related earnings rose 17% to a record $310.6 million. Fund management fees grew 2% while transaction and portfolio advisory fees — which it earns from arranging capital markets deals for its portfolio companies and other clients — jumped nearly three-fold. AUM was $453 billion, up 6% from a year earlier, thanks to growth in its global credit segment and in AlpInvest, its secondary investments unit. The Washington, D.C.-based company recorded inflows of $14.2 billion. It deployed $11.1 billion and had $84 billion available for investment. So far this year, Carlyle shares have dropped nearly 21%. Peers Blackstone (BX.N), opens new tab, KKR (KKR.N), opens new tab and Apollo (APO.N), opens new tab have fallen 21%, 21.4% and 21.7%, respectively.
