|
Nedgroup Inv US Dollar comment - Sep 11
|
|
Thursday, 22 December 2011
|
Fund Manager Comment
|
September was very volatile as investors panicked about the fallout from a potential default in Greece. Focus now includes Italy and the French banking system has also come under scrutiny as shares plummeted in the large French banks. Major economies remain at risk of further recession, as growth remains weak. Some degree of calm was restored towards the end of the month as individual countries passed changes to the EFSF and on a potential new plan to substantially increase the size of the European Financial Stability Facility (EFSF) to a reported Ç2 trillion.
The Federal Open Market Committee (FOMC) held rates at a range of 0.00 - 0.25% at the extended 2-day meeting in September. The statement confirmed the start of 'Operaton Twist' where the Federal Reserve System (Fed) will sell short dated Treasury securities and purchase longer dated ones, extending the maturity of the balance sheet.
LIBOR rates rose again by around 6bps across the curve as funding pressures continue to weigh in the inter-bank system.
In coordination with the Fed, Bank of England (BoE), Bank of Japan (BoJ) and Swiss National Bank (SNB), the European Central Bank (ECB) announced 3-month USD liquidity operations, providing dollar funding over the year-end.
The Weighted Average Maturity (WAM) was at 52 days at the end of September.
We remain focused on maintaining a high quality portfolio and continue to reduce exposure to European banks while increasing exposure to Government Guaranteed or Government Agency commercial paper.
Fluctuations in the daily pricing of the Floating Rate Note (FRN) exposure weighed on the net return of the fund this month, however, we expect the US money market curve to remain fairly flat and that the fund will again outperform versus the benchmark in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Jun 11
|
|
Tuesday, 20 September 2011
|
Fund Manager Comment
|
The European Debt Crisis intensified again as Greece passed further austerity measures, ensuring the the IMF will disperse the next tranche of funding. While risk traded on and off in-between headlines, Money Markets remained largely unaffected. The Federal Open Market Committee (FOMC) kept rates in a range of 0.00 - 0.25%. Growth forecasts were revised down and we do not expect any change to the FOMC policy in 2011.
LIBOR rates were largely unchanged across the curve. The Weighted Average Maturity (WAM) fell to 49 days. With very little risk premium priced along the curve we have kept maturities short.
We expect the money market curve to remain fairly flat and that the fund will outperform versus the benchmark in the coming months
|
| |
|
Nedgroup Inv US Dollar comment - Mar 11
|
|
Wednesday, 25 May 2011
|
Fund Manager Comment
|
The risk off theme continued in the first half of March with events in Japan and continuing troubles in the Middle East & North Africa. As the situation in Japan stabilised equities moved higher again and government bond yields rose. The Federal Open Market Committee (FOMC) maintained rates at the current range of 0.00 - 0.25%. Some members thought "that economic conditions might warrant a move toward less-accommodative monetary policy this year; a few others noted that exceptional policy accommodation could be appropriate beyond 2011". LIBOR rates fell in March, due to a change in the FDIC deposit insurance assessment scheme. The Weighted Average Maturity (WAM) at the end of March fell to 39 days. We remain focused on providing adequate liquidity while targeting an increased WAM of around 50 days. Maturities were kept short in March as we focused on providing ample liquidity. We expect rates to remain low and anticipate that the fund will continue to perform well versus the benchmark in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Dec 10
|
|
Thursday, 24 February 2011
|
Fund Manager Comment
|
Risk markets performed well in December driven by QE2 and better macro data, however the European sovereign situation weighed on investor sentiment. The Federal Open Market Committee (FOMC) maintained rates at the current range of 0.00 -0.25% and confirmed their intention to continue with the purchase of $600bn of Treasuries at a pace of about $75bn per month. LIBOR rates remained relatively unchanged in December. The Weighted Average Maturity (WAM) finished December at 38 days. We remain focused on providing adequate liquidity while targeting an increased WAM that is in a range of between 60-70 days, if and when opportunities arise to do this. Risk premium remains scarce so we have again kept maturities short, thus reducing the WAM. The fund remains well positioned to react as and when the yield curve begins to steepen. We expect rates to remain low and anticipate that the fund will continue to perform well versus the benchmark in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Sep 10
|
|
Monday, 8 November 2010
|
Fund Manager Comment
|
Following the risk aversion seen across most asset classes in August, September saw money markets remain calm while equities rallied and government bond yields and gold set new highs.
The Federal Open Market Committee (FOMC) maintained rates at the current range of 0.00 -0.25% and moved closer to QE2 as the statement acknowledged that inflation is below the mandate and that the FOMC would provide additional monetary accommodation if needed.
LIBOR rates continued to fall, the longer periods falling around 5bps.
The Weighted Average Maturity (WAM) finished September at 55 days. We remain focused on providing adequate liquidity and maintaining the WAM within a 60 -80 day range. The fund remains well positioned to react as and when the yield curve begins to steepen.
The WAM has fallen naturally as holdings near maturity but we remain focused on increasing the WAM as opportunities arise.
The fund outperformed it's 1-month LIBOR benchmark. We expect rates to remain low and anticipate that the fund will continue to perform well versus the benchmark in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Jun 10
|
|
Wednesday, 8 September 2010
|
Fund Manager Comment
|
Fragile risk appetite impacted across most asset classes as Euro area banking sector stress continued throughout June. The Federal Open Market Committee (FOMC) held rates at the current range of 0.00 - 0.25%. The June statement contained no surprises but did acknowledge the deceleration in inflation over recent months. LIBOR rates remained stable throughout June following the sharp rise in May. The Weighted Average Maturity (WAM) finished June at 49 days. We remain focused on providing adequate liquidity and maintaining the WAM within a 50 - 70 day range. The fund remains well positioned to react as and when the yield curve begins to steepen. We continue to look for opportunities to place funds further down the curve, increasing the WAM and yield. During June we were active in the new issue FRN market, adding a non-financial short dated bond paying LIBOR + 35bps. We expect rates to remain low and anticipate that the fund will continue to perform well versus the benchmark in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Mar 10
|
|
Thursday, 24 June 2010
|
Fund Manager Comment
|
Money Markets remained stable as risk appetite increased across financial markets and equity markets made 18-month highs. The Federal Open Market Committee (FOMC) held rates at the current range of 0.00 - 0.25%, retaining the "extended period" language in the accompanying statement. LIBOR rates remained stable, as in February most fixings increased by 2 - 3 bps, however the longer end increased by up to 8bps. The Weighted Average Maturity (WAM) finished March at 40 days. We remain focused on providing adequate liquidity and maintaining the WAM within a 35 - 50 day range. The fund remains well positioned to react as and when the yield curve begins to steepen. The fund's exposure to longer dated FRN's has been reduced, reducing the possible impact of volatile price movements following the sustained rally of 2009/2010. The Manager expects rates to remain low and anticipates that the fund will continue to perform well versus the benchmark in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Dec 09
|
|
Tuesday, 23 March 2010
|
Fund Manager Comment
|
Money Markets remained calm throughout December.
The Federal Open Market Committee (FOMC) held rates at the current range of 0.00% to 0.25%. The accompanying statement was very similar to the previous month indicating rates will remain low for an extended period.
The Weighted Average Maturity (WAM) finished December at 76 days in line with our target. We added a little duration with Government Guaranteed assets in the longer part of the curve.
The corporate bond market has continued to benefit from the low interest rate environmentand we have again taken this as an opportunity to reduce our exposure to FRN's with a final maturity of longer than two years which has enhanced the yield for this month.
As rates remain low we anticipate that the fund will continue to perform well versus it's benchmark in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Sep 09
|
|
Wednesday, 9 December 2009
|
Fund Manager Comment
|
Money Markets extended their period of calm through September. The Federal Open Market Committee (FOMC) held rates at its current range of 0.00% to 0.25%. LIBOR spreads continue to narrow reaching pre Lehman levels. The weighted Average Maturity (WAM) finished August at 62.88 days. We continue to look for opportunities to add duration through high quality bonds targeting a WAM of 80 days. The fund once again outperformed its one-month LIBOR benchmark. We are pleased that the fund has held up so well versus its falling benchmark and anticipate that the out performance will remain elevated in the coming months.
|
| |
|
Nedgroup Inv US Dollar comment - Jun 09
|
|
Wednesday, 16 September 2009
|
Fund Manager Comment
|
Market conditions continued to improve, the equity rally paused for breath but credit performed strongly.
The Federal Open Market Committee (FOMC) kept rates unchanged at a rate of 0.00% to 0.25% and in relation to the asset purchases reiterated that "the committee will continue to evaluate the timing and overall amounts of it's purchases..."
LIBOR rates continued to fall in line with official rates, the 3 month LIBOR rate dropped to 0.595% on 30th June - the lowest since the BBA introduced LIBOR rates in 1986
The Weighted Average Maturity (WAM) finished the month at 55.34 days. As we expect rates to remain low over the coming months we will continue to monitor the WAM.
We took advantage of the recent credit rally to reduce the fund's exposure in longer dated FRN's.
The fund outperformed the one-month LIBOR benchmark, with the fund benefitting from elevated money market rates compared to lower official rates. As interest rates remain low we expect the fund will continue to offer very competitive returns whilst outperforming the benchmark.
|
| |
|
Nedgroup Inv US Dollar comment - Mar 09
|
|
Tuesday, 9 June 2009
|
Fund Manager Comment
|
Market conditions improved during March as equities rallied, recovering some of the last 12 months losses and credit spreads tightened.
The Federal Open Market Committee(FOMC) kept rates at a range of 0.00% - 0.25%, at the same time announcing that they will embark in a quantitative easing program - committing to purchase up to $300bn of longer-term treasuries and significantly expanding their purchase of MBS and agency paper.
LIBOR rates broadly fell over the month after initially rising in the first half of March.
The Weighted Average Maturity fell to 52 days as we remain focused on short-term liquidity ahead of month and quarter end.
The fund outperformed the one-month LIBOR benchmark by 0.03%, with the fund benefiting from elevated money market rates compared to lower official rates. As interest rates remain low we expect the fund will continue to offer very competitive returns whilst outperforming the benchmark.
|
| |
|
Nedgroup Inv US Dollar comment - Dec 08
|
|
Monday, 30 March 2009
|
Fund Manager Comment
|
Manager commentary
Rob Brockbanks, Treasury Manager - Thomas Miller Investment (Isle of Man) Limited
Market conditions calmed a little during December as investors placed money over the turn of the year and prepared for the Christmas break.
The Federal Open Market Committee (FOMC) reduced rates to a range of 0.00% - 0.25%, continuing their aggressive easing policy in a bid to stimulate the deteriorating economy.
LIBOR rates continued to fall in line with official rates.
The Weighted Average Maturity (WAM) of the TMI USD sub-fund increased slightly to 64 days, although we remain focused on liquidity and capital preservation while investing in short-dated high quality names.
The TMI USD sub-fund outperformed the one-month LIBID benchmark, the fund benefiting from elevated money market rates compared to lower official rates. As interest rates continue to fall we expect the fund will continue to offer very competitive returns whilst outperforming the benchmark.
|
| |
|
Fund renamed
|
|
Tuesday, 30 December 2008
|
Official Announcement
|
The Nedgroup Investments US Dollar Money Market fund has been renamed to the Nedgroup Investments US Dollar Fund.
|
| |
|
Fund renamed
|
|
Wednesday, 5 December 2007
|
Official Announcement
|
The Nedgroup International Investor Series USD Money Market fund has been renamed to Nedgoup Investments USD Money Market Fund.
|
| |
|
NIBIIS quarterly review - June 2002
|
|
Monday, 14 October 2002
|
General Market Analysis
|
http://www.nibinternational.com/downloads/international/NIBIIS1.pdf
|
| |
|
NIBIIS International USD MM comment - August 2002
|
|
Wednesday, 25 September 2002
|
Fund Manager Comment
|
Market expectations for 3-month LIBOR in December 2003 dropped almost 100 basis points in July to 3.38%. Longer-term interest rates also declined, as ten-year Treasury yields dropped another 30 basis points to 4.47%. The US Federal Reserve has left interest rates unchanged at 40 year lows, at 1.75%.
|
| |
|
NIBIIS International USD MM comment - June 2002
|
|
Wednesday, 21 August 2002
|
Fund Manager Comment
|
Market expectations for 3-month LIBOR in December 2003 dropped almost 100 basis points in July to 3.38%. Longer-term interest rates also declined, as ten-year Treasury yields dropped another 30 basis points to 4.47%. The US Federal Reserve has left interest rates unchanged at 40 year lows, at 1.75%.
|
| |
|
NIBIIS USD Money Market comment - June 2002
|
|
Wednesday, 24 July 2002
|
Fund Manager Comment
|
The US Federal Reserve has left interest rates unchanged at 40 year lows, at 1.75%.
|
| |
|
NIBIIS USD Money Market comment - May 2002
|
|
Friday, 21 June 2002
|
Fund Manager Comment
|
The US Federal Reserve has left interest rates unchanged at 40 year lows, at 1.75%.
|
| |
|
NIBIIS USD Money Market comment April 2002
|
|
Tuesday, 21 May 2002
|
Fund Manager Comment
|
The US Federal Reserve has left interest rates unchanged at 40 year lows, at 1.75%, signally that the first increase in borrowing costs remained months away. This confirms that the degree of the strengthening in final demand over coming quarters, which is an essential element in sustained economic expansion, is still uncertain.
|
| |
