Monthly Archives: February 2014

Indian Fixed Income or Equities: Know your onions!

The fixed income market is quintessential for the growth of the economy. They serve as one of the mediums for the government to raise money. In India the fixed income market has been attaining the depth as well as maturity over the years and the government securities play a dominating role.

The on-the-run 10 year fixed interest rate bond issued by the Reserve Bank of India is treated as the benchmark and serves as a reference point for pricing of the other bonds along a yield curve. The S&P BSE India 10 Year Sovereign Bond Index seeks to measure the performance of the benchmark security and can be considered as the bellwether index.

– See more at: http://www.indexologyblog.com/2014/01/23/indian-fixed-income-or-equities-know-your-onions

Will Changes In The Auditor’s Report Affect Credit Analysis?

The U.S. Public Company Accounting Oversight Board (PCAOB) and the International Auditing and Assurance Standards Board (IAASB) have issued separate proposals to enhance the auditor’s report. Their proposals share similarities and will retain the pass or fail audit opinion; provide users and investors with more information about the audit including critical audit matters (CAM) in the U.S. and key audit matters (KAM) internationally; and address the auditor’s responsibility for other information outside of the financial statements contained in the annual report.
>> Click here to read more.  or click here http://img.en25.com/Web/StandardPoorsRatings/AccountinWatch_Dec2013_Article_9.pdf?sp_mid=24392&sp_rid=22560

 

GARP Webinar : Fixing the Financial Industry’s Broken Windows, Mar 11, 930pm IST

Fixing the Financial Industry’s
Broken Windows

Date Tuesday, March 11, 2014
Time 11:00 am EST—New York
4:00 pm GMT—London
12:00 am (March 12) HKT—Hong Kong
Duration 60 minutes
Cost Free

Chairman Mary Jo White has likened the Securities and Exchange Commission’s approach to enforcement under her leadership to that of former New York City mayor Rudolph Giuliani, whose “broken windows” strategy focused on pursuing smaller violations to prevent larger ones. In this GARP Webcast, regulators past and present will look at current enforcement trends and initiatives, including new SEC quantitative systems that can instantaneously analyze massive amounts of trading data across markets, and the FBI’s “Operation Perfect Hedge” crackdown on insider trading. Join us on March 11 to gain an insider’s perspective on the U.S. government’s renewed offensive against misconduct and its use of force multipliers like data analytics and whistleblowers.
Register Now
REGISTER NOW

SPEAKERS
Valerie Szczepanik
Assistant Director,
Asset Management Unit,
Division of Enforcement, SEC
David Chaves
Securities Program Coordinator, FBI
Luke Cadigan
Partner, K&L Gates
Amy Poster
Director, C&A Consulting

EMIS : DealWatch M&A Heatmap

Heatmap from DealMonitor presents the industry’s leading emerging markets deal forecasting database, projecting future buy and sell activity, country-by-country and industry-by-industry, making it easy to spot the hottest markets. Get the detailed M&A forecasting database through a subscription to EMIS DealWatch.

 

http://www.securities.com/Public/Public00/Mailers/heatmap_asia.html

World-wide Corporate Credit Winners and Losers in 2013

Which corporations had the biggest decreases and biggest increases in credit risk in 2013?  The biggest decreases in credit risk in 2013 came from Sharp (SHCAF)(SHCAY), Yellow Media Ltd. (YLWDF)(YLWWF), Axtel S.A.B. de C.V. (AXTLF) of Mexico, A2A S.p.A (AEMMF)(AEMMY) of Italy, and Supervalu Inc. (SVU). The 1 year default probability for Sharp fell 13.49% over the course of 2013.  The decreases in 1 year default probabilities were 8.27% for Yellow Media, 7.42% for Axtel, 6.12% for A2A, and 5.60% for Supervalu.  We explain the default probabilities and the universe of corporates used for this ranking below.

See detailed post here : http://www.kamakuraco.com/Blog/tabid/231/EntryId/578/World-wide-Corporate-Credit-Winners-and-Losers-in-2013.aspx

ADB – Economic Costs of Rising Sea Levels in Asia and the Pacific

Teeming with people and economic activity, the coastal areas of Asia and the Pacific are highly vulnerable to storm surges, coastal erosion, flooding, and inundation resulting from sea-level rise and climate change. Here’s a by the numbers look at the economic costs of rising sea levels.

Southeast Asia

Up to 3 millimeters: The rise in sea level per year between 1951 and 2000 according to the 2007 report of the Intergovernmental Panel on Climate Change (IPCC).
Source: ADB publication The Economics of Climate Change in Southeast Asia

More than twice: By 2100, the mean cost of climate change for Indonesia, the Philippines, Thailand, and Viet Nam could be equivalent to losing 6.7% of combined GDP each year, more than twice the global average loss.

Source: ADB publication The Economics of Climate Change in Southeast Asia

$5 billion: The average yearly cost of adaptation measures in the four countries by 2020. The annual benefit in terms of avoided damage from climate change is likely to exceed the annual cost after 2060. Source: ADB publication The Economics of Climate Change in Southeast Asia

Download full report at http://www.adb.org/features/economic-costs-rising-sea-levels-asia-and-pacific

 

Mckinsey: QE and ultra-low interest rates: Distributional effects and risks

There is widespread consensus that the conventional and unconventional monetary policies that world’s major central banks implemented in response to the global financial crisis prevented a deeper recession and higher unemployment than there otherwise would have been. These measures, along with a lack of demand for credit as a result of the recession, contributed to a decline in real and nominal interest rates to ultra-low levels that have been sustained over the past five years.

View full report at http://www.mckinsey.com/insights/economic_studies/qe_and_ultra_low_interest_rates_distributional_effects_and_risks?cid=other-eml-alt-mgi-mck-oth-1311

S&P Live Webinar : Asia-Pacific 2014 Banking Outlook, Feb 20, 2014, 930AM

Standard & Poor's Ratings Services | You Are Invited

Asia-Pacific 2014 Banking Outlook

Live Webinar and Q&A

Register Now

Date & Time:

Thursday
February 20, 2014

Singapore/Malaysia
Hong Kong/China
12.00 p.m.

Thailand/Indonesia
11.00 a.m.

Japan/South Korea
1.00 p.m.

India
9.30 a.m.

Australia
3.00 p.m.

Please join us for a live webinar and Q&A where we will present our 2014 outlook for banks in Asia-Pacific. Registration is complimentary but required, please register here

Speakers from Standard & Poor’s Asia-Pacific Financial Institutions Ratings group will discuss issues affecting the performance and credit-worthiness of the region’s key banking systems. A brief presentation will be followed by a live Q&A.

Moderator:
•Ritesh Maheshwari, 
Managing Director and Lead Analytical Manager

Presenters:
•Geeta Chugh,
 Senior Director (South and Southeast Asia) 
•Gavin Gunning, Senior Director (Australia & New Zealand)
•Naoko Nemoto, Managing Director (Japan)
•Ryan Tsang, Managing Director (Greater China)

Related commentaries will be emailed to registered participants.

Please feel free to forward this invitation to your colleagues and institutional customers. A replay will be sent to all registrants.

Standard & Poor’s Ratings Services’ webinars deliver audio and slides in a streamlined presentation. You will need computer speakers or headphones to listen to the audio stream. You may submit your questions for the presenters in real time via the web interface.

Register now.

What executives think about the economy: 2004 to now

This continually updated interactive tracks how executives around the world have viewed economic conditions and the economic prospects of their companies, and how those views have differed over time and across industries, regions, and types of company.

Read full report http://www.mckinsey.com/insights/economic_studies/what_executives_think_about_the_economy_2004_to_now?cid=other-eml-alt-mip-mck-oth-1312

 

Webcast Replay: Global Sovereign Outlook For 2014

Webcast Replay: Global Sovereign Outlook For 2014, Dec. 4th

Standard and Poor’s recently held a webcast discussing our global sovereign ratings outlook for 2014. Download slide at http://www.standardandpoors.com/spf/upload/Events_US/US_SV_Event_GlobalSovereigns12413.pdf

Standard & Poor’s Ratings Services recently held an interactive, live Webcast and Q&A on Wednesday, December 4, 2013, at 9:00 a.m. Eastern Time where we discussed our global sovereign ratings outlook for 2014.

 Listen to the replay here.
Replay will expire on Wednesday, March 5, 2014.

 Download the slides.

This presentation is part of our global Webcast series on sovereign credit trends. The monthly Webcasts feature senior analysts from Standard & Poor’s Sovereign Ratings team and are usually held on the first Wednesday of the month.

Accounting Watch: December 2013

PRINT this edition in its entirety.

About AccountingWatch:

AccountingWatch provides a synopsis of accounting and financial reporting trends and issues; descriptions of the potential analytical impact these issues may present; what they mean for users of financial statements; and links to published Standard & Poor’s commentary or detailed information1. You may also find previous editions of AccountingWatch helpful. To view earlier editions, please click on the links below:

A Credit Perspective On Executive Compensation

Executive compensation, particularly for a company’s CEO, has been, is, and likely will remain a matter of keen interest and debate for boards of directors, executive compensation advisers, investors, politicians, and the public at large. With the SEC seeking comment on a pay ratio disclosure for the CEO as a multiple of all other employee compensation (pursuant to s.953 (b) Dodd-Frank Wall Street Reform and Consumer Protection Act 2010), we take this opportunity to outline elements of Standard & Poor’s Ratings Services’ approach to the potential credit impact of an issuer’s compensation programs.

Read full report at http://img.en25.com/Web/StandardPoorsRatings/AccountinWatch_Dec2013_Article_11.pdf?sp_mid=24392&sp_rid=22560

Credit Analysis : Activist Investors And Credit Quality

With the 2013 northern hemisphere annual meeting season largely drawn to a close, we take a closer look at investors who engage directly with a company’s management and board. In recent years, these “activist shareholders” have proven their ability to target larger companies including many with investment grade ratings. What impact do these activist initiatives have on our assessments of a rated issuer’s management and governance?

Read full post at http://img.en25.com/Web/StandardPoorsRatings/AW_2.pdf

 

Why U.S. Financial Services Investors Are Concerned That Proposed Accounting Rules Will Impede Decision Making

Financial statement users’ views about the quality and relevance of accounting and financial reporting vary between investors and credit analysts and amongst each other. The spectrum of views may include some or all of the following: the belief that accounting has unnecessarily grown increasingly complex; the application of accounting standards and related disclosure requirements remains inconsistent; global convergence by accounting regimes is imperative; enhanced disclosures across important areas of financial services reporting is warranted; and emerging accounting standards could make investor analysis and decisions over the allocation of capital more difficult.

See full article at https://www.globalcreditportal.com/ratingsdirect/renderArticle.do?articleId=1226950&SctArtId=201545&from=CM&nsl_code=LIME