Why everything is relative when it comes to our wealth.

In the middle of the 19th century, the British empire was at its grandest. All around the world, there were outposts, colonies, and endless riches that were syphoned off to the capital of this vast and great realm....

Why negative interest rates may be as bad as they seem.

It’s the biggest elephant in the room ever, and it seems everyone has just accepted that it is so. But seriously, negative interest rates – doesn’t that go against everything we know? Don’t worry, we are not going...

The thing about gamma, is that it is very different to all the other categories of risk. Here, we want to take high risk, we want to punt, bet big, do crazy things, because it might just work, and we could win the lottery. I always find it amazing that people prefer to...

Remember beta? Well alpha, is something entirely different. Instead of buy, hold, and hope for prices to go up, what we are trying to do here is take advantage of opportunities that arise from inefficiencies in the global financial market place. But before we do that,...

Beta is very popular. Maybe that is because it is so easy to understand. We acquire assets at a price, and we hope that the value will increase. There can be many reasons why prices may go up: inflation, productivity, or general market growth. Consequently, there are a...

The term “structured” in of itself implies complexity, and there is nothing simple about coming to terms on lending arrangements involving very specific forms of collateral. Unlike a government or a corporation, the risk with lending on single assets or projects is ver...

The first thing you notice when you look at all the ways in which to lend money to corporations, is the sheer number of the individual securities you can buy. There are more than 30,000 companies that are actively issuing bonds, and because they do it every so often, t...

The thing about investing in government bonds is the sheer size of the asset class. Trillions of Dollars, Euros, Yen, Reals or Sterling are raised every year by countries that need debt to balance their budgets. For the most part, the risk is quite low that a governmen...

There really are only two basic things you can do with your money to generate returns: either you acquire assets at a price in the hope that the value will increase over time, or you give your money to someone else, who pays you interest for the term of the loan. Every...

How to manage the risk of everything going wrong.

There it was again, the very tangible risk of something very bad happening. The coronavirus brought about fears of the unknown, the feeling of being helpless and that horrible premonition that things could get worse. The...

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Profile piece: Christian Armbruester, CIO and founding principal, recently interviewed with Citywire about Blu Family Office

25/05/2018

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