Argonautica

Professional investors can review published thought leadership and market updates from the Argonaut Investment Team.

12 posts found for 2014

‘Christmas Quiz 2014’

Christmas is synonymous with tradition and at Argonaut the Christmas quiz is part of ours. We hope you find this year’s twelve questions fun and interesting. From all of us here at Argonaut we wish you all a merry Christmas and Happy New Year. Now on to the questions:(the answers can be found at the end) 1. International Consolidated Airlines Group owns British Airways and operates predominantly out of London Heathrow – the world’s busiest international airport and primary gateway to the UK. However…

‘Oil Price Collapse - Economic Tailwind or Harbinger of Doom?’

The Brent oil price is now below $80.1 Much of the debate has centred on whether this is being caused by a weak demand environment given the recent macro-economic concerns or due to a rise in supply. Whilst global demand is expected to rise just 0.7% this year (below the 20 year average of 1.6% per annum), supply is already up 2.7%2. In our view it is this growth in supply that is the primary cause of the weakness in the oil price, and therefore understanding the sustainability of this supply is…

‘Yellen and the Coup de Grace for Commodities’

Rather than emerging market urbanisation and economic growth, the commodity super-cycle had its genesis in the prior under-investment in global productive capacity. The boom in emerging markets and particularly Chinese growth merely acted as the catalyst for demand exceeding supply. As investors clamoured to get a piece of the commodity action and re-allocate to an otherwise forgotten asset class, owners of productive capacity were able to finally grow the supply base. Notwithstanding this and the…

‘The Tartan Venezuela’

At the heart of the “Yes” to independence campaign has been Scotland's apparent desire to turn itself into a kind of tartan Venezuela: endless platitudes about aspiring to equality but more likely bringing misery; spending plans that would squander vast oil reserves on unproductive welfare; intolerance of opposing views often combined with threats to confiscate private property; apparent ambivalence over hugely disruptive economic policies including defaulting on its sovereign debt obligations should…

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