Profitability Reports of our clients from October 2015
Tuesday, 03 of November 2015
European equities was the best performing asset held throughout the month of October following declines of months ago in the major indexes. The performance in October was a +5,7% higher than the monthly average which stands at +0,7%.
Despite this rise, the quarterly performance remained negative due to strong declines in the major European indices that took place in August and volatility in equity markets continued to show high values (close to + 6%).
Fixed Income Markets
As for fixed income, we would like to highlight the evolution traced by the Fixed Convertible Income, which presented a performance of +3,40%, benefited mainly by the strong performance in equity markets. Volatility levels were unchanged and the yield remained above the monthly average. Note the good performance of the asset after passing the annual average profit levels set by +7% after leading by +9,70% advance in the year.
The trend was also positive for corporate bonds despite the profitability provided that asset over the month was moderate (+0,35%). And, although it remained above average, the quarterly and annual profitability remained below the average and in negative territory.
Secondly, we include the behavior of public debt across all maturities which stood above the monthly average reaching a yield of +1,14%. The returns in the fourth quarter and year also remained positive.
Finally, both 1-3 year government bonds and Treasury bills, the yield was 0% with levels below the average in both the quarterly and annual.
If we balance for the month of October, it was positive for fixed income assets which have recovered positions after catching up the losses incurred recently. Even so, positions in corporate debt are still negative for the annual returns. In contrast, Treasury bills and government bonds of 1-3 years, despite being below the average, yields managed to maintain the positive sign.
As for the currency market in recent sessions, we include the depreciation of the US regarding its major crosses, cutting positions up to 1,10 EUR/USD after reaching levels of 1,13 EUR/USD and cuts -3, 60% from the pound ending the month at levels close to $ 0,71/GBP.