Investors are flocking to money markets at the highest rate since the financial crisis

Investors are flocking to the relative safety of money market funds at the highest level since the financial crisis-era collapse of Lehman Brothers in 2008. On the bright side: That was a period which preceded the buying era of a lifetime for stock market participants. Total money market assets assets are now at their highest level since September 2009. Facing a constant drumbeat of headline risk, investors have headed to the mattresses as a way protect cash until the storms clear. The Dow Jones


Investors are flocking to the relative safety of money market funds at the highest level since the financial crisis-era collapse of Lehman Brothers in 2008. On the bright side: That was a period which preceded the buying era of a lifetime for stock market participants. Total money market assets assets are now at their highest level since September 2009. Facing a constant drumbeat of headline risk, investors have headed to the mattresses as a way protect cash until the storms clear. The Dow Jones
Investors are flocking to money markets at the highest rate since the financial crisis Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: jeff cox
Keywords: news, cnbc, companies, investors, crisis, past, trade, money, weeks, market, flocking, assets, highest, markets, rate, stock, level, positive, talks, financial


Investors are flocking to money markets at the highest rate since the financial crisis

Investors are flocking to the relative safety of money market funds at the highest level since the financial crisis-era collapse of Lehman Brothers in 2008.

The industry has pulled in $322 billion over the past six months, the fastest pace since the second half of 2008, bringing assets to nearly $3.5 trillion, according to data from FactSet and Bank of America Merrill Lynch.

On the bright side: That was a period which preceded the buying era of a lifetime for stock market participants. In March 2009, Wall Street kicked off a bull market, still intact, that would break records for longevity.

“You could be contrarian and say [the money market flow is] positive, because if the market actually steadies itself and there’s a detente [in the trade war], that money’s going to go back into the equity market,” said Quincy Krosby, chief market strategist at Prudential Financial. “From a contrarian standpoint, it would be helpful.”

Total money market assets assets are now at their highest level since September 2009.

The funds have seen inflows every month this year except for April, with assets growing nine of the past 10 weeks as the stock market has wrestled with myriad issues, primarily involving the trade dispute with China and lingering worries that the U.S. is heading toward a possible recession.

Facing a constant drumbeat of headline risk, investors have headed to the mattresses as a way protect cash until the storms clear.

“There’s been enough headlines, whether you’re talking politics, trade concerns or whether or not we’re heading into recession for the money to go into those markets,” Krosby said.

Stocks, in fact, have been on a roller coaster for the past year, tumbling at signs of a break in the U.S.-China talks then rallying on any ray of hope. The Dow Jones Industrial Average surged more than 400 points Friday on some positive sentiments out of the White House that this week’s trade talks could yield fruit.


Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: jeff cox
Keywords: news, cnbc, companies, investors, crisis, past, trade, money, weeks, market, flocking, assets, highest, markets, rate, stock, level, positive, talks, financial


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Here’s how to avoid accidentally disinheriting your kids after you remarry

“It’s emotional and hard to talk about, but the last thing you want to do is leave adult kids with a disaster.” You also could have family heirlooms or other belongings that you want to make sure end up with your children. Account beneficiariesOne easily overlooked item after people remarry is updating beneficiaries on retirement accounts, life insurance policies and the like. While you don’t necessarily need to go into dollar amounts, managing expectations can help avoid discord between your pa


“It’s emotional and hard to talk about, but the last thing you want to do is leave adult kids with a disaster.” You also could have family heirlooms or other belongings that you want to make sure end up with your children. Account beneficiariesOne easily overlooked item after people remarry is updating beneficiaries on retirement accounts, life insurance policies and the like. While you don’t necessarily need to go into dollar amounts, managing expectations can help avoid discord between your pa
Here’s how to avoid accidentally disinheriting your kids after you remarry Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-10  Authors: sarah obrien
Keywords: news, cnbc, companies, disinheriting, trust, remarry, beneficiary, spouse, money, assets, avoid, heres, accidentally, children, kids, dont, estate, vasileff


Here's how to avoid accidentally disinheriting your kids after you remarry

If you head down the aisle later in life, there’s another step you might want to take if you have adult children: Making sure you don’t accidentally disinherit them. While many people lack even a basic will, the stakes can be higher for those who remarry and do no estate planning but have assets they want to pass on to their kids. “A conversation about estate planning is absolutely critical in remarriages,” said certified financial planner Lili Vasileff, founder and president of Divorce and Money Matters in Greenwich, Connecticut. “It’s emotional and hard to talk about, but the last thing you want to do is leave adult kids with a disaster.”

Maria Teijeiro | OJO Images | Getty Images

Roughly 17% of people remarry after their first marriage ends due to divorce or the death of a spouse, according to the latest data from the Census Bureau. And although the rate of remarriage has dropped over time for most age groups, it’s higher among the 55-and-older crowd: 57% in 2013, versus 42% in 1960. The older you are when you remarry, the more likely that you’re bringing assets into the marriage — retirement savings, life insurance policies, brokerage accounts, real estate and the like. You also could have family heirlooms or other belongings that you want to make sure end up with your children. This is when estate planning helps avoid family conflict, experts say. “When I talk with older couples who are remarrying, I ask them, ‘if you’re both on a boat and it goes down, can you trust the two sides of the families to get together and do what you wanted?'” Vasileff said.

If you die without a will — called dying intestate — the courts in your state will decide who gets what. That process is public and often messy if would-be heirs have competing priorities and conflicting notions of what is rightfully theirs. “You don’t want to leave it to the state,” said Melissa Brennan, a CFP and senior financial planner with CFO4Life in Richardson, Texas. “It can be a long drawn-out procedure that no one wants to go through.” While every situation is different and some can be more complex than others, here are some key things to consider when contemplating how to make sure your heirs end up with the assets you want them to.

Account beneficiaries

One easily overlooked item after people remarry is updating beneficiaries on retirement accounts, life insurance policies and the like. Whoever is listed as a beneficiary will get that money when you die. That designation supersedes any intention stated in your will. “No amount of estate planning can fix having the wrong beneficiary listed,” said CFP DeDe Jones, managing director at Innovative Financial in Lakewood, Colorado. In other words, if you named your ex-spouse as the beneficiary on your life insurance policy, guess who gets the money.

If you’re both on a boat and it goes down, can you trust the two sides of the families to get together and do what you wanted? Lili Vasileff Founder and president of Divorce and Money Matters

Additionally, 401(k) plans require that your current spouse is the beneficiary unless they legally agree otherwise. This means that if your husband is your listed beneficiary and you predecease him, those 401(k) assets become his to do with as he wants, which might not include passing on any money to your kids. Same goes for other accounts for which the spouse is the beneficiary and, typically, those on which they are a joint owner. For example, say someone has $500,000 in a non-retirement account and adds his new wife to his account with rights to full ownership upon his death. “If his intention was to leave part of that to his kids, he didn’t do that,” Brennan said.

Your house

Often, remarriage involves a jointly owned home. Depending on the laws of your state and how the property is titled, your desire for your children to inherit your share of it could be upended. In most states, if it is deeded as “joint tenancy with right of survivorship” or “tenancy by the entirety,” the property automatically belongs to the surviving spouse, no matter what your will says. If you own the house in “tenancy in common,” you can leave your share to someone other than your spouse if you choose. However, some states have different rules. Moreover, there can be other considerations when it comes to how a house is titled, including protection from potential creditors or for tax reasons later when the home is sold. That makes it important to consult with professionals before making a decision.

Your belongings

If you want your children to receive particular items when you pass away, it’s important to be as specific as possible in your will so there is no room for interpretation. “The more particular you are, the better,” Vasileff said.

Consider a trust

If you want your kids to receive money but don’t want to give a young adult — or one prone to poor money management — unfettered access to a sudden windfall, you can consider creating a trust to be the beneficiary of a particular asset. A trust holds assets on behalf of your beneficiary or beneficiaries, and is a legal entity dictated by the documents creating it. If you go that route, the assets go into the trust instead of directly to your heirs. They can only receive money according to how (or when) you’ve stipulated in the trust documents. “The trust distributes money based on any criteria you decide,” said Innovative Financial’s Jones. More from Personal Finance:

The top 10 best places to retire

Trump’s Medicare reform would expand this tax-free account

Earning income after 65? How to make it work for you

Communicate

Experts often recommend discussing your goals with not only your spouse, but your children, as well. While you don’t necessarily need to go into dollar amounts, managing expectations can help avoid discord between your partner and your children. “If your kids or spouse don’t know what to expect when you die, there can be a lot of conflict,” Brennan said. “I’m a big believer in getting all the information out there.”

Other considerations


Company: cnbc, Activity: cnbc, Date: 2019-10-10  Authors: sarah obrien
Keywords: news, cnbc, companies, disinheriting, trust, remarry, beneficiary, spouse, money, assets, avoid, heres, accidentally, children, kids, dont, estate, vasileff


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Stocks could tumble 15% by early next year, investor Jack Ablin warns

Ablin, who has $5.4 billion in assets under management, warns the market is vulnerable to a significant correction by early next year. After dropping as much as 335 points, the index closed up 122 points and reversed a two-day losing streak. “The economic condition here at home isn’t really too conducive for risk-taking,” he said. Despite the rough start and his pullback concerns, Ablin isn’t preparing to stay conservative. “That would allow us to take some of the dry powder that we’ve put aside


Ablin, who has $5.4 billion in assets under management, warns the market is vulnerable to a significant correction by early next year. After dropping as much as 335 points, the index closed up 122 points and reversed a two-day losing streak. “The economic condition here at home isn’t really too conducive for risk-taking,” he said. Despite the rough start and his pullback concerns, Ablin isn’t preparing to stay conservative. “That would allow us to take some of the dry powder that we’ve put aside
Stocks could tumble 15% by early next year, investor Jack Ablin warns Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-04  Authors: stephanie landsman
Keywords: news, cnbc, companies, risks, tumble, market, ablin, jack, isnt, investor, warns, points, investment, index, yeari, really, stocks, early, assets


Stocks could tumble 15% by early next year, investor Jack Ablin warns

Cresset Capital’s Jack Ablin believes investors with an appetite for big risks could get burned.

Ablin, who has $5.4 billion in assets under management, warns the market is vulnerable to a significant correction by early next year.

“I believe we’re entering a cyclical downturn,” the firm’s chief investment officer told CNBC’s “Trading Nation” on Thursday. “The market could respond downward 10 to 15%.”

The Dow battled back from negative territory on Thursday. After dropping as much as 335 points, the index closed up 122 points and reversed a two-day losing streak. However, just three days into the fourth quarter, the index is still down more than 700 points and is 4.4% off its record high.

To protect his portfolio from wild market swings, Ablin has moved away from his typical investment strategy. Instead of depending completely on stocks for gains, he shifted 30% of his assets to private equity and cash in August.

“The economic condition here at home isn’t really too conducive for risk-taking,” he said. “The manufacturing ISM came in lousy. We saw nonmanufacturing slightly better, but still disappointing.”

He’s also worried about headline risks surrounding the U.S.-China trade war, efforts to impeach President Donald Trump, and the 2020 election.

“As a data guy, it’s really hard to navigate the headlines,” he said.

Despite the rough start and his pullback concerns, Ablin isn’t preparing to stay conservative. He’s looking to eventually take advantage of market trouble.

“That would allow us to take some of the dry powder that we’ve put aside over the last several months and redeploy it back into the market,” Ablin said.

Disclaimer


Company: cnbc, Activity: cnbc, Date: 2019-10-04  Authors: stephanie landsman
Keywords: news, cnbc, companies, risks, tumble, market, ablin, jack, isnt, investor, warns, points, investment, index, yeari, really, stocks, early, assets


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UK police raise nearly $300,000 in auction of seized cryptocurrency

Police in the U.K. raised almost $300,000 by auctioning off a convicted hacker’s cryptocurrency haul. However, Wilsons Auctions, which orchestrated the sale, said a week before the auction that the cryptocurrency had a fluctuating value of up to £500,000. U.S. prosecutors have previously auctioned off seized bitcoin and cryptocurrency assets, with the U.S. Marshals Service raising $18.7 million from a bitcoin auction last year, according to Coindesk. Meanwhile, Wilsons Auctions raised £550,000 (


Police in the U.K. raised almost $300,000 by auctioning off a convicted hacker’s cryptocurrency haul. However, Wilsons Auctions, which orchestrated the sale, said a week before the auction that the cryptocurrency had a fluctuating value of up to £500,000. U.S. prosecutors have previously auctioned off seized bitcoin and cryptocurrency assets, with the U.S. Marshals Service raising $18.7 million from a bitcoin auction last year, according to Coindesk. Meanwhile, Wilsons Auctions raised £550,000 (
UK police raise nearly $300,000 in auction of seized cryptocurrency Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-01  Authors: chloe taylor
Keywords: news, cnbc, companies, sale, wilsons, bitcoin, raise, seized, ersou, auction, 300000, assets, crime, cryptocurrency, raised, nearly


UK police raise nearly $300,000 in auction of seized cryptocurrency

Police in the U.K. raised almost $300,000 by auctioning off a convicted hacker’s cryptocurrency haul.

The crypto assets, which included bitcoin, ripple and ether, raised more than £240,000 ($295,150) when they were sold off by the U.K.’s Eastern Region Special Operations Unit (ERSOU) on Wednesday and Thursday last week.

However, Wilsons Auctions, which orchestrated the sale, said a week before the auction that the cryptocurrency had a fluctuating value of up to £500,000.

It marked the first time a British police force had auctioned any form of cryptocurrency as part of an asset recovery order. Funds raised from the sale will be reinvested in crime prevention efforts, according to the ERSOU.

More than 7,500 bids were placed on the auction which was separated into 62 different sales, Wilsons Auctions said, with bids coming from various countries including Brazil, Australia, the U.S. and Singapore. It also noted that a single bitcoin achieved an average sale price of £6,798.80 — close to its current trading price.

The assets were seized from an unnamed hacker who “illegally supplied online personal data and hacking services in exchange for thousands of pounds worth of cryptocurrency,” ERSOU said in a press release Monday.

BBC News reported Monday that the digital currency had come from a teenager who received a jail sentence in August for hacking British internet provider TalkTalk.

“Asset recovery in a digital world has evolved, so it’s really important that we have a clear process for the storage and sale of cryptocurrency,” Detective Chief Inspector Martin Peters of the ERSOU cybercrime unit said in the press release.

“This goes to show there is no place to hide criminal assets — we are constantly developing our techniques and capabilities to ensure that proceeds of crime are either given back to the rightful owner or, as in this case, are reinvested in crime,” he added.

ERSOU noted that all of the buyers who took part in the auction were approved “ethical users of cryptocurrency,” with each participant’s background checked by a specialist.

Although last week’s auction was the first of its kind in the U.K., it was the latest in a series of seized crypto sales that have gone ahead internationally.

U.S. prosecutors have previously auctioned off seized bitcoin and cryptocurrency assets, with the U.S. Marshals Service raising $18.7 million from a bitcoin auction last year, according to Coindesk.

Meanwhile, Wilsons Auctions raised £550,000 ($676,580) in March from an auction of bitcoins seized by the Belgian government.


Company: cnbc, Activity: cnbc, Date: 2019-10-01  Authors: chloe taylor
Keywords: news, cnbc, companies, sale, wilsons, bitcoin, raise, seized, ersou, auction, 300000, assets, crime, cryptocurrency, raised, nearly


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Exxon Mobil to sell some of its Norway assets for $4.5 billion

Peloton buyers aren’t quite sure whether it’s a hardware company… Even after falling in its stock market debut on Thursday, Peloton still trades at a steep premium to Fitbit, GoPro and Sonos. Technologyread more


Peloton buyers aren’t quite sure whether it’s a hardware company… Even after falling in its stock market debut on Thursday, Peloton still trades at a steep premium to Fitbit, GoPro and Sonos. Technologyread more
Exxon Mobil to sell some of its Norway assets for $4.5 billion Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-26  Authors: yun li
Keywords: news, cnbc, companies, steep, mobil, peloton, billion, trades, stock, market, sonostechnologyread, exxon, assets, sell, quite, hardware, norway, premium, sure


Exxon Mobil to sell some of its Norway assets for $4.5 billion

Peloton buyers aren’t quite sure whether it’s a hardware company…

Even after falling in its stock market debut on Thursday, Peloton still trades at a steep premium to Fitbit, GoPro and Sonos.

Technology

read more


Company: cnbc, Activity: cnbc, Date: 2019-09-26  Authors: yun li
Keywords: news, cnbc, companies, steep, mobil, peloton, billion, trades, stock, market, sonostechnologyread, exxon, assets, sell, quite, hardware, norway, premium, sure


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EBay CEO Devin Wenig is stepping down as the company reviews potential sale of assets

EBay announced Wednesday that Devin Wenig is stepping down as president and CEO and the company is moving forward with the potential sale of assets. “Devin has been a tireless advocate for driving improvement in the business, particularly in leading the Company forward after the PayPal spinoff,” Chairman Thomas Tierney said in a statement. He then spent six years as chief financial officer of eBay Marketplace before becoming the CFO of eBay. EBay said its strategic review of its asset portfolio,


EBay announced Wednesday that Devin Wenig is stepping down as president and CEO and the company is moving forward with the potential sale of assets. “Devin has been a tireless advocate for driving improvement in the business, particularly in leading the Company forward after the PayPal spinoff,” Chairman Thomas Tierney said in a statement. He then spent six years as chief financial officer of eBay Marketplace before becoming the CFO of eBay. EBay said its strategic review of its asset portfolio,
EBay CEO Devin Wenig is stepping down as the company reviews potential sale of assets Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-25  Authors: jasmine kim
Keywords: news, cnbc, companies, financial, president, sale, board, assets, review, reported, ceo, stepping, potential, wenig, forward, strategic, past, ebay, reviews, devin, company


EBay CEO Devin Wenig is stepping down as the company reviews potential sale of assets

EBay announced Wednesday that Devin Wenig is stepping down as president and CEO and the company is moving forward with the potential sale of assets.

“Devin has been a tireless advocate for driving improvement in the business, particularly in leading the Company forward after the PayPal spinoff,” Chairman Thomas Tierney said in a statement. “Notwithstanding this progress, given a number of considerations, both Devin and the Board believe that a new CEO is best for the Company at this time.”

Scott Schenkel, eBay’s senior vice president and chief financial officer since 2015, has been appointed as interim CEO.

“As the Board conducts a search, we will continue to focus on our strategic plan and product initiatives, while also ensuring a great customer experience and a smooth transition,” Schenkel said.

Schenkel joined eBay in 2007 as vice president of global financial planning and analysis. He then spent six years as chief financial officer of eBay Marketplace before becoming the CFO of eBay.

Shares of eBay dropped nearly 2% following the news of Wenig’s departure.

Wenig addressed his resignation by tweeting, “In the past few weeks it became clear that I was not on the same page as my new Board. Whenever that happens, its best for everyone to turn that page over. It has been an incredible privilege to lead one of the worlds great businesses for the past 8 years.”

The e-commerce company also said its “previously announced operating review is ongoing and the company expects to provide an update this fall.”

After it announced a strategic portfolio review on March 1, the company was reported to be in the early process of a potential sale of the StubHub ticket exchange company in July.

EBay said its strategic review of its asset portfolio, including StubHub and eBay Classifieds Group, is moving forward with the assistance of Goldman Sachs.

The company has been facing many challenges as competition from other e-commerce giants such as Amazon and Walmart has intensified over the past few years.

However, it shifted its focus to adopting a new payments platform and a promoted listings program. It also worked on simplifying customers’ buying experience by launching new pages that produced more intuitive grouped listings and personal recommendations.

As a result, the company reported a quarterly revenue of $2.69 billion and earnings of 68 cents per share, which beat Wall Street estimates in the second quarter that ended June 30.

It also said active buyers grew 4% to 182 million globally in the reported quarter.

In its statement Wednesday, eBay reaffirmed its earnings per share guidance for 2019.


Company: cnbc, Activity: cnbc, Date: 2019-09-25  Authors: jasmine kim
Keywords: news, cnbc, companies, financial, president, sale, board, assets, review, reported, ceo, stepping, potential, wenig, forward, strategic, past, ebay, reviews, devin, company


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It’s a ‘great time’ to buy risk assets, Bank of America Merrill Lynch strategist says

Now is the time to buy risk assets, a Bank of America Merrill Lynch strategist told CNBC on Tuesday. “When investors are this bearish, historically, it’s been a great time to buy risky assets like stocks and commodities,” BofAML global investment strategist Jared Woodard said on “Closing Bell. ” But Woodard’s call for investors to buy riskier assets emanates from BofAML’s Bull & Bear Indicator reaching its lowest levels since January. The sentiment indicator dropped from 2.4 to 1.3 last week, fl


Now is the time to buy risk assets, a Bank of America Merrill Lynch strategist told CNBC on Tuesday. “When investors are this bearish, historically, it’s been a great time to buy risky assets like stocks and commodities,” BofAML global investment strategist Jared Woodard said on “Closing Bell. ” But Woodard’s call for investors to buy riskier assets emanates from BofAML’s Bull & Bear Indicator reaching its lowest levels since January. The sentiment indicator dropped from 2.4 to 1.3 last week, fl
It’s a ‘great time’ to buy risk assets, Bank of America Merrill Lynch strategist says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-03  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, great, risk, bank, assets, indicator, policy, america, significant, lynch, buy, woodard, bearish, strategist, merrill, sentiment, investors


It's a 'great time' to buy risk assets, Bank of America Merrill Lynch strategist says

Now is the time to buy risk assets, a Bank of America Merrill Lynch strategist told CNBC on Tuesday.

“When investors are this bearish, historically, it’s been a great time to buy risky assets like stocks and commodities,” BofAML global investment strategist Jared Woodard said on “Closing Bell. ”

Woodard stressed he was looking at a one-to-three-month investment timeline, citing larger macro risks in the economy for next year.

But with investors already in bearish positions and favorable policy coming from the Federal Reserve, which cut interest rates in July for the first time in a decade and is expected to issue another quarter-point cut at its September policy meeting, Woodard said he sees significant short-term upside.

“Historically, you’ve had significant upside in the short term, on average around 6% returns on global equities on a three-month horizon, when sentiment is this bearish,” Woodard said.

All three major indexes fell Tuesday on the first day of September trading. Both China and the U.S. put in place new tariffs on imports Sunday, marking the latest escalation in the ongoing trade war. Investor sentiment also was weakened by the news that U.S. manufacturing contracted for the first time in three years.

But Woodard’s call for investors to buy riskier assets emanates from BofAML’s Bull & Bear Indicator reaching its lowest levels since January. The sentiment indicator dropped from 2.4 to 1.3 last week, flashing a contrarian buy signal.

The indicator is based on a 10-point scale and takes into account 18 different inputs, such as fund flows, price action and asset allocation from large and small investors, Woodard said.

The bank said in a research note Friday that the drop was caused by outflows in emerging market debt and equities, in addition to a quick uptick in Treasury markets.


Company: cnbc, Activity: cnbc, Date: 2019-09-03  Authors: kevin stankiewicz
Keywords: news, cnbc, companies, great, risk, bank, assets, indicator, policy, america, significant, lynch, buy, woodard, bearish, strategist, merrill, sentiment, investors


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CBS and Viacom reach merger deal, ending years of discussions

The new company will be called ViacomCBS, and Viacom’s CEO, Bob Bakish, will be the CEO of the combined company. Joe Ianiello, who was serving as CBS CEO since last year, will be the chairman of CBS and will be in charge of CBS assets after the merger. Existing CBS shareholders will own about 61% of the combined company, with Viacom shareholders owning the remaining 39%. Each Viacom shareholder will receive .59625 shares of CBS shares. CBS shares rose 1.5%.


The new company will be called ViacomCBS, and Viacom’s CEO, Bob Bakish, will be the CEO of the combined company. Joe Ianiello, who was serving as CBS CEO since last year, will be the chairman of CBS and will be in charge of CBS assets after the merger. Existing CBS shareholders will own about 61% of the combined company, with Viacom shareholders owning the remaining 39%. Each Viacom shareholder will receive .59625 shares of CBS shares. CBS shares rose 1.5%.
CBS and Viacom reach merger deal, ending years of discussions Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-13  Authors: alex sherman
Keywords: news, cnbc, companies, reach, companies, combined, viacom, assets, viacomcbs, media, shares, company, deal, ending, cbs, discussions, streaming, merger


CBS and Viacom reach merger deal, ending years of discussions

CBS and Viacom have agreed to merge, ending years of on-and-off talks.

The new company will be called ViacomCBS, and Viacom’s CEO, Bob Bakish, will be the CEO of the combined company. Joe Ianiello, who was serving as CBS CEO since last year, will be the chairman of CBS and will be in charge of CBS assets after the merger.

Existing CBS shareholders will own about 61% of the combined company, with Viacom shareholders owning the remaining 39%. Each Viacom shareholder will receive .59625 shares of CBS shares. CBS shares rose 1.5%. Viacom shares rose 1.77%.

The combination reunites the two media companies controlled by Sumner Redstone’s National Amusements. Viacom spun off CBS in 2006. Redstone’s daughter, Shari, is the vice chairman of the board at both CBS and Viacom and has long desired putting the companies back together to gain scale in a media environment where competitors including Disney, Comcast and AT&T have bulked up through a series of megadeals.

“I am really excited to see these two great companies come together so that they can realize the incredible power of their combined assets,” Redstone said in the statement. “My father once said ‘content is king,’ and never has that been more true than today.”

A merger will add movie studio Paramount Pictures, cable networks such as Comedy Central, MTV, Nickelodeon and BET, and other assets including the streaming service Pluto TV and South Park Studios to CBS, which owns the eponymous broadcast network, Showtime, and other assets. The added scale will help ViacomCBS compete with Netflix, Amazon and other legacy media companies on spending. ViacomCBS has spent more than $13 billion in the past 12 months, the companies said in a statement.

CBS and Viacom plan to “accelerate” their streaming strategies and expand globally, according to the statement. The companies have not said if they plan to offer a combined streaming product, such as Warner Media’s HBO Max. CBS’s CBS All Access and Showtime Anytime already have more than 8 million subscribers combined. Viacom offers niche streaming products such as the $7.99-per-month kids service Noggin.

The companies estimate $500 million in annualized run-rate synergies within 12 to 24 months.


Company: cnbc, Activity: cnbc, Date: 2019-08-13  Authors: alex sherman
Keywords: news, cnbc, companies, reach, companies, combined, viacom, assets, viacomcbs, media, shares, company, deal, ending, cbs, discussions, streaming, merger


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Gold could hit $2,000 in a world full of negative yields

In a world full of negative yielding debt, hard assets like gold could become even more attractive, and some strategists say a case could be made for a $2,000 per ounce price tag on the precious metal. The reason they’re trading at negative yields is because the demand for safe assets is bigger than the supply for them,’ said Ghali. Bank of America Merrill Lynch’s metals strategist Michael Widmer, in a note, also says negative yields are making gold shine. He said the successive rounds of moneta


In a world full of negative yielding debt, hard assets like gold could become even more attractive, and some strategists say a case could be made for a $2,000 per ounce price tag on the precious metal. The reason they’re trading at negative yields is because the demand for safe assets is bigger than the supply for them,’ said Ghali. Bank of America Merrill Lynch’s metals strategist Michael Widmer, in a note, also says negative yields are making gold shine. He said the successive rounds of moneta
Gold could hit $2,000 in a world full of negative yields Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-13  Authors: patti domm
Keywords: news, cnbc, companies, central, yields, negative, gold, assets, debt, yielding, hit, trade, world, widmer, 2000


Gold could hit $2,000 in a world full of negative yields

In a world full of negative yielding debt, hard assets like gold could become even more attractive, and some strategists say a case could be made for a $2,000 per ounce price tag on the precious metal.

Gold futures were at $1,513.80 an ounce Tuesday, down about 0.2%. In late May, gold snapped out of its slumber, broke above $1,300 and has not looked back. In September, 2011, gold futures reached all-time high of $1,923.70 per ounce.

“We have a long position trade on. We are targeting $1,585,” said Daniel Ghali, commodities strategist at TD Securities. “We do think gold is on its way higher for the time being…Over the coming years as the likelihood of the unconventional policy becomes more of a reality, I could see a case for gold at $2,000.”

Gold has also been firming as the world watches protests in Hong Kong and also the uncertainty around U.S., China trade relations. On Tuesday, gold erased its gains and risk assets rallied after the U.S. announced it would hold off on tariffs on consumer products until mid-December.

TD Securities strategists believe the many years of unconventional and easy monetary policy from the world’s central banks has resulted in a shortage of “safe assets” and that’s “evident by the fast growing pile of negative yielding debt, which is ultimately leading to a growing appetite for precious metals.”

“Negative yields are symptomatic for the search for safe assets. The reason they’re trading at negative yields is because the demand for safe assets is bigger than the supply for them,’ said Ghali. “Gold stands to benefit quite a bit from that.. the trade we’ve been recommending we have it as a three moth time horizon. I would argue we are likely on the cusp of a multi-year bull market for gold.”

Bank of America Merrill Lynch’s metals strategist Michael Widmer, in a note, also says negative yields are making gold shine. He said the successive rounds of monetary easing driving bond yields lower and creating $14 trillion in negative yielding debt have also been recently supported gold prices. “With more easing to come, the dynamic will likely sustain a bid for the yellow metal,” he wrote.

But Widmer said all of the rounds of central bank moves, including quantitative easing, have clearly delivered “less bang for the buck” when it comes to stimulus. He said this could result in “quantitative failure,” or an environment where markets focus on high debt levels or the lack of economic growth, and that could lead to volatility.

“At the same time, and perhaps perversely, such a sell-off may prompt central banks to ease more aggressively, making gold an even more attractive asset to hold. We have a relatively conservative 2Q20 forecast of $1,500/oz, but in this scenario, we see scope for gold to rise towards $2,000/oz,” he wrote in a note.

Widmer said central banks are also driving up gold, as they have now become net buyers of the metal. Widmer notes that the World Gold Council expects gold reserves to increase over the next year at central banks.

“The motivation behind the respective reserve strategies varies, with the historical positioning, the long-term store of value, gold’s role as an effective portfolio diversifier and lack of default risk featuring the highest among EM and DM institutions. De-dollarization features as well as a motivation,” Widmer wrote.

Gold futures [for December] are up more than 5.2% in August so far, and 18% for the year so far.

Update: Corrects title to clarify that Daniel Ghali is a strategist at TD Securities


Company: cnbc, Activity: cnbc, Date: 2019-08-13  Authors: patti domm
Keywords: news, cnbc, companies, central, yields, negative, gold, assets, debt, yielding, hit, trade, world, widmer, 2000


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