ECB surprises analysts and CUTS interest rate to 0.25%

Generali

Loughton_Monkey wrote: »

They do indeed invest money. But having worked with (and observed closely) large institutional investors for years, I think they use other indicators for their choices, and use the published, glossy, analyst's reports to fill their bins to make them look "busy".

Investment Managers have busy times. They have to spend at least 5 minutes deciding where today's "new" money needs to go (or come from if -ve). Then there may be half an hour of 'serious research' just to make sure they are not missing any obvious trick.

After this, it is a "meeting" with a visiting analyst, stockbroker, or 'friend' followed by an extremely long and liquid lunch.

Then they will return to the desk by 3:30 earliest (well the DOW does heed an hour to settle down doesn't it?) and they can spend the rest of the day (i.e. 30 minutes) either looking at the tickers, or, more likely, the "funnies" on Reuters. Then they go home and watch the kids polish the spanking new bright company BMW with 2,000 miles on the clock which they couldn't possibly drive to work because they'd never pass the breathalyser.

Young Sally in the office will do the daily valuation....

Of course when it comes to OEIC Managed Fund managers, I envisage them to be exactly the same, and hence fully deserving of the 1.75% charge on their £2 billion fund (about £35 million) to recompense themselves. But then, of course, they do have to pay young Sally £25K a year.....

Maybe in the 1980s. We certainly don't operate like that, except Sally still has to calculate unit prices.

Loughton_Monkey

grizzly1911 wrote: »

I thought I was cynical.;)

Then hopefully you will trust me when I say that every bit of my cynicism is supported by historic fact.

“If there was anything that depressed him more than his own cynicism, it was that quite often it still wasn't as cynical as real life.”
― Terry Pratchett, Guards! Guards!

DiggerUK

Germany is becoming marginalised in an arena that it should hold sway over.
Europe can't QE because of the rules, so the trick now is to find anything to fake it.
It is only a matter of time before the sugar rushing equity markets of europe get their candy floss, but get it they will.
..._