K64 Auxiliary Finance and Insurance Services

Investors ‘too bold’

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Original article by Max Mason
The Australian Financial Review – Page: 33 : 25-Sep-14

Financial markets anticipate that Australian companies will achieve eight per cent growth in earnings per share in 2014-15. However, Matt Sherwood of Perpetual believes that this may be too optimistic, noting that the economy is forecast to expand by just 4-5 per cent. Meanwhile, BT Investment Management is bullish about Australian shares, and expects stocks to deliver an annual return of 10 per cent over five years

CORPORATES
PERPETUAL LIMITED – ASX PPT, BT INVESTMENT MANAGEMENT LIMITED – ASX BTT, DELTEC INTERNATIONAL GROUP, RESERVE BANK OF AUSTRALIA

Fears of GFC-style complacency

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Original article by Richard Gluyas, Michael Bennet, Annabel Hepworth
The Australian – Page: 20 : 23-Sep-14

An Australian fund manager has raised concerns about the state of financial markets. Dion Hershan, of Goldman Sachs Asset Management, said that markets are becoming similar to markets in 2006 before the global financial crisis. He said that credit spreads are tight, companies are using financial engineering and many have high growth and valuation expectations. Hershan said that rising global interest rates and declining commodity prices have made investors worried about a correction

CORPORATES
GOLDMAN SACHS ASSET MANAGEMENT, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, WESTPAC BANKING CORPORATION – ASX WBC, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, STANDARD AND POOR’S ASX 200 INDEX, RIO TINTO LIMITED – ASX RIO, BHP BILLITON LIMITED – ASX BHP, UBS HOLDINGS PTY LTD, GROUP OF TWENTY (G-20), AUSTRALIAN BANKERS’ ASSOCIATION

Funds cash up for expansion

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Original article by Ben Wilmot
The Australian – Page: 30 : 23-Sep-14

Real estate investment trusts are raising capital for expansion. South African-listed Investec Australia Property Fund plans to raise $A120 million. It is buying a $A65.5 million office tower in central Brisbane. GPT Metro Office Fund aims to raise $A255 million in a bookbuild on 30 September 2014

CORPORATES
INVESTEC AUSTRALIA PROPERTY FUND, GPT METRO OFFICE FUND, GPT GROUP – ASX GPT, MORGANS FINANCIAL LIMITED, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, LION PTY LTD, KIRIN HOLDINGS COMPANY LIMITED, SAMSUNG (AUSTRALIA) PTY LTD, FIFE CAPITAL PTY LTD, IM MEDICAL LIMITED – ASX IMI, ADX MANAGEMENT LIMITED, FAIRFAX MEDIA LIMITED – ASX FXJ

Year’s gains lost in three weeks

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Original article by Philip Baker
The Australian Financial Review – Page: 1 & 11 : 23-Sep-14

The Australian sharemarket has shed more than five per cent so far in September 2014, paring the S&P/ASX 200’s gains in the year to date to just 0.2 per cent. In contrast, the S&P 500 has gained nearly nine per cent and the Hang Seng Index has risen by three per cent. Banks have borne the brunt of bearish investor sentiment, with all of the four major banks shedding more than the S&P/ASX 200 in September

CORPORATES
STANDARD AND POOR’S ASX 200 INDEX, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, WESTPAC BANKING CORPORATION – ASX WBC, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, WILSON ASSET MANAGEMENT, STANDARD AND POOR’S 500 INDEX, HANG SENG INDEX, DOW JONES INDUSTRIAL AVERAGE INDEX, NIKKEI 225 INDEX, UNITED STATES. FEDERAL RESERVE BOARD, MORGAN STANLEY AUSTRALIA LIMITED

NAB pitches $1.7b US bank ahead of major sell-down

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Original article by John Kehoe
The Australian Financial Review – Page: 13 : 22-Sep-14

National Australia Bank (NAB) is believed to be planning a partial IPO of US-based Great Western Bank, which it acquired in 2007. The banking major will retain a stake of around 70 per cent, which is expected to be divested during the 12 months following the IPO. NAB will hold a roadshow for US investors in October 2014, and there are expectations that it could gain around $US1.5bn ($A1.7bn) in total from the sale of Great Western

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, GREAT WESTERN BANK, NEW YORK STOCK EXCHANGE, HOMESIDE LENDING INCORPORATED, CLYDESDALE BANK PLC, YORKSHIRE BANK PLC, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION, DEUTSCHE BANK AG, BANK OF AMERICA CORPORATION, MERRILL LYNCH AND COMPANY INCORPORATED, ROYAL BANK OF SCOTLAND GROUP PLC, CITIZENS FINANCIAL GROUP INCORPORATED

Arrium plunge in wake of raising

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Original article by Matt Chambers, Barry FitzGerald
The Australian – Page: 19 : 19-Sep-14

The share price of steel and iron ore miner Arrium fell on 18 September 2014 after its capital raising. The company wanted to raise $A754 million. However, only 79 per cent of institutional shareholders participated, raising $A465 million. Arrium’s stock dropped by $A0.0165 to a record low of $A0.40

CORPORATES
ARRIUM LIMITED – ASX ARI, BHP BILLITON LIMITED – ASX BHP, ALLAN GRAY AUSTRALIA PTY LTD

ASX buys stake in e-trading provider

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Original article by Mitchell Bingemann
The Australian – Page: 23 : 19-Sep-14

The Australian Securities Exchange has paid $A65 million for a 49 per cent in Yieldbroker, a specialist electronic markets company. The acquisition will strengthen the ASX’s derivatives trading business. Twelve banks have invested in Yieldbroker, which was founded in 1999. It operates electronic markets for trading more than 800 Australian and New Zealand debt securities and interest rate derivatives

CORPORATES
ASX LIMITED – ASX ASX, YIELDBROKER PTY LTD, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, CITI AUSTRALIA PTY LTD, DEUTSCHE BANK AG, JP MORGAN AUSTRALIA LIMITED, MACQUARIE GROUP LIMITED – ASX MQG, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, ROYAL BANK OF CANADA, ROYAL BANK OF SCOTLAND GROUP PLC, TORONTO DOMINION AUSTRALIA LIMITED, UBS HOLDINGS PTY LTD, WESTPAC BANKING CORPORATION – ASX WBC

UBS, Macquarie in box seat for analysis kudos

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Original article by Michael Bennet
The Australian – Page: 23 : 18-Sep-14

The annual East Coles equities markets awards will be held in Sydney on 18 September 2014. The best analysts and traders will be chosen by 79 institutional investors representing $A300 billion in domestic equities. UBS has received the most nominations, followed by Macquarie Group, Credit Suisse, Citi and Deutsche Bank

CORPORATES
MACQUARIE GROUP LIMITED – ASX MQG, UBS HOLDINGS PTY LTD, CREDIT SUISSE (AUSTRALIA) LIMITED, CITI AUSTRALIA PTY LTD, DEUTSCHE BANK AG, EAST COLES PTY LTD, CANACCORD GENUITY (AUSTRALIA) LIMITED, MORGANS FINANCIAL LIMITED, TAYLOR COLLISON LIMITED, EVANS AND PARTNERS PTY LTD, EUROZ LIMITED – ASX EZL, PETRA CAPITAL PTY LTD, CLSA AUSTRALIA PTY LTD, MORGAN STANLEY AUSTRALIA LIMITED, MERRILL LYNCH (AUSTRALIA) PTY LTD, GOLDMAN SACHS AUSTRALIA PTY LTD, CIMB SECURITIES INTERNATIONAL (AUSTRALIA) PTY LTD, PETER LEE ASSOCIATES PTY LTD, STARMINE PTY LTD

Rush for exits belies optimism

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Original article by Vesna Poljak, Max Mason
The Australian Financial Review – Page: 17 & 24 : 17-Sep-14

Fund managers are cautious about the strong activity in the Australian sharemarket. In the third quarter of 2014, IPOs have reached a record $US2.4 billion. Private equity firms are also exiting as escrow periods expire. Debt capital market activity reached $US99 billion between 1 January and 15 September, while merger and acquisition deals are worth $US8.5 billion. Fund managers said that private equity firms are taking the opportunity to exit in a strong market, but investors may be becoming complacent

CORPORATES
UNITED STATES. FEDERAL RESERVE BOARD, HEALTHSCOPE LIMITED – ASX HSO, VEDA GROUP LIMITED – ASX VED, DICK SMITH HOLDINGS LIMITED – ASX DSH, ANCHORAGE CAPITAL PARTNERS PTY LTD, DEALOGIC (AUSTRALIA) PTY LTD, INVESTORS MUTUAL LIMITED, AUSBIL DEXIA LIMITED, WAVESTONE CAPITAL PTY LTD, MYER HOLDINGS LIMITED – ASX MYR, GOLDMAN SACHS AUSTRALIA PTY LTD

Beijing sends 7.5pc of investment our way

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Original article by Rowan Callick
The Australian – Page: 20 : 17-Sep-14

Australia received about 7.5 per cent of China’s total outbound investment in the first half of 2014. This was worth about $A2.6 billion. PricewaterhouseCoopers said that two mining deals accounted for 88 per cent of the investment. China’s total outward investment rose by 40 per cent to $A35 billion. The investment focus has moved to real estate, hi-tech and telcos, which have risen from one per cent to 36 per cent of total overseas investment

CORPORATES
PRICEWATERHOUSECOOPERS, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD