Peregrine Wealth

At Peregrine Wealth, we want to make a positive impact in our community and as part of this ambition, in 2021, Peregrine became a founding sponsor of Vive La Vallette – the charity behind the new facilities at La Vallette bathing pools.  The historic pools have been a focal point of Guernsey life since 1844 and we are delighted to be involved in their regeneration. The sea is a major part of island life and we’re pleased to see our donation make this more accessible for islanders.    To actively support our sponsorship, we held our summer drinks event at the new facilities and will be taking part in the Sea Donkey Challenge in a couple of weeks’ time.    Watch the video below to hear what our sponsorships means to the Peregrine team and how the redevelopment is making an impact in the local community.

A newswire headline this week announced an agreement between Russia’s State Development Bank (VEB), China and South Africa’s Development Bank (DBSA). This triggered sales of South African bonds and caused the South African Rand to fall. Once the full story was understood, panic in markets quickly subsided. However, this incident highlights the BRICS’ (Brazil, Russia, India, China, South Africa) desire to implement cooperative financial architecture in order to reduce any reliance on Western institutions and currencies. Read the full story along with an update on the latest market movements here: https://bit.ly/4hhcaAv #WeeklyWrap #Economy

US hegemony is now a thing of the past, with China’s arrival as a global power contributing to an increasingly multi-polar world. Alongside the fragmentation of the global economy, climate change, nationalist politics, the quickening pace of technological innovation and geopolitical flashpoints all help to increase investor uncertainty. Read more about how political, economic and social shifts are impacting markets here: https://bit.ly/4068XO5 #WeeklyWrap #Economy

19th October 1987, or Black Monday as it quickly came to be known, will long be remembered as a day of infamy amongst financial market participants. Billions of dollars were wiped off US stock markets in a matter of hours and contagion quickly set in amongst other markets, with estimated global market losses of $1.7 trillion. In spite of the market panic, the recovery was swift and a series of measures was implemented to prevent a reoccurrence. There are many parallels between the economic backdrop to Black Monday and today’s environment, and its lessons remain relevant 37 years later. Read more about the crash of 1987 and more recent market movements here: https://bit.ly/4eGhknM #WeeklyWrap #Economy

The market optimism derived from China's recent stimulus package dissipated somewhat this week, reversing the rally in commodity currencies such as the Australian dollar and South African rand.   Attention shifted to hawkish signals from the US Federal Reserve and the lack of immediate impact from Chinese stimulus measures, leading to a strengthening of the US dollar and diminished demand for emerging market currencies and bonds. Read more about the latest market movements here: https://bit.ly/3Ndyi0P   #PeregrineWeeklyWrap #Economy

Thank you to everyone who joined us for our end of summer party last week at Vive La Vallette Bathing Pools. We are so grateful to our clients, colleagues and guests for making it a fantastic evening. #PeregrineWealth #teamwork #celebration

China announced a significant raft of stimulus measures this week in an effort to kick-start its faltering economy. Chinese markets reacted positively to the news, with Chinese equities posting their best week since 2008, though questions remain as to how much the stimulus in its current form will do to boost consumer spending. Read more about the Chinese government’s interventions in the economy and their broader impact on global markets in the Peregrine Wealth Weekly Wrap: https://bit.ly/4eCuIsM #PeregrineWeeklyWrap #China #economy

The US Federal Reserve cut interest rates for the first time in four years this week, lowering its benchmark rate by 0.50%. Fed Chairman Jay Powell was keen to emphasise that the US economy remains healthy and there is no urgency with regards to further rate cuts. US Treasuries have outperformed equities since July, but there is a sense that the bond market might have run a little ahead of the Fed, given Powell’s cautious stance. Read more about the Fed’s rate cut and events in the markets this week: https://bit.ly/4e8Y5CZ #peregrineweeklywrap #economy #treasury

Peregrine Wealth has utilised scenario modelling as a key part of its investment process for over two decades, enabling the construction of robust portfolios. Our current High Conviction scenario, based on a three-year outlook, anticipates global economic growth near capacity, with inflation moderating and interest rates expected to decline, though monetary policy will remain more restrictive than in previous cycles. US cash is attractive, while bonds hold neutral ratings. The UK is gradually recovering, with its bond and equity markets showing neutral to attractive valuations. Chief Economist, Harold Strydom, shares his insights below in his latest article. Read Harold's insights here: https://lnkd.in/g4GjTEhi #MarketValuations #WealthManagement #Peregrination

A rate cut from the European Central Bank, US inflation data, and the US Presidential debate all had an influence on market direction this week.    US inflation data was mixed, though a slightly higher-than-expected core inflation number served to dampen hopes of aggressive rate cuts from the Fed.   Market movements following the Presidential debate suggested a victory for Kamala Harris, in line with the early post-debate polls.   Read more about the markets in this week’s Peregrine Wealth weekly wrap: https://bit.ly/3Xs1Hct #Peregrineweeklywrap #economy #presidentialdebate