Your feedback is important to us!
We invite all our readers to share with us their views and comments about this article.
Disclaimer: Comments submitted by third parties on this site are the sole responsibility of the individual(s) whose content is submitted. The Daily Star accepts no responsibility for the content of comment(s), including, without limitation, any error, omission or inaccuracy therein. Please note that your email address will NOT appear on the site.
Alert: If you are facing problems with posting comments, please note that you must verify your email with Disqus prior to posting a comment. follow this link to make sure your account meets the requirements. (http://bit.ly/vDisqus)
Few of the industry's other dynamics will remain untouched, according to Credit Suisse Group Vice Chairman Neal Soss, who expects the advance of these phenomena to upend financial markets.That helps money migrate toward passive investments and exchange-traded funds where the potential for losses is lower (so too, the potential of market-beating returns) – accelerating the focus on sectors rather than individual companies.Consolidation in the asset-management industry is another likely outcome of the shift to a more passive investment style.The death of the small-cap marketRegulations, which could include a greater focus on the market turnover of assets, will "herd" collective investment schemes toward larger securities at the expense of small-cap equities and much of the bond market, where there are very few benchmark deals compared to the large universe of outstanding bonds.Structurally lower returns may also have redistribution effects.
FOLLOW THIS ARTICLE