THURSDAY 9 APRIL 2015 WORLD BUSINESS NEWSPAPER EUROPE

Negative rates China’s military Hard work

‘It’s like learning to drive a car Is Beijing preparing for war or just David Pilling: changing Japan’s
backwards’ — INSIDE BUSINESS, PAGE 14 modernising its forces?— PAGE 7 corporate culture — PAGE 9

Shell’s £47bn swoop on BG Group Briefing

i Le Pen moves to oust father from party

fuels hopes for wave of energy deals

In a deepening family drama, Marine Le Pen, the
head of France’s far-right National Front, has taken
steps to oust her father Jean-Marie from the party
he founded, as she attempts to sanitise the party
ahead of the next election.— PAGE 4

i Putin and Tsipras eye common ground

Move is oil sector’s most dramatic response yet to the slide in the price of crude
GUY CHAZAN, CLAER BARRETT AND
DAVID OAKLEY — LONDON
Royal Dutch Shell has swooped on its
smaller rival, BG Group, striking the
energy industry’s biggest deal in more
than a decade to extend its dominance
of the global natural gas industry.
The £47bn deal, excluding debt, is the
oil sector’s most dramatic response so
far to the slide in the price of crude,
which has slumped 50 per cent since last
June. It could usher in further consoli-
dation across the industry as companies
race to cut costs. The deal will increase
Shell’s oil and gas reserves by a quarter
and its production by 20 per cent. Ana-
lysts at Jefferies said that by 2018 Shell
could be pumping more oil and gas than
ExxonMobil, making it the world’s larg-
est non-state oil company by output.
BG shares closed up 27 per cent at
£11.53 in London. Shell’s B class shares
closed down more than 8 per cent at
£20.20 with some analysts suggesting
Shell may have paid too much.
However, Ben van Beurden, Shell’s
chief executive, said the deal repre-
sented an “incredibly exciting moment”
for the Anglo-Dutch company, which
has struggled to boost production and
increase its reserves. Acquiring BG will
turn Shell into the largest foreign oil
company in Brazil, one of the richest oil
provinces, and strengthen its position as
the largest producer and seller of lique-
fied natural gas among the majors.
The deal comes at an awkward time
for BG, which had just hired a new chief
executive, Helge Lund, the former boss
of Norwegian oil major Statoil, to over-
see a turnround at the company.
Late last year, BG was forced to retreat
in the face of a shareholder revolt over
Mr Lund’s pay, more than halving his
initial share award. Still, Mr Lund could
receive as much as £28m for a term of
office unlikely to go beyond the year.
Mr Lund, who took the helm at BG
only in February, said he had “mixed
emotions” about the deal. “I came to
build a company, not to sell it,” he said.
Mr van Beurden said Shell had long
had its eye on BG but the fall in the oil
price, which has dragged down the valu-
ations of all main energy groups, made a
deal “very compelling from a value per-
spective”. BG’s share price had fallen
28 per cent between last June and the
announcement of yesterday’s deal.
Shell will pay BG shareholders 383p a
share in cash, plus 0.4454 B shares in
Shell. That is equivalent to £13.50p a BG
share and values BG’s equity at about
£47bn. It is a premium of about 50 per
cent based on 90-day trading volumes.
BG recorded net debt of £8bn at its
last results, putting a total enterprise
value on the deal of almost £55bn.
Some Shell shareholders cautioned
that by acquiring BG, Shell would be
taking on some potentially troubled
assets, particularly in Brazil and Aus-
tralia, where projects have been hit by
cost overruns and delays.
Matthew Beesley, head of global equi-
ties at Henderson Global Investors,
which owns shares in Shell and BG, cau-
tioned that Shell’s balance sheet would
be “more stretched”, potentially putting
strain on Shell’s dividend.
But, Michael Clark, portfolio manager
of Fidelity MoneyBuilder Dividend
Fund, a big investor in Shell and BG, said
there was “no danger” Shell would
change its dividend policy.
Since the price of crude began to slide
last year, expectations have been high
EPA
that the sector could see a repetition of
Largest UK target Deal by numbers Employees, 2014 the mergers and acquisitions fever that
M&A deals* Shell Shell reconfigured the industry in the late
$bn market cap 1990s — another period of low oil prices
— and led to the creation of the current
BG Group crop of supermajors.
Apr 2015 80.5
Shell was advised by Bank of America
SmithKline £126bn Merrill Lynch. BG was advised by Gold-
Beecham
Jan 2000
78.8 94,000 man Sachs and Robey Warshaw. Mr van
BG bid (including debt) BG Beurden first broached the deal in a
March 15 call to Andrew Gould, BG’s
RBS
41.9 chairman.
Feb 2009
£55bn
5,100 Lex page 12
Brazil the big prize page 15
Sources: Thomson Reuters; companies; Bloomberg * Excluding internal merger between Shell and Royal Dutch Petroleum
www.ft.com/lombard
Russian president Vladimir Putin and Greek prime
minister Alexis Tsipras have made a pledge to
“restart and revive” bilateral relations as they aim
to boost each other’s political bargaining chips in
their confrontations with the EU.— PAGE 3
i Olsen set to cement Holcim-Lafarge role
Eric Olsen is set to become the first
chief executive of the combined
cement groups Holcim and Lafarge,
as they look beyond a turbulent few
weeks which brought the €41bn deal
to near-collapse.— PAGE 13
i HK lifted by China use of Stock Connect
Chinese use of the Stock Connect has produced
record trading volumes in Hong Kong, a signal that
the prolonged stock rally on the mainland is finally
spilling over into global markets.— PAGE 24
i Mylan in $28.9bn offer for Perrigo
US generic drug group Mylan has proposed buying
Perrigo, a maker of cough medicines and allergy
remedies for about $28.9bn, as dealmaking
continues at pace in the sector.— PAGE 13; LEX, PAGE 12
i Jordan feels pain of Syria border closures
The sealing of Jordan’s last official crossing on its
border with Syria has highlighted the monarchy’s
vulnerability to the four-year Syrian war.— PAGE 4
i Alibaba film unit rises on assets plan
Shares in Alibaba’s Hong Kong-listed film production
division rose more than a third after it announced a
possible asset injection that analysts say could solve
the arm’s financial woes.— PAGE 17; LEX, PAGE 12
Datawatch
Aid spending
2014 ($bn)
0 10 20 30
US
The total of
UK
development
aid from the
Germany
France world’s biggest
Japan
Sweden
donors was
roughly equal
Netherlands in 2014 to the
Norway high of £135.1bn
Australia
Canada
recorded in
2013, according
Source: OECD to the OECD

Switzerland makes history by selling

10-year debt at negative interest rate
ELAINE MOORE AND until 2025 at a yield of -0.055 per cent — but minutes from the central bank’s
FERDINANDO GIUGLIANO — LONDON
and the issue was comfortably several March rate-setting meeting show that
Switzerland has become the first times subscribed. weakening economic activity since the
government in history to sell bench- The rush into European bonds start of the year has made some policy
mark 10-year debt at a negative inter- reflects the global slide in inflation, makers more cautious. Meanwhile, the
UN Ebola envoy confident est rate, as falling prices and unprece- which has made it easier for investors to Bank of Japan remains in easing mode.
about ending outbreak dented action by the world’s big central accept negative yields as they expect “We have unconventional central
banks send global markets further into prices to rise slowly in the future. bank policies at work so you have to
Report i PAGE 5 unknown terrain. Policy makers have responded to the expect unconventional outcomes,” said
fall in prices by cutting interest rates Steven Major, global head of fixed-
Bonds with negative yields have become and launching asset-buying pro- income research at HSBC. “One is that
Austria €3.60 Macedonia Den220 one of the world’s fastest-growing asset grammes. The European Central Bank bonds are no longer trading like bonds.
Bahrain Din1.7 Malta €3.50
Belgium €3.60 Morocco Dh43 classes, accounting for about a quarter last month bought €52.5bn of govern- They now trade like commodities, with
Bulgaria
Croatia
Lev7.50
Kn27.50
Netherlands
Nigeria
€3.60
Naira715 of Europe’s government debt market. In ment bonds, as part of its €1.1tn quanti- investors speculating on the price.”
Cyprus
Czech Rep
€3.50
Kc100
Norway
Oman
NKr34
OR1.50 the past year, Germany, Austria, Fin- tative easing scheme. The Swiss issue followed an equally
Denmark
Egypt
DKr32
E£20
Pakistan
Poland
Rupee 220
Zl 18 land and Spain have all sold shorter- In anticipation of the ECB’s QE plans remarkable auction by the Spanish
Finland
France
€4.10
€3.60
Portugal
Qatar
€3.50
QR15 term debt at sub-zero yields. in January, the Swiss National Bank low- government this week, with Madrid
Germany
Gibraltar
€3.60
£2.50
Romania
Russia
Ron17
€5.00
But this is the first time that investors ered its interest rate on deposits to issuing short-term debt at a negative
Greece
Hungary
€3.50
Ft990
Saudi Arabia
Serbia
Rls15
NewD420
have, in effect, been charged for lending -0.75 per cent while removing its cur- yield less than three years after request-
India
Italy
Rup150
€3.50
Slovak Rep
Slovenia
€3.60
€3.50
money to a government for such a pro- rency ceiling to the euro. ing an international loan to rescue its
Kazakhstan
Kenya
US$5.50
Kshs300
Spain
Sweden
€3.50
SKr37
longed period. They bought SFr232.51m The US Federal Reserve continues to struggling banking system.
Kuwait KWD1.50 Switzerland SFr5.90 ($241.3m) of Swiss debt to be repaid eye an increase in interest rates in 2015, BoJ maintains policy page 2
Latvia €6.99 Tunisia Din7.50
Lebanon LBP7500 Turkey TL9
Lithuania Litas15/€4.34 UAE Dh15.00
Luxembourg €3.60

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9 770174 736142
2 ★
Regulation
IMF urges stress tests for asset managers
Risk seen as moving from
the banks to funds in new
threat to financial stability
FERDINANDO GIUGLIANO AND
DAVID OAKLEY — LONDON
The International Monetary Fund has
called for a regulatory crackdown on
asset managers, including the introduc-
tion of stress tests that would mirror
those in place for the banking system.
The warning, in one of the analytical
chapters of the IMF’s twice-yearly
Global Financial Stability Report, will
put under scrutiny an industry that has
grown massively in size and importance
since the financial crisis.
The fund management industry buys
and sells securities totalling $76tn,
From baby leaf salad
to hepatitis drugs,
confidence grows in
capital spending
Companies hope for better
times after more than six years
of stagnation and recession
JAMES POLITI — LATINA
If there is any hope for the ailing Italian
economy, it may lie within the white
hallways of a midsized pharmaceutical
manufacturing plant near Latina, 50
miles south of Rome.
Last year Janssen, a unit of Johnson &
Johnson, invested €500,000 in a new
machine capable of producing up to
70,000 capsules an hour, compared
with 17,000 using older machinery. The
equipment is now being used to churn
out Olysio, a new hepatitis C medicine,
to meet demand in Italy and abroad.
Janssen’s decision to renew its equip-
ment could be a sign of wider change.
After more than six years of economic
stagnation and recession that forced
companies to put the brakes on capital
spending plans, confidence is growing
that Italian investment may be on the
cusp of a revival.
“We’re a grand example,” says
Massimo Scaccabarozzi, president of
Janssen Italy and Farmindustria, Italy’s
top pharmaceutical lobby group. “This
is a very important sign of recovery and
it should give a sense of stability to this
country.”
Any rebound in investment in Italy
this year would come from a very
depressed starting point. Italian gross
fixed capital formation (a common
measure of investment) is still close to
its lowest levels in nearly two decades,
though it increased very slightly, by 0.2
per cent, in the fourth quarter last year.
Investment levels in Italy are also
worse than in most of its peers. Accord-
ing to a Eurostat analysis, they fell from
a base of 100 in 2010 to 81 in 2014, while
they remained flat in France and
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40 per cent more than 10 years ago, and
an amount equivalent to the size of the
world economy. BlackRock, the biggest
fund, has $4.7tn under management.
Fund managers have filled the void
left by banks that have withdrawn from
several markets because of new capital
rules that make it more expensive to
keep large trading books.
In the US, the Volcker rule has made it
more difficult for banks to trade on their
own account, a practice known as
proprietary trading.
“The regulators are trying to make the
system safer. But the problem is that a
lot of the risk is just being moved
towards the asset managers from the
banks,” said Vincent Vinatier, portfolio
manager at Axa Investment Managers.
The IMF believes the risks for global
stability associated with the industry
Italy. Investment levels
increased in Germany, the UK and the
US over the same period.
But there is widespread hope that
things are changing. Plunging oil prices
have shrunk energy expenses, while the
launch of quantitative easing by the
European Central Bank has led to a fall
in the euro, boosting exporters and
promising to keep borrowing costs low
for some time.
The Italian government this week
said it expects growth in gross domestic
product — of 0.7 per cent — to occur in
2015 for the first time in three years.
Italian business confidence, a leading
indicator for new investments, hit its
highest level in seven years in March.
“The situation of companies is
improving,” says Paolo Mameli, a senior
economist at Intesa Sanpaolo. “This is
not a false signal. This time we are at a
turning point.” Still, there is plenty of
nervousness that, as in the past, a
pick-up in confidence will fail to trans-
late into concrete investment plans —
especially since the Italian economy
remains riddled with structural defi-
ciencies, from a byzantine justice sys-
tem to high levels of corruption.
A shudder was felt when industrial
production data for January showed a
drop that defied predictions of a
rebound. Most economists dismissed
the poor figures as the result of distort-
ing holidays at the beginning of the year,
and purchasing managers’ indexes of
industrial activity have since been
encouraging and rising.
But concern remains that once hard
data come through for the first quarter,
any optimism will dissipate. A small
increase in Italy’s jobless rate, to 12.7 per
cent in February after two consecutive
monthly declines, added to worries that
any rebound is likely to be weak. It is
mainly Italy’s big exporters that are able
to invest with confidence, while those
mostly dependent on weak domestic
demand, including the myriad small
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FINANCIAL TIMES
INTERNATIONAL
are on the rise. This is the result of struc- Morningstar, the investment researcher
tural changes in the financial system, as
well as of the prolonged period of low
interest rates in the world’s major econ-
and manager.
The IMF cautions that buying and
selling through funds can increase the
omies, which has sparked a hunt for
yield among investors and led funds to
probability of fire sales during a crisis,
which can produce knock-on destabilis-
load up on assets that are less easy to sell ing effects for other institutions. It also
in times of financial stress. warns asset managers can exacerbate
The fund is also concerned about the the volatility of international capital
move of mutual funds into bonds, where flows into and out of emerging markets.
“price disruptions . . . have potentially The fund dismisses the view that the
larger consequences than large price largest asset managers are necessarily
swings in equity markets”, it says. the most dangerous from the point of
Of the big asset management groups, view of financial stability.
Vanguard has more than doubled its Instead, it says regulators should
mutual fund bond holdings to $497bn focus on the specific activities and
today compared with $170bn in 2008. products sold by each player.
Pimco has increased its mutual fund The industry has traditionally
bond assets under management to enjoyed lighter-touch regulation than
$404bn from $210bn and BlackRock’s the banking sector, since asset manag-
are up to $139bn from $26bn, says ers let investors bear all the risks and
The long view
An aerial view of and medium-sized enterprises, remain
Milan. Italy has constrained.
said it expects “You have to invest in order to stay in
gross domestic the market: you can’t wait for revenues
product to grow to come back, you have to grab them,”
in 2015 for the says Amelia Feragnoli, a family-owned
first time in producer of ready-made salads and Investment
three years vegetables in Terracina, near Latina. climate warms
— Dreamstime The company experienced a drop in As Italy begins
to emerge from a
business during the recession, and Ms bruising triple-
Feragnoli says it lacked “the capacity to dip recession,
make large investments coming from there is hope
such difficult years”. She says demand companies will
has now stabilised and her goal now is to make new
build more greenhouses to cultivate the investments that
baby leaf salads that are among the fast- could trigger a
virtuous cycle in
est-growing segments of her business. the economy.
But Guido Tabellini, a professor of James Politi
economics at Bocconi University in reports
Milan, warns that “the parts of the econ- ft.com/videos
omy that are most exposed to exports
Asia. Policy makers’ dilemma
Indonesia’s weak currency puts balancing the books at risk
books. “We still have a problem with the
Central bank vows to defend current account deficit, so the central
rupiah after rate cut but low bank must be very prudent,” says David
Sumual, chief economist of Bank Cen-
reserves may bring problems tral Asia. “We are still too dependent on
portfolio investment.”
President Joko Widodo took office in
HARRY JACQUES — JAKARTA
JOSH NOBLE — HONG KONG October in time to see growth in 2014
slow to a five-year low of 5 per cent amid
As Asian nations navigate the risks and expectations of lower inflation and
opportunities presented by tumbling higher US interest rates.
energy prices and the rising US dollar, Indonesia’s central bank began the
policy makers across the region face a year indicating it was relaxed about tak-
delicate balancing act — none more so ing the rupiah into a controlled descent
than in Indonesia. against the dollar to reduce the coun-
Falling inflation has given a number try’s current account deficit, which was
of central banks the confidence to lower 2.95 per cent of gross domestic product
interest rates in an effort to spur growth. in 2014.
South Korea cut its benchmark rate to a Policy makers hope a lower rupiah
low of 1.75 per cent in March, joining can boost Indonesian exports and so
China, India and Thailand in Asia’s loos- trim the shortfall. But the speed of the
ening club. rupiah’s fall has surprised many, while
Bank Indonesia, the central bank, is in currency weakness across the region
a particularly tight bind. Its decision to has dulled its more positive effects.
cut rates in February has pushed the “Competing on price won’t get you
rupiah to its weakest since the Asian very far because other Asian economies
financial crisis, and has again exposed are playing the same game,” says
the risks of capital flight for an economy Wellian Wiranto, economist at Oversea-
reliant on foreign inflows to balance the Chinese Banking Corp. “They are all try-
typically avoid relying on short-term
funding, which can freeze during a cri-
sis. However, the report openly calls into
question the current regulatory set-up,
which the IMF believes “is not set up to
fully address risks, neither at the insti-
tutional nor systemic level”.
The fund calls on regulators to pro-
vide a clearer definition of “liquid
assets” and to give greater guidance over
how to match the liquidity profile of
each fund category with its redemption
policies. Watchdogs should also con-
sider redemption fees as an attempt to
limit fire sales during a crisis.
The IMF argues regulators should
copy the approach taken when super-
vising banks and introduce regular
stress tests for the industry — a step that
is being considered by the Securities and
Exchange Commission in the US.
Gross fixed capital
investment in Italy
€bn
95
90
85
80
75
70
65
1996 2000 05 10 14
European comparison
Gross fixed capital investment
(2000=100)
France 120
Germany
Italy
UK 110
100
90
80
2000 05 10 14
Sources: Thomson Reuters Datastream; Eurostat
suffered less during the downturn and
have been advantaged by the decline in
the euro. They are closest to investing or
already investing. But domestically
there is a lot of spare capacity, so it might
take a while for things to improve”.
Furthermore, some investments are
better than others, says Marcello Mes-
sori, a professor of economics at Luiss
University in Rome. Ideally, Italian
companies would put any excess cash
into high-tech upgrades, even at the
expense of low-skilled workers, he says,
adding: “We have to reboot productiv-
ity. The lack of productivity is the real
drama of this country.”
Back in Latina, Mr Scaccabarozzi
believes Janssen is doing just that.
“Often the Italian pharma industry is
criticised for producing old drugs,” he
says. “But that’s not the case here.”
ing to keep their currencies fairly weak.”
The central bank has been forced to
change tack, saying in March that it
would “beef up” efforts to defend the
rupiah and intervene in the market
when necessary.
For now, it has just enough firepower
to do so. Indonesia’s foreign reserves
stand at $115bn — at 13 per cent of gross
domestic product, the lowest in the
Association of Southeast Asian Nations
— but analysts say reserves can drop to
about $100bn before jitters set in. Any-
thing lower is likely to present a tough
choice for the authorities.
“If they have insufficient funds for the
Low point: the rupiah is at its
weakest since Asia’s financial crisis
Thursday 9 April 2015
Bank credibility
BoJ maintains
monetary
policy despite
missing
inflation target
ROBIN HARDING — TOKYO
The Bank of Japan has kept monetary
policy on hold even as its initial two-
year deadline for increasing inflation to
2 per cent passed with price rises stuck
at zero.
Speaking at a press conference after the
central bank’s regular policy meeting,
Haruhiko Kuroda, BoJ governor, said
public expectations of inflation were
holding up and that the bank was still on
course.
Mr Kuroda’s comments suggest the
BoJ is unlikely to ease further when it
updates its economic forecasts this
month. However, missing the two-year
timeframe is a threat to the BoJ’s credi-
bility, even if it is largely due to falling oil
prices. Many analysts think the central
bank will be forced to take further eas-
ing action this year.
The BoJ launched a massive monetary
stimulus on April 4 2013, promising to
double the country’s monetary base. It
then shocked financial markets last
October by accelerating the rate of pur-
chases to Y80tn a year.
The BoJ kept that purchase target
unchanged yesterday.
Mr Kuroda said he does not now see
the kind of risks that prompted the
expansion of the programme last Octo-
ber. “Back then, there had been a pro-
longed effect from the tax hike, and con-
sumption has been quite weak in part
due to poor weather. Consumer infla-
Video: Working hours cut
Japan is aiming to reduce the
long working hours that have
become a hallmark of the
country’s work ethic. Lindsay
Whipp talks to Michael
Skapinker about the likely
impact of the drive
www.ft.com/videos
tion was weakening every month due to
slumping oil prices,” he said.
“When you look at conditions now,
inflation expectations have held up,
with some indicators showing them
strengthening. For now, the risks we saw
back in October last year have sub-
sided.”
When Mr Kuroda launched the pro-
gramme two years ago, he pledged to hit
a 2 per cent inflation target “at the earli-
est possible time, with a time horizon of
about two years”. Yesterday, he insisted
that nothing had changed, and the BoJ
was ready to act “without hesitation” if
necessary to hit the target.
The BoJ policy board voted to keep
policy on hold by a majority of 8-1 but
Takahide Kiuchi, the lone dissenter,
toughened his objection to call for a
taper of BoJ asset purchases.
Whereas previously Mr Kiuchi called
for fixing a two-year limit on asset pur-
chases, he now said the 2 per cent goal
should be made a medium to long-term
objective and called for an immediate
reduction in the pace of purchases to
Y45tn a month.
Mr Kiuchi’s dissent shows the contin-
uing doubts of some BoJ officials about
the aggressive easing. However, a firm
majority of the policy board support Mr
Kuroda, and the government of Shinzo
Abe is likely to appoint new members to
ensure that BoJ policy stays easy.
David Pilling page 9
current account, then they will have to
decide whether they want to support
the currency or do something else,” says
Irene Cheung, Asia foreign exchange
strategist at ANZ Bank.
“If the currency comes under pres-
sure they will either have to support the
currency by official intervention or they
will have to let the currency go.”
There has been some movement in
the right direction. The government
announced a package of measures in
March designed to boost foreign
exchange receipts, including anti-
dumping measures and tax breaks for
investors that reinvest dividends in the
country.
Indonesia also reported small trade
surpluses in January and February. But
economists warn that this could come
under pressure in the second half of the
year as planned infrastructure spending
drives up imports of machinery and
equipment — just as the US Federal
Reserve is expected to begin tightening.
“The market has dialled down the
expectation of a Fed rate hike, but none-
theless it is probably the biggest risk this
year,” says Mr Wiranto.
Thursday 9 April 2015
Diplomatic visit
Reassurances as
Greece revives
ties with Russia
Putin and Tsipras look
to cement bargaining
positions against Brussels
KATHRIN HILLE — MOSCOW
Russian president Vladimir Putin and
Greek prime minister Alexis Tsipras
have made a pledge to “restart and
revive” bilateral relations in a meeting
aimed at boosting each other’s political
bargaining chips in their confrontations
with the EU.
While Mr Tsipras trumpeted his
country’s right to engage with Russia
despite misgivings from other EU mem-
ber countries while Moscow is locked in
a tense stand-off with the west, Mr Putin
dangled the prospect of Russian invest-
ment in cash-strapped Greece but said
he had no intention of dividing the EU.
Mr Tsipras’s visit, just a day before
Greece is due to make a €450m pay-
ment to the International Monetary
Fund, and his criticism of EU sanctions
against Russia, had triggered specula-
tion that Moscow could help bail out
Athens in exchange for support in
blocking an extension of anti-Russian
sanctions.
But while the Greek prime minister
repeated his criticism of sanctions, he
also appeared to reassure fellow EU
members over fears that Greece could
break ranks. He said that while Greece
was seeking to build “relations of confi-
dence and trust with the Russian Feder-
ation”, it remained an EU member and
was “complying with all the commit-
ments we have made to the EU”.
Mr Putin also dismissed the idea that
Russia would prop up Athens with cash
in its fight with EU creditors. “The
Greek side did not ask us for help,” he
said.
He also rejected the notion, advanced
by some European officials, of using
Greece as a Trojan horse in the EU. “We
Future of the euro. Risks to EU project
Southern members
sanguine over Grexit
TONY BARBER
Policy makers in Italy, Portugal and
Spain say their economies and financial
systems are strong enough to survive a
Greek departure from the eurozone, but
they acknowledge that Grexit might set
a precedent replete with risks for
Europe’s 60-year-old integration
project.
Government officials and independ-
ent analysts in Lisbon, Madrid and
Rome say a chaotic Greek abandonment
of the euro would serve as a cautionary
shock and probably weaken anti-euro
political forces in countries exposed to
possible contagion from Greece.
According to José Ignacio Torreblanca
of the European Council on Foreign
Relations think-tank, a Grexit would not
be good for Podemos, Spain’s new radi-
cal leftist party.
“I’m not saying this would destroy
Podemos, but it would possibly spoil
their plans to be the main force of the
left,” he said. This explains why the
party is already distancing itself from
Syriza, the governing Greek party that is
in some respects its ideological sister
movement, he added.
On the other hand, a Grexit that was
carefully managed and led to economic
recovery in Greece, albeit after five to 10
years, might strengthen populist parties
such as Italy’s Northern League and
Five-Star Movement.
The lessons to be drawn from Grexit
would also depend on whether Greece
was able to keep its EU membership,
whether its democratic institutions and
the rule of law remained intact, whether
it aligned itself more closely with Russia
or other powers, and whether there
were dangerous consequences for
regional security in southeast Europe.
For government officials and foreign
policy analysts in Rome, one big con-
cern is that a Greek departure would
weaken the push for a deeper political
union that Italy has always supported.
For a Greek exit would not only show,
for the first time since the 1950s, that
European integration can break down
and even go into reverse. It would also
damage the EU’s image as a club that
always looks after its weaker member
states — no small matter for the 18 EU
members that have smaller populations
than Greece’s 10.8m.
Cyprus, Ireland, Portugal and Spain
★ FINANCIAL TIMES 3
EUROZONE FEARS
are not going to use anything within the
EU to solve the problem of improving
our relations with the EU as a whole,” Mr
Putin said. “The best solution for all
would be to stop the sanctions war.”
Observers said it was impossible to
gauge whether there was a behind-the-
scenes deal. But Russian politicians and
analysts acknowledge that finding like-
minded allies in Europe is a key foreign
policy task for Moscow.
“In fact, it is by far not just Greece,
Hungary and the Czech Republic that
are opposed to sanctions,” said Alexei
Martynov, a political scientist in Mos-
cow. “A large number of politicians from
other EU states think the same, but they
only dare say that in the corridors, not
publicly.”
Mr Putin said he and Mr Tsipras had
discussed potential new projects in
energy such as extending the planned Hand of friendship: Vladimir Putin, right, greets Alexis Tsipras during the Greek prime minister’s visit to the Kremlin yesterday — Alexander Zemlianichenko/AP
Turkish Stream gas pipeline from Rus-
sia to Turkey into the EU via Greece.
Mr Putin said this would allow Russia
to grant loans for related projects, and
income from such projects could even-
tually help Greece pay back debt.
Mr Tsipras said his country was ready
to “build a Greek pipeline for natural gas
from the Turkish-Greek border”. Both
leaders said this would create chances
for further investment and the creation
of jobs in Greece. However, they said
any detail was yet to be worked out.
Mr Putin dashed hopes of an exemp-
tion for Greece from Russia’s import ban
on western agricultural products and
foodstuffs. “We cannot make an excep-
tion for any country,” he said.
However, according to the Russian
president, the governments agreed on
joint investments in agro-industry and
food production in Russia, which he said
would help Greece find its way back into
the Russian market.
Mr Tsipras is scheduled to speak at
Moscow State University today.
Dose of sanity page 9
each followed Greece in requiring emer-
gency rescues between 2010 and 2013.
But, with the partial exception of
Cyprus, each has emerged from its crisis
with healthier public finances, more sta-
ble banks and better growth prospects.
The European Central Bank’s evolu-
tion in 2012 into a more credible “lender
of last resort”, willing to buy govern-
ment bonds in order to protect the euro-
zone’s unity, and the ECB’s current
quantitative easing programme have
increased the confidence of southern
European governments in their ability
to ride out storms originating in Greece.
Rui Machete, Portugal’s foreign min-
ister, said recently that a Greek exit
from the eurozone would be “worrying”
but “not tragic for Portugal”.
But Portugal’s public debt peaked last
year at 130 per cent of gross domestic
product, and combined corporate and
household debt is even higher. Moody’s,
Officials in Lisbon, Madrid
and Rome say a chaotic
exit by Athens would
serve as cautionary shock
the credit rating agency, said last week
that “Portugal’s external vulnerability
remains high, given its high external
debt levels, and the country would be
susceptible” if investor confidence took
a hit from a Greek exit.
Officials in Lisbon, Madrid and Rome
point to their countries’ very low gov-
ernment bond yields as proof that there
is no threat on the horizon. “The EU is
much more solid than it was in 2011 and
2012,” one Italian official said.
However, such confidence begs the
question of how solid the eurozone will
look once the ECB withdraws its excep-
tional support measures — as is likely
after two years or so — and in the event
of a 2008-style financial maelstrom.
Valéry Giscard d’Estaing, the former
French president, has called for “a
friendly exit” for Greece. “It is absurd to
say this would be a failure of Europe.
Greece still has its place in the EU. By
leaving the euro, it would only be joining
countries . . . which haven’t adopted it,”
he told the newspaper Les Echos.
Additional reporting by Thomas Hale in
Madrid, James Politi in Rome and Peter
Wise in Lisbon
4 ★
France
Le Pen in move to oust father from party
National Front founder
told candidacy will be
opposed in regional vote
MICHAEL STOTHARD — PARIS
Marine Le Pen has taken steps to oust
her father Jean-Marie from the party he
founded, as the head of France’s far-
right National Front attempts to sanitise
the party ahead of the next election.
In a deepening of the family drama,
Ms Le Pen said that she would oppose
her father’s candidature at regional
elections this year following a string of
controversial comments made by the
86-year-old.
Jean-Marie Le Pen last week defended
a past comment that Nazi gas chambers
Jordan’s economy feels the strain as war
forces closure of last crossing to Syria
Looting of free zone adds to
growing burden on a country
already hosting 1m refugees
JOHN REED — JABER
The four-lane highway from Amman to
Damascus, which was still open to traffic
until last week, now ends abruptly at the
Jordanian border, where a closed gate
and wary policemen wait. “GOD BYE”
reads the sign hanging above it, which
some time ago lost one of its “O”s.
Jordan has sealed the last official
crossing on its 375km border with Syria
at Jaber after Free Syrian Army rebels
seized the border post at Nasib, on the
Syrian side, from government forces. It
is now shut until further notice, high-
lighting the impoverished and war-bur-
dened monarchy’s vulnerability to the
four-year-old Syrian war.
The closing of the border post —
which was followed by the looting by
Syrian villagers of a Jordanian-Syrian
duty-free zone at the border — comes at
a time when the Jordanian economy is
already straining from hosting more
than 1m Syrians who have fled the con-
flict, the costs of which are only partly
covered by foreign aid.
“Trucks are stopped at the border
and . . . the Jordanian economy loses
every day,” says Nabeel Romman, presi-
dent of the Jordan Free Zones Investors
Commission. “We are in a closed circle:
look at all our neighbours — all the bor-
ders have a bad situation, and when you
close the borders, you spoil the econ-
omy.”
Last week, after the FSA seized Nasib,
looters from nearby Syrian villages
swarmed on foot, by bicycle or by car
into the free zone, which straddles the
two countries’ border, and seized food,
computers, cash and about 350 new
cars. Jordanian businesses estimate
they lost $100m worth of property.
“They didn’t leave a forklift, a winch
or a bulldozer — they took everything,”
says Maher al-Souri, who with his
brother Khaled owns a company that
was pillaged. Khaled flips on his iPhone
through photographs of their ransacked
family business: rooms strewn with doc-
uments, upturned furniture, missing
windows and a ripped-out chandelier.
The fallout from the border closure
has dominated news headlines in Jor-
dan. On Monday, Gen Mashal al-Zaben,
the chairman of Jordan’s joint chiefs of
staff, visited the area and ordered army
units deployed there to be “strict and
defensive in the face of any attempts to
violate the kingdom’s sovereignty”.
With trucks trapped inside both Jor-
dan and Syria, companies are now
pressing the Jordanian and Syrian gov-
ernments for compensation. Jordan’s
Environment
Beijing vetoes $3.75bn dam project on the Yangtze river in rare victory for green campaigners
LUCY HORNBY — BEIJING
China’s environment ministry has
blocked a $3.75bn dam project that
would have flooded the last free-
flowing section of the middle reaches of
the Yangtze river, in a rare victory for
environmentalists.
Upriver from the inland port city of
Chongqing, the Xiaonanhai dam has
been a rallying cause for Chinese
environmentalists since now-disgraced
politician Bo Xilai redrew the bounda-
ries of a nature reserve to allow its con-
struction.
The segment of waterway to be
were “a detail” of history and was
quoted on Tuesday as calling France’s
Spanish-born prime minister Manuel
Valls “the immigrant”.
Speaking to the rightwing publication
Rivarol, he also this week defended
Philippe Petain, leader of the wartime
government that co-operated with Nazi
Germany, saying the postwar French
government was “too harsh” with him.
In a statement yesterday, Ms Le Pen,
who has run the party since 2011, said:
“Jean-Marie Le Pen seems to have
descended into a strategy somewhere
between scorched earth and political
suicide.
“His status as honorary president
does not give him the right to hijack the
National Front with vulgar provoca-
tions seemingly designed to damage me
Middle East. Trade routes
Triumphant: rebel fighters pose at Syria’s Nasib border post after capturing it from government forces, while the
Jaber crossing on the other side of the border in Jordan, below, has been closed — Muhammad Hamed/Reuters
TU R K E Y
CYPRUS Tartus
SYRIA
LE BA NON
Mediterranean Damascus
Sea
Haifa
Nasib
Jaber
Amman SAUD I
ISRAEL A RA BI A
JORDAN
E GY PT
Aqaba
100km
flooded — theoretically protected since
the national nature reserve was estab-
lished in 2000 — was the final remaining
spawning ground for many native river
fish. China has seen a decline in its fish
species as rampant dam construction
has turned its rivers into “cascades”, or
stagnant reservoirs.
“We environmental NGOs have
worked on this for six years. We really
welcome the news,” said Zhang Boju
of non-governmental organisation
Friends of Nature, who led the cam-
paign against the dam.
He noted that the prohibition came in
spite of the construction of roads and
FINANCIAL TIMES
INTERNATIONAL
but which unfortunately hit the whole
movement.”
She added that she had informed her
father that he would not have the party’s
support in France’s regional elections in
December, where he was to stand for
leadership of the Provence-Alpes-Côte
d’Azur region.
Florian Philippot, the National
Front’s vice-president, said in a tweet:
“The political split with Jean-Marie Le
Pen is now complete and definite. Under
‘He seems to have fallen
into a strategy somewhere
between scorched earth
and political suicide’
preliminary structures for the dam, a
tactic which is often used to pressure
regulators into approving such struc-
tures. “But we are still worried,” added
Mr Zhang. “It is hard to say whether this
is a one-off victory or a symbol of things
to come.”
The decision comes as powerful state-
owned dam-builders lobby for more
projects to be included in next year’s
five-year plan for the economy, which
environmentalists fear could eliminate
the few remaining sections of China’s
rivers that are not yet dammed.
The ban on further construction of
the Xiaonanhai dam was not announced
Marine Le Pen’s guidance, decisions will
be taken swiftly.”
Since taking over the party Ms Le Pen
has sought to shed its racist and anti-
Semitic image and bring it into the polit-
ical mainstream, focusing more on eco-
nomic issues such as nationalising
banks and bringing back the franc.
“I’m not here to run a boutique. I’m
here to reach power and to return it to
the French people,” she said in an inter-
view with the Financial Times last
month. “That’s my role.”
Ultimately, quitting the euro is the
only solution for France’s economic
malaise, she said. “We are told it’s going
to be catastrophic, that it will rain frogs,
that the Seine will turn into a river of
blood,” she said. “There aren’t that
many practical problems.”
400km
The party won first place in last year’s
European elections in France, the
party’s biggest victory since it was
founded in 1972. It also won a quarter of
the votes in the first round of local elec-
tion polls last month, coming second.
“The French need new people who
break free from bad habits. We are in a
system that is a little rotten. We need a
fresh pair of eyes,” she said in the inter-
view.
Polls suggest that the anti-immigrant
party could make it into the second-
round run-off of a presidential election
in 2017 but is unlikely to win.
Ms Le Pen last year began to distance
herself from her father after remarks on
his online blog about a Jewish singer that
appeared to invoke the gas chambers of
Nazi concentration camps.
interior ministry has established a com-
mittee to assess the losses, although
Mohammed al-Momani, Jordan’s infor-
mation minister, says the task will be
difficult because so much paperwork
was lost. Jordan, which has taken pains
to remain neutral in the Syrian conflict,
did not intervene to stop the looting,
angering merchants.
“The problem for us is that it’s a free
zone, and two-thirds of it is inside
Syria,” says Mr Momani. “It was prob-
lematic for us to do anything from a
security perspective.”
Jordan closed its other border cross-
ing with Syria at Ramtha in the north-
west in 2011, a few months after the
uprising against Bashar al-Assad’s
regime began. Refugees are still crossing
into Jordan via humanitarian border
crossings, and aid is entering Syria
through Jordan via Ramtha under the
auspices of the UN.
While trade with Jordan’s northern
neighbour has dwindled since the war
began, traders in both countries and
Lebanon still use ports in Lebanon and
Syria’s Tartus, then the overland route
to import cars, food and other goods
from Syria to Jordan and farther on to
Gulf countries. Up until last week the
Souri family, whose business was looted,
were shipping goods such as marble,
iron and charcoal through Tartus. The
Jordanian-Syrian free zone turned over
about $500m of goods last year, down
from $1.4bn a year before the war
began, according to Mr Romman.
With the Syrian land route now
closed, the alternatives already in use by
traders — both in Jordan and neighbour-
ing Arab countries — are slow and
expensive. Jordanian importers can also
bring goods via sea through Haifa in
Israel — or on the long journey through
the Suez Canal to the Red Sea port of
Aqaba — but both routes take longer
and cost much more than shipping over-
land through Syria.
On Jordan’s eastern border, truckers
crossing through Iraq are required to
pay levies to transit the Islamic State
“caliphate”. Some shipments of high-
value goods such as cars that used to
cross Jordan are now taking the sea
route too, via Suez, to Basra in Iraq.
A Syrian trucker, who was stranded on
the Jordanian side of the border when
last week’s battle began, was bringing
biscuits into Jordan and preparing to
take cardboard boxes back. He says he
heard bombing from government
planes, but regime forces surrendered
theborderpostwith“barelyanyfight”.
The man, from Damascus and who
declined to give his name, was brewing
tea under his truck a few hundred
metres from the post, which he was con-
fident would reopen. “I am going to stay
put. Everything has to stay here until
they open up — they have to open.”
formally, but slipped into the approval
documents for a different dam. A letter
from the ministry of environmental
protection to Chinese hydropower
developer Three Gorges Corp instead
authorised the Wudongde dam, further
upstream on the Yangtze’s Jinsha river
tributary. Construction of the
Wudongde dam began last year.
“The project will lead to major
changes to the water environment and
water ecology as well as the land ecol-
ogy, causing [an] irreversible impact,”
the ministry’s letter said, calling for mit-
igating measures.
“The construction of the Wudongde
Thursday 9 April 2015
Yemen conflict
Iran deploys
navy in
‘anti-piracy’
measure
SIMEON KERR — DUBAI
Iran has deployed naval vessels to
waters near Yemen in a signal of
increasing external involvement after
almost two weeks of Saudi-led air
strikes against rebel Shia Houthi forces
loosely allied to the Islamic republic.
Two ships are being deployed as part of
“anti-piracy efforts” in the strategic
trade routes that connect the Indian
Ocean to the Red Sea, according to Iran’s
English-language broadcaster Press TV.
The channel reported Iran’s Rear
Admiral Habibollah Sayyari saying that
the vessels would be “safeguarding
naval routes for vessels in the region”.
The Iranian move comes after the US
this week pledged to increase provision
of arms and intelligence to the Saudi-led
coalition that has for two weeks been
bombarding Houthi targets across the
country and airlifting weapons to fight-
ers loyal to Yemen’s president, Abd-
Rabbu Hadi, who has fled the country.
The naval deployment highlights the
rising tensions surrounding the worsen-
ing conflict in Yemen after Sunni states
led by Saudi Arabia launched an air
campaign against the Zaydi Shia
Houthis.
Riyadh and its Gulf allies say Yemen is
the latest example of Tehran expanding
its influence through proxies across the
Arab world.
Iran has denied it is providing mili-
tary aid to Houthi forces, whose rapid
advance through the country since last
year has been propelled by an alliance
with former Yemeni president, Ali
Abdullah Saleh, who retains extensive
influence through the armed forces.
Riyadh and its Gulf allies
say Yemen is the latest
example of Tehran
expanding its influence
Iran’s deputy foreign minister on
Wednesday reiterated calls for a cease-
fire, saying Tehran would help the for-
mation of a government of national
unity in the country.
The regional proxy conflict in Yemen
comes against the backdrop of a provi-
sional agreement between western pow-
ers and Iran to limit the Islamic repub-
lic’s nuclear development.
Gulf states have given cautious back-
ing to the deal, agreed in Switzerland
last week, while condemning what they
regard as Iranian interference in the
Yemeni conflict.
Fierce fighting continues in the south-
ern port city of Aden, which overlooks
the waters where Iran is deploying its
vessels. Houthi-allied forces, using
tanks, artillery and armoured vehicles,
have been engaging in fierce street-to-
street combat over the past few days
with units loyal to the president.
Agencies say more than 500 people
have been killed, including 74 children,
and 100,000 displaced since Saudi-led
air strikes began.
Aid shipments have started to reach
Aden, where hospitals are struggling to
cope with casualties, water is scarce and
the cost of staple goods is soaring.
Yemen is in chaos since the overthrow
of Mr Saleh in the 2011 Arab uprisings.
Houthi forces burst out of their north-
ern enclave in 2013, before taking the
capital last September, triggering the
events that led to regional intervention.
Smoke rises above Sana’a after an
airstrike by Saudi-led forces
dam will change the hydrology condi-
tions of its downstream sections, block-
ing migration of fish and exacerbate the
risk of extinction of the coreius guichenoti
[a type of gudgeon that lives in rapidly
flowing fresh water] and other rare fish
in the upper stream of the Yangtze.”
The ministry declined to comment.
Three Gorges Corp could not be reached
for comment.
The nature reserve was already much
diminished in 2010 when Bo, then party
secretary of Chongqing, redrew its
boundaries so that the Xiaonanhai dam
could go ahead.
Additional reporting by Owen Guo
Thursday 9 April 2015 ★ FINANCIAL TIMES 5

INTERNATIONAL

Levy avoidance Epidemic battle

Australia warned Big effort

bears fruit

against Google ‘The fewer

cases you

tax clampdown
have, the
harder it is to
find them’

Internet group suggests
companies would face
equivalent rules abroad
JAMIE SMYTH — SYDNEY
Google has warned Australia that its big-
gest companies could be exposed
to retaliatory rules abroad if it follows
the UK in cracking down on multina-
tional tax avoidance.
The search engine company made the
warning yesterday at a parliamentary
hearing on corporate tax avoidance,
which was told that Google, Apple and
‘You don’t
Group of 20 industrialised nations to
need a
promote a plan by the Organisation for
Economic Co-operation and Develop- massive
ment to update global tax rules. It is part change of
of an international project involving six
countries investigating how digital mul- behaviour to
tinationals shift their profits to tax make a big
havens. difference’
Joe Hockey, Australia’s treasurer, is
considering whether to follow the UK
and introduce a “diverted profits tax”, Sierra Leone
also known as the Google tax, in his May health officials
budget. He has consulted George check travellers
Osborne, the UK chancellor, about the at the border
25 per cent levy on companies that arti- with Liberia
ficially divert profits generated in Brit- Zoom Dosso/AFP

Microsoft were among a dozen global ain to lower-tax locations.

technology companies under scrutiny.
Google Australia said: “It is tempting
for every government to assume that
they will benefit from changes to inter-
national tax structures; however, any
new rules in Australia would have a sim-
ilar impact on Australian multination-
als operating in overseas jurisdictions.”
Maile Carnegie, Google Australia’s
managing director, told the Senate hear-
ing that international co-operation was
the best way to tackle the issue.
She cited the case of Rio Tinto, the
miner,whichmakesone-thirdofitssales
in China but pays less than 1 per cent of
its corporate taxes in that country. Ms
Carnegie said this reflected the fact that
Rio’s Australian headquarters provided
most of the investment and carried most
of the risk. It was also why Google paid
most of itstaxesintheUS,she said.
The Senate inquiry is the latest in a
string of legislative hearings in the US,
UK and elsewhere in response to public
anger at tax avoidance strategies used
by multinationals at a time when
national budgets are stretched.
Australia, which has a corporate tax
rate of 30 per cent, is at the forefront of
global efforts to combat tax avoidance.
Last year, it used its presidency of the
Any retaliatory action on companies
such as Rio could be detrimental for
Australia. Last year, Rio paid
US$5.6bn in taxes and royalties to Can-
berra from US$47.7bn.
Chris Jordan, Australia’s tax commis-
sioner, told the hearing the best long-
term solution would be an international
tax framework. He said new rules could
prompt companies to change their
behaviour, suggesting that a diverted
profits tax may have some merit.
At the hearing, senators said Google,
Apple and Microsoft had set up complex
corporate structures designed to mini-
mise their corporate tax bills in Aus-
tralia. The senators pointed out that
Google’s advertising revenue generated
in Australia was taxed in Singapore,
which has a lower corporate tax rate.
The Australian Tax Office said it was
investigating 15 companies with mar-
keting hubs in Singapore over alleged
tax avoidance. But it has refused to
name the companies, citing taxpayer
confidentiality.
Rio, named in Australian media as
one of the 15, said its Singapore Com-
mercial Centre entity was not estab-
lished to reduce tax payable in Australia
or any other country.
UN envoy upbeat on progress against Ebola in west Africa
ANDREW WARD — LONDON
An end to Ebola is within sight in
Liberia and Sierra Leone but the out-
break remains volatile in Guinea and
all three countries face more hard work
before the crisis is extinguished.
That is the verdict of David Nabarro, the
UN special envoy on Ebola, who is
“upbeat” about progress but not yet
ready to declare victory over an epi-
demic that has killed more than 10,000
people in the past year in west Africa.
“People think that as we get towards
the end it gets easier,” he told the Finan-
cial Times. “It doesn’t. It gets harder the
closer you get to zero. The fewer cases
you have, the harder it is to find them.”
Liberia appears closest to ending its
Ebola nightmare having not recorded a
new case since the last died on March 27.
It is now counting down the 42 days it
must wait to be declared free of Ebola by
the World Health Organisation.
This marks a turnround from last
September, when the government
warned that its “national existence” was
under threat, as Ebola spread at a rate of
up to 400 new cases a week through
Monrovia, the capital, and beyond.
“Liberians came to understand what
aspects of their behaviour were leading
to infection and communities changed
their behaviour quite quickly,” said Dr
Nabarro, a British medic, citing factors
such as basic hygiene and more careful
handling of infected bodies. “They have
shown you don’t need a massive change
of behaviour to make a big difference.”
Sierra Leone saw its epidemic peak
later in the year when it reached Free-
town, the capital, but it, too, now
appears to be bringing the virus under
control. New cases have been on a
downward trajectory for the past
month, with just 25 in the week to
March 29, compared to a weekly peak of
more than 500 in November.
“The Sierra Leonean president has
really stepped up,” said Dr Nabarro,
referring to a three-day lockdown last
week ordered by President Ernest Bai
Koroma, when the country’s 6m resi-
dents were told to stay home while
health workers went door to door look-
ing for undetected cases.
Having raged widely across the three
countries, the remaining Ebola hotspots
are concentrated in northwest Sierra
Leone and the west coast of Guinea.
While Sierra Leone appears to be pin-
David Nabarro:
impressed by
Sierra Leone,
which ordered
a three-day
lockdown
ning down the virus, the situation across
the border is more mixed.
Guinea has had fewer cases overall
than either of its neighbours — about
3,500 compared with 9,700 in Liberia
and 12,000 in Sierra Leone — despite it
having been the first country hit by the
outbreak early last year. Yet Guinea
seems to be finding it harder to extin-
guish its slower-burning epidemic, with
57 cases in the past week and no clear
downward trend.
Dr Nabarro said there was greater
mistrust of government and health
workers in Guinea, making engagement
more difficult. But he reported signs of
this changing after attending a meeting
in the country last week where leaders
of different religious and political fac-
tions agreed to work together.
Eradication could be helped by two
vaccines being rushed through trials by
GlaxoSmithKline and Merck, with the
help of the World Health Organisation
and the US National Institutes of Health
and others. A third, from Johnson &
Johnson, entered initial trials recently.
Dr Nabarro said the benefits of these
vaccines would not be fully tested until
future outbreaks.
“We will be ready next time to start
production and carry out further trials
at a push of a button rather than having
to invent a response in the heat of a cri-
sis, as we did this time,” he said.

Garissa massacre. Al-Shabaab

Grieving Kenya confronts

militant threat closer to home
Public support for retaliation
is waning as concern over
domestic radicalisation grows
KATRINA MANSON — NAIROBI
At a mortuary in Nairobi, the families of
the victims of last week’s terror attack
on Garissa university are still waiting for
the dead to be identified.
Some sobbed as they entered the
gates, gospel tunes playing under a
makeshift tent, and said Kenya should
end its military involvement against
al-Shabaab militants in neighbouring
Somalia.
“They should withdraw so we can
look for peace,” said John Mika Okodoi,
62, a farmer, whose son Obeddy, 22,
was killed in the April 2 attack. The
body of the student teacher was still due
to be identified by fingerprints, six days
after his murder.
“If they don’t withdraw then [al-
Shabaab] will be coming [to attack]
here; we will be going [to attack] there;
they will be coming [to attack] here —
this kind of revenge might persist for a
very long time,” said Mr Okodoi.
Last Thursday, al-Shabaab militants
shot their way into a university in the
remote northeast, targeting Christians
and leaving 148 dead in the worst act of
terrorism in east Africa’s largest econ-
omy in almost two decades.
The Islamist jihadi group, which rose
to prominence in Somalia in the mid-
2000s and later allied to al-Qaeda,
claims it targets Kenya because of its
decision to invade in 2011. Following the
attack on Garissa University College —
the latest in a series of massacres that
have killed 400 people in Kenya over
the past two years — al-Shabaab prom-
ised to turn Kenyan cities “red with
blood”.
Uhuru Kenyatta, Kenya’s president,
this week sent planes to bomb al-
Shabaab training grounds in Somalia
but even as he vowed to “respond in the
severest ways possible”, public support
for retaliation was waning. Raila
Odinga, the opposition leader who
backed the invasion when he was prime
minister, is calling for a Kenyan with-
drawal to safeguard lives.
In the years since Kenya first invaded
Somalia, the terrorism threat has
shifted closer to home. Authorities are
hunting Mohamed Mohamud, a former
teacher from Garissa, whom they allege
masterminded the university attack.
‘We are trying to educate
[Muslim] youth that
these attacks are not
the way to protect Islam’
Five others — four Kenyans and a Tan-
zanian — have been arrested in connec-
tion with the attack. One attacker who
was killed is said to have been a Kenyan
who had studied law in Nairobi before
his father, a government official,
reported him missing last year.
In a speech to the nation, Mr Kenyatta
appeared to address the problem for the
first time. Kenya, he said, must find
ways to confront homegrown terrorism.
Domestic radicalisation was conducted
“in the full glare of day, in madrassas, in
homes and in mosques with rogue
imams”, he said. The planners and fin-
anciers of the attack “are deeply embed-
ded in our communities”.
Experts say hundreds of Kenyans who
have fought with al-Shabaab in Somalia
in recent years have returned home as
the group has ceded territory to African
forces including Kenya.
Community leaders say Kenyan
authorities regularly pursue indiscrimi-
nate crackdowns against thousands of
ethnic Somali Kenyans, pushing some
disaffected Muslim youth towards al-
Shabaab.
Salim Ghalgan, chairman of the Mus-
lim Education and Welfare Association
in Mombasa, said: “Indeed Muslims feel
marginalised. This government has to
change the way it handles [Muslims],
with security efforts backfiring.
“We are trying to educate [Muslim]
youth that these attacks [such as Gar-
issa] are not the way to protect Islam.
You cannot justify killing your own
brothers and sisters, but imagine the
feeling this sort of discrimination leaves
behind in people.”
Mr Kenyatta denies that Kenya has
marginalised and oppressed Muslim
youth. The government was focused on
delivering infrastructure and invest-
ment to under-developed areas, he said.
But Hassan Omar, a Muslim opposi-
tion senator and human rights cam-
paigner, said historic and continuing
abuses amounted to the “collective pun-
ishment” of Kenyan Muslims.
“He [ Kenyatta] is burying his head in
the sand,” said Mr Omar. “Radicalisa-
tion here has gone from bad to worse
and the government is the one that is
leading to this whole radicalisation issue
on the basis they do not have a compre-
hensive strategy.”
For the bereaved, it is all too late. “Pol-
iticians cheated — they say there is secu-
rity when there isn’t. Nobody would
send their child to northeastern [prov-
ince] now,” said Mr Okodoi. “What are
we going to do? Security for Kenya
means more than a fence. We have to get
communities talking.”

Bereaved: a young woman mourns a victim of the Garissa attack — Dai Kurokawa/EPA 200km
6 ★ FINANCIAL TIMES Thursday 9 April 2015
Thursday 9 April 2015
Beijing’s double-digit increases in defence spending have alarmed neighbours and prompted the question
of whether it is becoming ‘militarised’. But budgets and troop levels only tell half the story of its strategy.
C
hina’s military made history
practically every day last
week. On Thursday it was
the Lin Yi, a guided missile
frigate, which spent 75 min-
utes moored in war-torn Yemen’s port of
Aden before setting off to Djibouti with
225 evacuees.
Billed by Beijing as the navy’s first
international maritime rescue evacua-
tion, the mission helps show the rising
ambitions of the People’s Liberation
Army.
A few days earlier, state television
showed a satellite photo of three subma-
rines anchored at a top-secret base on
China’s southern island of Hainan. The
report identified them as the navy’s
most advanced Type-093G nuclear
powered attack submarines, which
experts say will start China’s first patrol
by nuclear powered subs later this year.
And to top off a busy week, Pakistan
agreed “in principle” to buy eight Chi-
nese submarines in a deal that could be
worth up to $5bn — the most lucrative
Chinese arms contract ever.
China also announced last month that
it is building a second aircraft carrier
and that its defence spending would rise
this year by 10.1 per cent, marking 27
years of double-digit or near double-
digit increases. Over the past five years,
China’s arms exports have grown by 143
per cent, making it the world’s third-
largest arms trader, according to a new
study by the Stockholm International
Peace Research Institute (Sipri).
Is China militarising? Or simply build-
ing up its military? The distinction is
more than semantic. Militarising is
what countries do when they intend to
use their military, and is measured not
just in ships and tanks, but also in
behaviour. China’s neighbours, such as
Taiwan, Japan, Vietnam and the Philip-
pines, are becoming skittish about Bei-
jing beefing up its hold over disputed
islands. Admiral Harry Harris, com-
mander of the US Pacific Fleet, has lik-
ened this to the creation of “a Great Wall
of sand”, referring to a large-scale
dredging operation to create land on iso-
lated reefs for ports, barracks and even
air strips.
Beijing’s rapid spending increases and
stubborn defence of its maritime claims,
including an area of ocean sticking out
into the South China Sea called the “nine
dash line” and over islands in the East
China Sea disputed with Japan, threaten
to ignite an arms race across Asia.
Largely due to China’s build-up, Japan
has begun to debate the merits of its pac-
ifist postwar constitution.
“If you look at China from a military
perspective, their defence expenditure
has been increasing for 27 consecutive
years at the rate of nearly double digits
every year and, right now, China’s
defence budget is 3.6 times larger than
the defence budget of Japan,” Japanese
Prime Minister Shinzo Abe told the
Financial Times last month.
International focus
Beijing has been taking on international
commitments, starting with a mission
in 2008 to deploy its navy off the east
coast of Africa to combat piracy, the first
time the navy has deployed that far in
600 years. Last year a Chinese frigate
helped to escort an international convoy
carrying Syria’s chemical weapons
stockpile out of the country, while Chi-
nese submarines took their first known
voyages into the Indian Ocean, with one
sub docking twice in Sri Lanka.
There have also been episodes of
sabre-rattling. On the eve of a visit to
New Delhi by Chinese President Xi Jin-
ping last September, Chinese forces
moved closer to India along a disputed
border in the Himalayas, though it is
still not clear whether this was the result
of a Chinese provocation or more
aggressively patrolling by Indian troops.
In November 2013, Beijing’s defence
ministry announced an “air defence
identification zone”, which requires all
aircraft travelling through it to identify
themselves and covers islands in the
East China Sea claimed by Japan.
That move took even the foreign min-
istry by surprise, according to one
former Chinese official. “Usually some-
thing like that is done with rounds of
consultations,” said a western diplomat.
“They [the defence ministry] just sort of
sprung it.”
Few would deny that China’s role in
the world is increasing, but how much
defence does a country need? The way
countries spend money tells a lot about
their intentions. Little-noticed in 2013,
Russia upped defence expenditures by
25 per cent to become the third-largest
defence spender in the world, a year
before Russian troops quietly seized
★ FINANCIAL TIMES 7
FT BIG READ. CHINA
By Charles Clover
Projections of power
Measurements that matter:
defence spending
As a % of GDP
0 1 2 3 4 5
China
India
Indonesia 2012
1990
Japan
S Korea
Malaysia
US
As a share of government spending
(%)
0 2 4 6 8 10 12
China
India
Indonesia 2018
forecast
Japan 2011
S Korea
Malaysia
US
Chinese defence spending
Real terms (annual % change)
25
20
15
10
5
0
1995 2000 05 10 13
Sources: Deloitte; Sipri
‘China has roads and chokepoints across Crimea, and aggressive rhetoric from Beijing, Training day: nations such as Israel or the Arab Gulf stronger in terms of its capacity for
precipitating war in eastern Ukraine. military expenditures are small by PLA naval states, which spend about 6-10 per cent lethal operations because of technologi-
actually If Beijing’s strategy is judged just on international standards if measured as a troops march in of GDP on military budgets. That per- cal advances and improved training.
been giving the numbers, China’s 10-fold increase in percentage of GDP. In fact, if militarisa- formation. centage has not changed significantly, Going for quality over quantity is at
annual defence spending from 1989 tion means increasing the role of the Beijing is placing since military spending has been grow- the heart of a reform announced in
higher seems exceptional. “I can’t think of sim- armed forces relative to wider society, more emphasis ing in line with the Chinese economy. 2013, aimed at reducing or eliminating
relative ilar cases that weren’t [in] wartime or China’s military spending is actually less on qualitative And as a share of general government bloated elements in the PLA’s ranks.
priority to leading up to war,” says Sam Perlo-Free-
man, an expert on defence spending at
than many of its neighbours as a per-
centage of GDP.
improvements
in manpower
expenditure it has fallen since 2012,
from about 11-12 per cent to 7 per cent in
The army will eventually have to get rid
of troupes of dancers, opera singers and
other areas’ Sipri. In recent decades, only Georgia, The measurements matter: China and weaponry 2013, before ticking up slightly in 2014. drivers who are more representative of a
which increased expenditures 26-fold military spending is slightly outpacing than ideological “One can say that, while the Chinese former era when ideological concerns
between 2000 and 2007, exceeded economic growth if expenditure is shows of force government has certainly been putting were more pressing.
China’s breakneck speed — and this adjusted for inflation using consumer Joe Chan/Reuters
a lot of money into the military, it has
ended in the 2008 war with Russia. price indicator yields, but it is under- actually been giving higher relative pri- Shifts in command
But measured another way, as a part shooting overall growth if the GDP ority to other areas,” says Mr Perlo- The reform will also reorganise the com-
of the overall economy, China’s military deflator, a measure of price rises or falls, Freeman. mand structure, which is dominated by
spending starts to look more normal. is factored in. China’s arms exports can also be the land forces, and give the air force
For all the talk of trophy armaments counted in different ways. The foreign and navy separate command authority
Rhetoric and reality ministry took issue with the Sipri study commensurate with their new promi-
Territorial tussles: China’s nine-dash line “We focus so much on what the PLA of arms exports, claiming the study nence. The moves reflect a shift away
wants and what the PLA will do, it’s easy measured volumes of arms rather than from former strategic priorities, such as
to lose focus on what the PLA is actually price, which is not usually made pub- fighting a land war against the Soviet
Senkaku/
doing,” says Jack Midgley, director of the licly available. Measuring by volume, it Union, towards projecting power into
CHINA Diaoyu strategy consulting practice at Deloitte says, understates the exports of the US, the western Pacific region.
TAI WA N in Tokyo. “When people say China is which are more expensive. Simultaneously, Mr Xi is strengthen-
islands
engaging in an aggressive military Moreover, other analysts say that ing the Communist party’s hold over the
Hanoi build-up, the numbers tell a different despite the impressive rollout of high- military with a thorough crackdown on
story.” ‘The tech equipment, China’s army still has corruption: dozens if not hundreds of
Defence should be seen as a compo- very little operational capability for the senior officers have been investigated.
nent of China’s overall economic devel- military most advanced systems. Mr Cheung says that analysing budg-
THAILAND
Paracel
Islands
opment, he says. “There is more of eve- appears to “The military appears to run on slo- ets and the number of troops tells only
rything in China now, there are more gans,” says one western diplomat in Bei- half the story of China’s military strat-
L AOS Scarborough
Shoal
Manila
cellphones, there’s more air pollution,
run on jing with extensive knowledge of China’s egy. More important is the intrusion
CAMBODIA
South
China
PHILIPPINES there are more babies [and] there are slogans. PLA. “But operationally they have a into the public sphere of military and
Sea also more tanks and one more aircraft
carrier.”
But they long way to go.” The lack of transport
aircraft, for example, makes it is
security issues, which were previously
not a priority in the post-Mao era when
VIETNAM
Mr Perlo-Freeman says that while have a long increasingly common to see hordes of economic development was key.
Mischief Reef
Extent of China’s
official figures may understate total way to go PLA soldiers boarding commercial “I would argue that China may be
defence spending, even taking into China Airlines flights bound for duty. adjusting from being a developmental
maritime claims
in the region BRUNEI
MAL AYSI A account items usually left out of the tally in terms of While much of the spending is on state, to becoming more of a national
MALAYSIA 500 km
only brings the total to about 2-2.1 per operations’ prestige projects such as the Liaoning, a security state in which security priori-
INDONESIA cent of GDP — nowhere near militarised Soviet aircraft carrier that China com- ties are becoming the most important
missioned in 2012 after refitting it, considerations for the Chinese leader-
experts say that without huge improve- ship,” he says.
Corruption launched by President Xi Jinping after Xu’s home, they found so much cash ments in combat readiness, training and
Party bids to regain control he saw the disrespect with which the and precious gems that they needed a doctrine — not to mention smaller sup-
PLA treated his predecessor, Hu Jintao. week to count it all and 12 trucks to port vessels — such trophy platforms
of army with crackdown The problem is not one of haul it away. Last month, the will be sitting ducks in a conflict.
insubordination but mismanagement, Communist party’s Central Military “There are individual US pilots that
Beijing’s purge on graft has ensnared a some analysts say. For decades the Commission published the names of have had more carrier landings than the
number of top generals in the People’s army has been a private fiefdom which another 14 senior officers it had placed whole of the Chinese military,” says Mr
Liberation Army and raised runs on bribery and patronage. under investigation for corruption. Midgley. Gary Li, an independent PLA priorities A 10-fold rise in defence
uncomfortable questions about the “The problem with the PLA is not a While some former officers report a defence analyst on Beijing, adds that spending from 1989 seems exceptional,
relationship between the military and loyalty issue,” says Trey McArver, who “climate of fear” within the ranks as a having an aircraft carrier “does not but expenditure is relatively small if
its superiors in the Communist party. edits the China Politics Weekly result of the crackdown on graft, many equate to knowing how to use it. They measured as a percentage of GDP
Technically the party controls the newsletter, “it’s a lack of discipline and mid-ranking officers welcome it. As the are years away from being able to con-
military, but insiders say that one of the professionalisation. The PLA is not PLA Daily, the army’s own newspaper, duct carrier operations.” Fresh focus Separate command
motivations for the graft probes, which combat-ready and Xi and other top recently put it: “The attitude towards The PLA is actually the smallest it has structures for Beijing’s air and naval
have so far taken down Xu Caihou, leaders realise this, and are trying to anti-corruption is deadly serious, and been in terms of manpower and weap- forces reflect a shift towards projecting
formerly the top-ranked military officer address the problem by rooting out there are hardcore measures. The onry since 1949, but it is much more effi- power into the western Pacific region
in China who died of cancer last month, corruption.” number of major cases made public cient and boasts far better equipment.
was to reassert party control, as well as The anti-corruption drive has been shows how the party and our military Tai Ming Cheung, director of the Insti- Held back Analysts say China’s army
smooth the way for reforms. Political unsparing of top generals. When have the drive and the determination to tute on Global Conflict & Co-operation has introduced high-tech equipment
analysts say the campaign was investigators came to search General reform and purify itself.” at the University of California in San but still has little operational capability
Diego, says China’s military is much for its most advanced systems
8 ★
THURSDAY 9 APRIL 2015
America’s female labour
force needs a new deal
Having fought anti-gay discrimination, businesses must help women
It is not often that companies as dissim-
ilar as Walmart and Apple sing from
the same corporate hymn book. When
they do, politicians take notice. US
business’s rapid and near unanimous
response to recent anti-gay legislation
in Indiana and Arkansas achieved
instant results. In the face of threat-
ened boycotts, both states rewrote laws
that would have allowed businesses to
deny service on the basis of customers’
sexual orientation. Corporate America
rightly took umbrage. Anything that
narrows workforce diversity, or shuts
off avenues for employee creativity, is
bad for the bottom line. As they say,
you can do well and do good at the same
time. It is high time they took the same
approach to women’s workplace condi-
tions in the US.
Women account for half the poten-
tial labour force yet still lack some of
the most basic protections. Alone
among developed countries, the US
provides no maternity or parental
leave for employees, such benefits are
at the sole discretion of the employer.
The US is also an outlier on paid vaca-
tions, sick leave, workplace childcare
and protections for pregnant employ-
ees. Federal law is mostly silent. Some
US employers have taken steps to fill
the vacuum. For example, Microsoft
recently said it would require its con-
tractors to offer paid sick leave to their
employees. But too few corporate lead-
ers are following suit. There is evidence
to show that companies gain from
offering proper benefits to female
employees. Such measures boost pro-
ductivity by reducing absenteeism and
employee turnover — a huge cost for
businesses. Too few have taken heed.
America’s backwardness on gender
employment is also a macroeconomic
problem. Since 2000, the US female
labour force participation has fallen
following decades of steady improve-
ment. Economists are divided as to
French companies do not
need the ‘Loi Florange’
A misguided law encourages hoarding of control, not long-termism
In the years since the financial crisis,
policy makers have looked hard at the
public company to see whether it
remains fit for purpose.
The issues are genuine and various.
The public company’s owners are
many and often have only a tiny stake
in its performance, knowing even less
about how it is run. Huge powers have
been conferred on intermediaries who
have perverse incentives. Active pro-
fessional investors concentrate on
beating the market in the short term,
focusing too little on the underlying
performance of the business.
Academics such as John Kay in Brit-
ain have pondered whether the incen-
tives on financial intermediaries may
harm the climate for investment, and
erode the supply and demand for pub-
lic equity. Generally, the conclusion has
been that it is up to engaged investors
to drive change.
In France, however, corporate
reform has taken an altogether more
eccentric turn. A law passed last year —
ostensibly to promote long termism —
has in fact become a vehicle for large
existing investors to entrench control.
The so-called Loi Florange may seem
an odd vehicle for such an initiative. It
has its origin in a 2012 decision by
ArcelorMittal, the steel group run by
Lakshmi Mittal, the Indian-born bil-
lionaire, to close two blast furnaces in
Florange, northeast France. The
uproar over lost jobs led France’s par-
liament to pass legislation requiring
companies to make every effort, before
closing a plant, to find another buyer.
But lawmakers built another objec-
tive into the Loi Florange. As well as the
rule on closures, the legislation made it
easier for shareholders holding a com-
pany’s equity for more than two years
to claim double voting rights. French
corporate law already allowed anyone
owning shares in a company to do this,
but only as long as the company’s con-
why because it has coincided with an
overall drop in the US rate. Yet the fall
in female participation has coincided
with a continual rise in other countries.
At 56 per cent, the share of eligible
women who are active in the US labour
force is now considerably below that of
most advanced economies, and contin-
uing to head in the wrong direction.
There can be little doubt that weak
maternity benefits and lack of child-
care facilities are big disincentive to re-
entering the labour force. As long as
most US employers view work and
family life as a zero sum trade-off, this
is unlikely to change. The longer it
remains so, the higher the economic
costs to society and businesses.
At some point this year, the US Fed-
eral Reserve is likely to raise interest
rates. Unemployment has been falling
rapidly but America’s labour force par-
ticipation rate has barely shifted. The
most obvious way to improve that
ratio, and thus lift the rate at which the
US economy can grow without trigger-
ing inflation, would be to attract more
women into the labour market and
keep them there. Indeed, there are few
more efficient ways of lifting America’s
longer-term growth rate. Given the
impasse in Washington, it is unlikely
Congress will update US workplace
protections in the near future. Women
will have to look elsewhere for the
rights that are now routine in countries
such as Canada, Germany and Sweden.
This is where big US brand names
can make all the difference. Last week,
Tim Cook, Apple’s chief executive, said
he wanted to ensure workplace anti-
gay discrimination was a thing of the
past. He was right — and courageously
so. Too few of the big Silicon Valley
names have taken a similar stand for
their female employees. Unless, and
until, they take the lead, companies in
less advanced sectors of the US econ-
omy are unlikely to change their ways.
stitution was amended to permit it.
The Loi Florange in effect reversed the
presumption. Double votes are now the
norm after two years unless specifically
disapplied.
The Financial Times is not ideologi-
cal in its belief that voting power and
share ownership should always go
hand in hand. Differential voting may
sometimes be suitable for growth com-
panies at certain stages of their devel-
opment — especially tech companies
reliant on human as well as financial
capital. But these structures should be
limited in scope and duration.
The Loi Florange provides no such
discipline, offering undated protec-
tions to the growing and sluggish alike.
It even disapplies the 30 per cent
threshold that triggers a mandatory
bid, allowing minority holders to creep
towards voting control.
It is striking that many companies in
the CAC 40 index have moved to disap-
ply the law. Those that have not are
established companies with big share-
holders and state-controlled entities.
For instance, a proxy battle at Vivendi
revolves around the desire of Vincent
Bolloré, a 10.2 per cent holder, to aug-
ment his voting power. The French
government has been buying shares in
Renault, in which it took a 14 per cent
stake last year as part of a bailout. The
purpose is to prevent a move to disap-
ply the double voting law.
The Loi Florange is not the answer to
any of the questions hanging over the
joint stock company. It is a sleight of
hand on investors, which threatens to
raise the cost of capital for French
enterprises.
It is, moreover, unworthy of a gov-
ernment led by self-proclaimed
reformers such as Manuel Valls, prime
minister, and Emmanuel Macron, the
former investment banker who is now
finance minister. A truly pro-business
administration would scrap it.
FINANCIAL TIMES
The waxing or waning of America’s power is in its own hands
Sir, Gideon Rachman, in “Britain’s
risky obsession with America’s wane”
(April 7), makes a valid point that
any nation, much less Britain, should
not project its own experience on
another. The US may or may not be
in a pattern of decline in lock-step
with the British imperial cycle.
Conditions inevitably differ over time,
and history indeed does not repeat
itself. It barely rhymes, as Mark Twain
would have it.
On the other hand, as a student
of history, consistent with my
profession, my sense is that a given
empire — or alternatively a hegemon
— can be predicted to decline when
two elements come together: first,
that people believe their empire
deserves (for example, by virtue of
No one would attempt
to create Iraq today
with its current borders
Sir, You write (“The lesser of two evils”,
The Big Read, April 7) there is growing
concern that the current struggle
between Sunni and Shia could leave
Iraq permanently divided.
The real question is why western
nations continue to demonstrate their
unnatural attachment to the straight
line borders that created Iraq in 1922
after the division of the Ottoman
Empire. Especially since the borders of
the states of Europe have undergone no
less than four major realignments in
the same period. For those with short
memories, Yugoslavia used to be a
unified state — but no longer is. Former
Yugoslavs would say that this is a good
thing.
If Iraq did not already exist, no one
would attempt to create a unitary state
within its present borders. Change will
come. The only question is how much
Iraqi blood will be spilled as the
western powers engage in a futile
attempt to preserve Iraq in its current
form.
Guy Wroble
Denver, CO, US
Such parades are common
commemorative events
Sir, In your report “Invitation to China
victory parade presents Europe with a
dilemma” (25 March), there is a serious
misunderstanding about China’s
commemorative activities marking the
70th anniversary of the victory of the
Chinese people’s war of resistance
against Japanese aggression and the
world anti-fascist war. I would like to
make the following clarifications.
First, the activities that China will
hold to commemorate the end of the
war 70 years ago form an integral part
of a series of commemorations to be
held by the international community,
including the UN. Holding a military
parade at such events is a common
practice the world over. The UK,
France, Russia and many other
countries all follow this same tradition
when celebrating the end of the second
world war every five and 10 years. It is
only normal and natural for China to
join the nations of the world and hold
memorial events including a military
parade.
Second, the planned event in China is
aimed at commemorating the fallen
heroes, ensuring that history will never
Mixed marriages
and messages in
a divided Mideast
Notebook
by Roula Khalaf
Letters
the blessings of God) to be on the top
of the food chain; and second, that they
feel they need do nothing different
from their past to stay there. Today,
one can perceive both elements
active in significant segments of
contemporary American culture
and especially politics. Further,
this perception is what gives our
friends pause and our putative
enemies promise.
Full disclosure: I am informed in this
view by both Paul Kennedy and Niall
Ferguson, cited by Mr Rachman, as
well as Gibbon, Toynbee, Schlesinger,
Spengler and others. Each sees through
his own prism, of course; yet together
they offer a cautionary tale. There is
nothing wrong, per se, in wishing one
still lived in 1947. We all have our
‘I’m just recovering from a severe
bout of existential angst’
repeat itself and upholding the victory
of the second world war, including
postwar international order and
international laws. They are by no
means “an effort to parade Chinese
military strength”. They are not
targeted against any specific countries,
nor are they targeted against today’s
Japan or the Japanese people.
Third, the Chinese side has extended
invitations to leaders of all relevant
countries and international
organisations. China welcomes all
willing parties to the events to show to
the world that together they conquered
fascism and opened up an era of peace.
Zhang Yangwu
Spokesman, Chinese Embassy in the UK
Well done, Nigeria, for
your democratic example
Sir, As a retired colonial officer and
returning officer in a province in
western Nigeria during the Nigerian
federal government elections in 1960,
I take pride in the statement in your
editorial “A remarkable outcome in
Nigeria’s election” (April 2): “But with
the winds of democratic change behind
it, this is Nigeria’s great opportunity
. . . that delivers benefits to all.” Also,
pride in comments in the other two
articles in that edition on this election’s
results: “‘Our country has now joined
the community of nations that have
used the ballot box to peacefully
change an incumbent president in a
free and fair election,’ General Buhari
said in his first statement” (report by
William Wallis in Lagos); and “it is to
be hoped that the lessons of history will
not be lost on the incoming president”
In the middle of last year, with Iraq
racked by a fresh outbreak of Sunni-
Shia bloodshed, a family picture
countering the sectarian narrative
went viral on Twitter. It shows a
mother holding up a sign that reads “I
am Sunni” while the father’s says “I
am Shia”. Between them is seated a
little girl with the sign “I am Sushi”.
The origin of the photograph was
unclear. Some people on social media
traced it back to Beirut, and thought
the family was Lebanese not Iraqi.
Others wondered if it was altered.
But it didn’t matter. Genuine or not,
the image highlighted a tradition of
mixed marriages in the Middle East’s
multi-confessional nations, a little
harmony amid the Sunni-Shia
discord. It struck a chord because, at
least among some segments of society,
hatred of sectarianism is greater than
sectarian hatred.
I was reminded of the photograph
while reading through regional media,
where there has been a disturbing
spike in sectarian rhetoric. It is going to
take much more than a heartwarming
photo, albeit retweeted many times, to
damp this fire. In fact, if the religious
loathing goes on for much longer, the
Sushis may become extinct.
Among some commentators in the
Gulf, it is no longer enough to deride
Iran as a menacing Islamic Republic
bent on destabilising the Middle East
and asserting its power in Sunni Arab
states. Now some writers refer to Iran
as the “Safavids”, after the 16th
century dynasty that unified Persia by
establishing it as a Shia power and
dreams. However, I submit that
the empire begins to wane when
wishing for the past and delusions
about the present get in the way of
perceiving viable opportunities for
the future. Many of us may be missing,
for example, the potential derivative
benefits from our current negotiations
with Iran.
In the mid-1990s, when my wife
and I returned to the US after several
years serving in Africa and India, we
found an American hyperpower
proud of its robust economy and its
victory over the Soviets in the cold
war. To the latter, though, small
voices on the sidelines opined that
the US had not so much “won”
the cold war as that the Soviets just
lost the Great Game first. Meanwhile,
(Comment by Tolu Ogunlesi, west
Africa editor at The African Report).
The lessons of history live on in
every nation. All nations live through
economic, environmental and social
turbulent times. Ours is no exception.
Our colonial officers throughout the
world may have made mistakes at
times in the short history of their
services, but their real legacies live on
today, written in the Commonwealth
Charter, agreed and signed by all
Commonwealth heads of government
in 2012 and presented to our
parliament by command of Her
Majesty in March 2013. We and future
generations across the world should
never lose sight of all that this charter
contains on the values of life we all
hold so dear and treasure.
Commitment to its aspirations does
and should go beyond Commonwealth
countries to all nations in the world.
It is no accident that the first value is
the democratic recognition of “the
inalienable right of individuals to
participate in democratic processes, in
particular through free and fair
elections in shaping the society in
which they live”. Well done, Nigeria, for
your democratic example in 2015.
Jeffrey Ridley
Professor of Corporate Governance
Assurance,
University of Lincoln, UK
Question is whether Iran
deal can last even 10 years
Sir, The outline of an agreement to
restrict and impose constraints on the
expansion of Iran’s nuclear capability
for 10 to 15 years has been greeted with
dismay by some hardline Americans.
They would prefer that making
weapons-grade uranium and
plutonium was stopped completely and
permanently, and existing stocks
removed. This is impossible to sell to
the Iranian regime and does not take
into account the reality of the situation;
namely that a change in government in
Iran would potentially derail any
agreement. A time limit of between 10
and 15 years reflects this realpolitik
and any more stringent and
“permanent” agreement would not be
the better and more permanent
solution that Israel for one would,
ideally, like to see.
The important point is whether this
deal can be adhered to for even 10
years and rigorous monitoring may
make this limited ambition possible.
Christopher Bellew
London W6, UK
fought repeated wars with the
Ottoman sultans. The Safavids, who
converted Persia’s Sunni, extended
their rule to modern-day Iraqi cities of
Baghdad and Mosul, though
eventually lost them back to the
Ottomans. References to them are
designed to revile Iran as an imperial
power and frame its rivalry with
Arabs along religious lines.
Maybe that is to be expected at a
time of increasing tension between
Shia Iran and the Sunni states of the
Gulf. Iran’s preliminary agreement to
curb its nuclear ambitions, agreed last
week, went down rather badly in the
Arab world. Despite the polite
reaction — Saudi Arabia, the main
regional Sunni state, said it looked
forward to a binding agreement that
would strengthen regional stability —
the mood in the Gulf ranges from
apprehension to rage.
An Iran friendlier with the west,
goes the suspicion, is an Iran that feels
more confident about challenging its
neighbours and extending its
influence. Indeed, the reaction to the
nuclear deal was delivered with a bang
a week before the announcement in
Lausanne. The usually cautious Saudi
Arabia assembled a coalition of like-
minded Sunni states and launched an
air campaign against Iranian-backed
rebels in Yemen.
The Saudis have become so
exercised about Iran’s growing
influence, particularly in Iraq and
Syria, that they have called time on a
lengthy dispute with neighbouring
Qatar; and tried to improve fraught
Thursday 9 April 2015
Email: letters.editor@ft.com or
Fax: +44 (0) 20 7873 5938
Include daytime telephone number and full address
Corrections: corrections@ft.com
the choices of the last Bush
administration put paid to our
economic growth by 2008 and truly
proved the point. Hence, the waning or
waxing of power would appear to be in
our own hands.
I disagree slightly with Mr Rachman’s
closing thought that Britain’s choice to
embrace China’s investment bank is a
“hedge against the future”. I think it is
less a move away from the US than a
recognition of the opportunities such
orientation entails. Thus, his larger
point is the more apt: Britain simply
responds to the global shifts of our
time. So, too, any rational actor.
Richard Davis
Elk Grove, CA, US
Col, US Air Force (ret); former US air
attaché to New Delhi, India
EU and the latest in
make-believe from the
pages of Lewis Carroll
Sir, Your front-page article “Greece,
Portugal, Spain and Italy quizzed over
propping up of banks” (April 7) tells
us: “The EU is collecting evidence to
determine whether Greece, Portugal,
Spain and Italy are illegally
underwriting banks that have
bolstered their capital with assets
considered low grade in the rest of the
eurozone”. This “raises the spectre of
another shock to Europe’s financial
system” and “the case has come into
the sights of the competition
authorities in Brussels”.
The ink has hardly dried on the
work of the thousands of auditors
involved in the EU-wide bank stress
that is believed to have cost several
hundred million euros — this being the
EU, no exact numbers appear to be
known — and involved the European
Banking Authority, the European
Central Bank, the European Systemic
Risk Board, the European Commission
and the competent authorities in each
member state. Now along comes yet
another EU body — the “competition
authorities” — to investigate “low grade
assets” that presumably were, or
should have been, investigated by
those myriad other EU persons who
remain in their jobs.
To the world on the other side of the
looking glass the EU increasingly
resembles a collection of ever growing
and competing armies of Tweedledums
and Tweedledees.
James Hanshaw
Zürich, Switzerland
New York City has its
own long-running saga
Sir, It beggars belief that New York City
(in whatever guise) is spending $4bn
on one single subway station while the
desperately needed Second Avenue
subway with just three stations limps
along towards completion at a snail’s
pace. Apparently the Second Avenue
line was proposed some 35 years
ago, and now, with dangerous
overcrowding of the 6 line, the
requirement to finish speedily what
has been started is an imperative. Just
compare the activity at Crossrail in
London where work is going on 24/7.
Where are the priorities and who sets
them, as fares rise once again?
JML Stone
New York, NY, US
relations between Egypt (which is
Arab and Sunni) and Turkey (which is
not Arab but is Sunni).
Another leg to the emerging anti-
Iran strategy is the Saudi-backed plan
for a joint Arab force, which I doubt
will ever materialise but talk of which
is at least concentrating minds about
the need for co-operation.
Iranians often complain that their
Sunni neighbours are more sectarian
than they are, pointing out that
Tehran has backed radical Sunni
groups as well as Shia proxies. But
some Iranian commentators veer
into dangerously divisive rhetoric,
branding Saudi Arabia a takfiri state
that rejects other Muslims as infidels.
Meanwhile, statements emerging
from Tehran can fuel Arab paranoia
and the narrative of imperialistic
ambition. Ali Younesi, an Iranian
presidential adviser, was quoted as
saying at a recent conference that Iran
had become an empire like it had
been throughout its history, and that
its capital was now Baghdad. All of the
Middle East, he added, was Iran; and
Tehran would protect all nationalities
and stand against “extremism,
takfirism, atheism, neo-Ottomans, the
Wahhabis, the west and Zionism”.
Such an absurd statements should
have been ridiculed — and Mr Younesi
has since denied and clarified them).
But in Arab media, they were taken as
proof of Iran’s devious intentions and
used to stoke more poisonous
rhetoric.
roula.khalaf@ft.com
Thursday 9 April 2015
Shell’s bold move is just the start for energy companies
OPINION
Nick
Butler
S
hell’s £47bn bid for BG Group
is a radical move for a com-
pany that has rarely partici-
pated in the unseemly busi-
ness of mergers and acquisi-
tions. The price, incorporating a pre-
mium of 50 per cent, is clearly designed
as a knockout blow that no one is likely
to better. The deal confirms Royal
Dutch Shell’s position as the world’s
leading private-owned player in the nat-
ural gas sector with deep reserves, glo-
bal reach and leading edge technology
such as the offshore floating production
systems.
The bankers, such as BG’s sharehold-
ers, must be delighted. After years of
touting deals around reluctant board-
rooms, a marriage has been arranged
and the fees will be enormous. The long
dearth of big transactions is over and
every company in the sector will now be
Japan needs a
working hours
overhaul
ASIA
David
Pilling
W
e will send our products
to the people of the world
Our hard work and toil
like the sound of water
Gushing from the spring
Industrial progress, industrial progress
Number one for harmony, Matsushita
Electric.
That song, performed by workers
dressed in identical jump suits, was
fairly typical of Japanese corporate cul-
ture in the now distant go-go decades of
the 1960s and 1970s when the economy
was going like gangbusters. Much of that
extraordinary postwar success was built
around a set of corporate practices very
different from those that prevailed in
the west. At large corporations there
were several elements to this system,
from seniority pay and lifetime employ-
ment to worker-led initiatives in pro-
ductivity improvement.
At its heart was a social contract
between employer and employee that
some have compared to the relationship
between daimyo feudal lord and samurai
retainer. In return for absolute loyalty,
the employee would be paid more each
year regardless of performance. The
system applied only to those who
worked for big companies. Many work-
A dose of sanity to break the perilous deadlock over Greece
OPINION
Reza
Moghadam
T
here is a growing sense of
fatalism about Greece.
Negotiations with the euro-
zone are not working.
Indeed in their current
form they are dangerous, prone to trig-
gering a recession, bank run or acciden-
tal exit from the euro. A new approach is
needed before time runs out.
Discussions on the long-overdue
tranche of eurozone funding continue to
follow a timeless pattern. An urgent
meeting of the euro group of eurozone
finance ministers is called. It cannot
reach agreement so a follow-up meeting
of eurozone deputy finance ministers is
convened; or a convocation of the Euro-
pean Commission, European Central
Bank and International Monetary Fund
— the bailout-monitoring institutions
previously known as the troika. When
this, too, fails to yield results it is agreed
nervously considering whether they
should kill or risk being killed. The
process is fraught with danger — for
both hunter and prey. Most mergers are,
in fact, takeovers, and most takeovers
fail to deliver the anticipated gains in
value, often because of cultural differ-
ences. It will be fascinating to watch the
integration of Shell’s ultra-cautious
committee structure with BG’s highly
personal buccaneering style.
But the transaction also reopens the
issue of the shape of the whole energy
sector, and the question now is not
whether or when restructuring will take
place but rather: who is next?
The Shell-BG deal reinforces the rank-
ing of the sector. ExxonMobil and Shell
are now way out in front as numbers one
and two. The rest are some way behind
and some could begin to look like niche
players, restricted to a very limited
number of areas or particular technolo-
gies, such as deepwater drilling. We can
expect at least one more big deal and a
number of smaller transactions. Chev-
ron looks strongest and well capable of
mopping up some of the US independ-
ents. Italy’s Eni looks most vulnerable,
ers — almost all male — would show
more devotion to their company than to
their spouse, putting in hours of unnec-
essary overtime and carousing late into
the night with colleagues and corporate
clients.
Such a system is easy to mock. Yet it
had a certain rationale in the catch-up
era. In today’s Japan it makes no sense at
all. It now needs fewer companies that
can make a better widget (like Sony)
and more that can dream up software
that renders the widget redundant (like
Apple). It needs a multidisciplinary
workforce capable of switching mid-
career, not only between different com-
panies but also between entirely differ-
ent fields. It needs to bring more women
into the workforce, not to make up the
numbers but to usher in new thinking.
The corporate culture Japan is stuck
with is unsuited to these challenges.
The good news is that Japanese com-
panies are changing. Itochu, a general
trading house, and Ricoh, a printer
maker, are among those promoting flex-
ible working hours aimed at putting an
end to masochistic overtime. According
to data from the Organisation for Eco-
nomic Co-operation and Development,
the average employee worked 1,728
hours a year in 2011, down from 1,809 in
2001. That almost certainly under-
estimates the amount of unpaid over-
time. The decrease also reflects a weak
economy. Even so, that was 100 hours
more than the UK, and 300 more than
the Netherlands; though a tad fewer
than the US and far fewer than
South Korea, whose employees
that there will be a request for a list of
actions. However the list requires elabo-
ration and agreement in a subsequent
euro group meeting. So the process
starts again.
Both sides have wasted time and
politicised the situation. The leftwing
Syriza government has been generous in
providing advice on the architectural
shortcomings of the eurozone and mis-
handling of the Greek crisis. But it has
failed to take actions commensurate
with the country’s existential crisis. The
eurozone, for its part, has been insuffi-
ciently mindful of the government’s
electoral mandate, its inexperience and
more generally of the institutional
shortcomings of the Greek system.
Europe is demanding implementa-
tion, in the next few weeks, of a long and
comprehensive list of actions that previ-
ous governments were unable to deliver
in the space of a few years.
Now that Yanis Varoufakis has
assured Christine Lagarde, IMF manag-
ing director, that Greece will honour its
April repayment to the IMF, there is a
short window of opportunity to insti-
gate the necessary new approach. It
★ FINANCIAL TIMES
Comment
although again the cultural challenge
involved might be too difficult for buy-
ers to contemplate.
Then there are the special situations.
In the North Sea there are too many
small players struggling to cope with
prices below $60 a barrel. Consolidation
there is inevitable and overdue. The
only reason for delay is that putting two
weak, underfunded companies together
The question now is not
if or when restructuring
will take place but rather:
who is next?
can give you one company which is
larger but still weak and underfunded.
A bigger move is necessary to take out
the excessive costs and overheads that
have built up in the lotus years. Consoli-
dation will come — perhaps out of neces-
sity as companies go to the wall.
Consolidation will also come in the
shale business in the US, where the
potential savings are easier to realise. In
clocked in a mind-numbing 2,193 hours.
Cutting the workload should raise
productivity, still low by OECD stand-
ards. Low productivity is actually a Jap-
anese ace in the hole. As the workforce
shrinks, which it is doing by 250,000 a
year, productivity will rise, especially in
the service sector. Think of all those ele-
vator attendants or men ushering cars
energetically into parking lots.
Reducing hours would also entice
more women into good jobs. Many,
especially mothers, find the long work-
ing hours impossible to juggle with
home life. That, the cynic might say, is
precisely the point. Japanese men have
deliberately constructed practices
inimical to working women — and will
be slow to change them as a result.
Still, in other areas of corporate cul-
The country needs to get
more women into the
labour force, to usher in
new thinking
could be based on three components:
actual implementation of a few core
actions to test the new government;
short-term financing to remove the
threat of default in the next three
months; and a new programme to
provide a blueprint for reform and
financing for the next two to three
years. If Greece cannot deliver such a
limited but critical set of reforms,
Europe is demanding in
a few weeks what previous
governments were unable
to deliver in a few years
it had better prepare to leave the
eurozone.
First, instead of the preoccupation
with producing ever-longer lists of com-
mitments, the focus needs to shift to
implementation of a few significant
actions. The government’s commitment
to reform is thereby tested and trust is
established. Accepting actions in a lim-
ited number of areas would establish
both cases, cash is king and companies
that have the resources to buy at dis-
counted prices will triumph. The hedge
funds — some of which are now begin-
ning to think oil is undervalued on a
three- to five-years basis — could also
join the party.
There are opportunities around the
state-owned sector, as well. For years
this has been, in effect, frozen, but hard
times and the need to attract invest-
ment could change attitudes. In Brazil,
for instance, Petrobras needs to be bro-
ken up to ensure that it is properly run
and to maintain the dynamic of invest-
ment that is so important for Brazil’s
overall prosperity. In Venezuela, foreign
partnerships with PDVSA, the state
company, would reinforce a business
that has been constrained by govern-
ment control for the past 15 years. Such
steps would represent a big break with
the past but the unexpected could hap-
pen in any number of countries where
state companies and state finances are
under pressure.
Even more intriguing is the potential
for a different form of reshaping of rela-
tionships within the sector. Oil and gas
ture, there are signs of change. One is
seniority pay. Hitachi is now rewarding
its 11,000 top managers based on job
performance. (Why it sees the need for
11,000 top managers is a question for
another day.) From this month, Sony
says it will promote some employees in
their twenties to management positions
and demote some older employees with
a commensurate cut in pay. Toyota is
bringing in performance-based pay for
many of its workers. So is Panasonic, as
Matsushita is now called.
The fact that many big companies
have stuck to seniority pay, in which
wages rise with years served, has had
unintended consequences. One is that,
in tough years, many stopped hiring
new recruits, pushing a generation of
young people into casual work. Since
the early 1990s, the proportion of tem-
porary workers has doubled to nearly
40 per cent. That has harmed wages,
skills, productivity and aggregate
demand. Another unintended conse-
quence is that older workers become too
expensive to retain, making it unneces-
sarily difficult for them to work past the
priorities and take account of Athens’
capacity to deliver. Measures could
include urgent approval of laws to put in
place independent revenue administra-
tion; eliminate generous early retire-
ment payments; reform value added tax
policy and enforcement; and introduce
punitive anti-corruption measures.
These are well-trodden areas. Greece
can and should put these reforms in
place within four weeks.
Second, in return for approval of
these measures, the eurozone would
provide Athens with sufficient funding
for the next three months to meet its
external obligations, which are mainly
to official creditors. This would remove
the immediate threat of capital controls
and exit from the eurozone. More
importantly, it would head off the loss in
confidence and forced fiscal contraction
that threatens a recessionary tailspin.
Third, both parties should start defin-
ing the contents and parameters of a
longer-term reform programme that
would be put in place before the very
large repayments to the ECB and IMF in
July and August. This would comprise
growth-enhancing measures such as
are now buyers’ markets and companies
with long horizons will want to tie in
long-term sales contracts to justify con-
tinued investment. This can be done
deal-by-deal — as Russia’s Gazprom has
shown in its new contracts with China
and India. But another form of linkage is
possible, with the buyers of the oil or gas
taking partial ownership of the produc-
ing companies. Back-to-back share
swaps are perfectly possible. Money is
not a problem and if western govern-
ments (in Europe at least) are willing to
take stakes in China’s Asian Infrastruc-
ture Development Bank, there is no rea-
son why they should exclude the Chi-
nese or others from owning parts of
their energy businesses.
The market is global and open. The
industry has been shaken by the price
fall and is just beginning to realise that
low prices could persist for some time.
That puts restructuring on the agenda
for every company, large and small. The
Shell deal is just the beginning.
The writer is Visiting Professor at the Kings
Policy Institute at Kings College London
and writes an FT blog on energy and power
official retirement age — something the
government wants in order to increase
worker participation and contain the
social security bill.
Most changes need to take place at
corporate level. The government can do
only so much. Still, it should press ahead
with legislation to bring the conditions
of those in temporary work closer to
those in full-time employment. The
International Monetary Fund estimates
that well-executed reform could push
the share of non-regular workers back
down below 30 per cent.
On balance, corporate Japan is proba-
bly adapting faster than outsiders real-
ise, but slower than is necessary. Japan
urgently needs to create a working envi-
ronment that is more flexible, imagina-
tive and, ultimately, more productive.
Today, the employees of Panasonic still
sing a company song. The lyrics now
contain a nod to “a celebration of being
free”. For corporate Japan as a whole,
being free from pointless overtime
would be an excellent start.
david.pilling@ft.com
product and labour market reforms; as
well as resolution of the bad assets in the
banking system.
A solution to Greece’s debt overhang
is also needed. If debt reduction is a
bridge too far, a more pragmatic
approach could consider two avenues.
One is a debt-equity swap: the eurozone
could exchange some of its claims for
equity in banks and companies that are
to be privatised, reducing the debt bur-
den and providing incentives for priva-
tisation. It would also offer an incentive
for much-needed investment. Addition-
ally, Europe could replace shorter-term,
more expensive IMF and ECB financing
with cheaper, longer-term European
Stability Mechanism funding, thus
removing the incessant threat of default
to official creditors.
They say the definition of madness is
repeating the same action and expect-
ing a different result. It is time to intro-
duce sanity to the Greek-eurozone nego-
tiations.
The writer is vice-chairman of global capi-
tal markets at Morgan Stanley and former
head of the IMF European department
9
The battle
for Britain’s
most reckless
tax pledge
ECONOMICS
Chris
Giles
ritain’s politicians are battling
B to win the award for 2015
party with the silliest and
most dangerous tax commit-
ments. Almost aping George
HW Bush’s 1988 pledge as US presiden-
tial candidate (“Read my lips: no new
taxes”), David Cameron used the start of
the new tax year this week to make a sol-
emn vow. “No income tax rise. No VAT
rise. No national insurance rise,” the
prime minister said. Not to be outdone,
the opposition Labour party has ruled
out increases in basic and higher income
tax, national insurance and value added
tax. These pledges commit both main
parties not to touch almost two-thirds of
government receipts this year.
One motivation is to convince voters
neither party puts higher taxes at the
heart of its economic strategy. A better
way to show the consensus on the size of
the state is to point to the facts. Govern-
ment receipts of £670.3bn are expected
this year, amounting to 35.5 per cent of
national income, almost precisely the
average of the past 25 years under both
Labour and Conservative governments.
The fluctuation around this average is
notable only because it is tiny despite
significant changes to the tax systems.
The silliness of these promises lies in
unnecessarily tying the hands of the
next government without conferring
any electoral advantage. Most of the
public do not hear these pledges except,
years later, if they are broken.
Worse, the pledges are positively dan-
gerous. Britain’s income tax already
One of the purposes of
taxation systems is to bind
people into a shared
national endeavour
bears the hallmarks of commitments
not to increase the main rates. Labour
and Tory-led governments since 2000
have complicated the levy, introducing
higher rates over large slices of income,
necessary to remove the financial bene-
fits of child benefit and the personal
allowance from richer people. Income
taxation is further complicated by
national insurance, an income tax in all
but name, from which pensioners are
exempt and which uses a different defi-
nition of income: all of which encour-
ages the tax avoidance industry that
politicians say they abhor. When indi-
viduals arrange their affairs quite legiti-
mately to avoid taxation, it is no sur-
prise productivity suffers as they waste
time minimising tax bills rather than
doing something more productive.
In seeking to reassure voters that the
only people who might have to pay
higher taxes are bad and rich, Britain’s
politicians have forgotten that one of the
fundamental purposes of taxation sys-
tems is to bind people into a shared
national endeavour. Part of the price of
living in a civilised and liberal democ-
racy is the payment, according to one’s
means, of taxes necessary to ensure the
essential functions of the state.
Highlighting how many people have
been taken out of tax, as Mr Cameron
likes to do, fosters the idea that unde-
fined “others” can and should pay. It fer-
ments taxation grievances in Scotland
and London; and among the young, the
old, the rich, those on middle incomes
and the poor. Efforts to ensure others
pay has left Britain too heavily reliant on
small numbers for receipts.
Individuals with incomes in the top 10
per cent pay 47 per cent of income taxa-
tion, which is arguably acceptable since
they control 34 per cent of income. The
top 1 per cent pays 27 per cent of income
taxation on 12.5 per cent of total
income. How much the rich should pay
is a political question, but the economic
reality is that the present degree of con-
centration is a risk to the public
finances. What seems a secure revenue
stream can vanish, like corporate tax
revenues from the financial sector in
2008-09. Expensive further increases in
the personal income tax allowance
undermine the integrity of income taxa-
tion and help the hardworking poor
much less than a rise in tax credits.
Hollow tax promises undermine the
state’s ability to function and leave Brit-
ain few desirable options if the world
does not turn out as we all hope. Politi-
cians: please stop.
chris.giles@ft.com
10
Heathrow,
Hong Kong and
the case for
bigger planes
Michael Skapinker
Businessandsociety
US expatriates’ taxing questions
Tax rules problems for
Americans living and
working abroad lead some
to review their citizenship,
writes Vanessa Houlder
I
t is a diverse list: one of the world’s
greatest soul singers; a best-selling
author, a professional basketball
player, architects, artists, lawyers,
retirees and financiers.
The register of individuals who have
“chosen to expatriate”, as the US puts it,
shows an increase in the number of
Americans who are renouncing their US
citizenship or turning in their green
card. When the number reached 3,415
last year it was a record, although the
figures are still tiny, especially in com-
parison with those being granted US cit-
izenship — nearly 780,000 in 2013. But
it is also the case that the numbers have
risen more than 10-fold since 2008.
Those revoking US citizenship stress
that it is an irreversible decision that is
often taken reluctantly. Marilyn Gins-
berg, a retired university lecturer who
has lived in Canada since the age of 26,
says she cried when she took the oath of
renunciation in Quebec last year. She
thought of her upbringing in Colorado
and her ancestor who had sailed from
Europe to Kentucky in 1848. “It was
very emotional for me. I thought why do
I have to do this? It seemed so unfair.”
The driver behind her expatriation was
US tax rules, she says.
The US tax regime is increasingly a
reason for expatriations — not just
because of the scope for extra bills but
also the complexity.
Many countries’ tax systems have
quirks, including the UK. Its “non-dom”
rules, for example, allow foreign resi-
dents to keep their offshore income out
of the tax net, although the Labour
party, the main opposition, has threat-
ened to end the arrangement if it holds
power after the general election in May.
But the US system is particularly unu-
sual. No other industrialised country
taxes its citizens wherever they live.
Reasons for severing links with the US
include protest, political ambitions else-
where and bans on dual citizenship in
certain countries. Expats such as Tina
Turner — a long-time Swiss resident
who swapped US citizenship for that of
Switzerland in 2013 — often do not com-
ment on the move, other than to stress
their affection for their adopted home.
There is scope for big tax savings for
those giving up their passports, even
though they must get their tax affairs
up-to-date and potentially pay exit
taxes if they are high earners, or own
more than $2m of assets. But tax savings
are rarely stated as a motivation, not
least because such an admission could
potentially be used to bar entry to the
US in the future.
When Eduardo Saverin, one of Face-
book’s founders, renounced his US citi-
zenship in 2012 and moved to Singa-
pore, his spokesman denied the move
was motivated by tax savings, which
some tax experts had speculated would
run into tens of millions of dollars.
But for some people, it is the complex-
ity of the US tax system that drives them
to give up citizenship, according to Nina
Olson, the Taxpayer Advocate, a watch-
dog for the Internal Revenue Service:
What London should do about its
airports has not figured much in the
UK election campaign so far. That is no
surprise: the Conservatives, Labour
and Liberal Democrats are all riven on
the issue, particularly over whether
Heathrow should have a third runway.
Meanwhile Hong Kong, which as
long ago as 1998 opened a new airport
on an island away from the city centre,
is about to run out of space.
Dead set on holding on to its status as
Asia’s premier business hub, Hong
Kong’s governors had no doubt what to
do: last month its executive council
approved a third Hong Kong runway.
UK business lobbyists and airlines
can only despair. While Britain
debates, others act.
For Boris Johnson, London’s mayor,
Conservative parliamentary candidate
and pretender to the Tory leadership, it
is worse than this.
A fierce opponent of a third
Heathrow runway, Mr Johnson has long
championed a Hong Kong solution: a
new airport in the Thames Estuary.
Just as Hong Kong realised it could not
continue with its cramped Kai Tak
Airport, where landing passengers
could see into people’s apartments, Mr
Johnson argues Heathrow’s position in
densely populated west London makes
expansion there impossible.
On a visit to Hong Kong in 2013, Mr
Johnson pushed his claim for a London
airport on what has been dubbed
“Boris Island”, saying: “Ambitious cities
such as Hong Kong have stolen a march
on us.”
The most galling part is that the UK
companies and architects who should
Boris Johnson has
said that he
wants to
renounce
his US
citizenship
after
receiving
a capital
gains
tax bill
estimated
at £30,000
incurred
selling his
London house
779,929
people became naturalised American
citizens in 2013, according to US
Citizenship and Immigration Services
“For some US taxpayers abroad, the
requirements are so confusing and the
compliance burden so great that they
give up their US citizenship.”
The problems have escalated since
2009, when scandals about offshore tax
evasion led to a crackdown on Ameri-
cans owning foreign bank accounts. Its
centrepiece — the 2010 Foreign Account
Tax Compliance Act — is forcing foreign
financial institutions from the end of
last month to hand over account details
of Americans with balances of more
than $50,000.
Introducing the measures has im-
posed big costs on financial institutions,
and prompted some to withdraw their
services to Americans. “Banks in Swit-
zerland and France treat you like a
Civil War origins
The origins of the US system of
citizenship taxation date back to
the draft dodgers of the American
Civil War. Extra taxes were imposed
on US citizens living abroad to
compensate for their failure to
contribute their personal efforts to
the Union “in this day of its
extremity”.
The US is unique in imposing the
same system of taxation on its
citizens wherever they live,
although subject to various reliefs
and exclusions. Only one other
country, Eritrea, taxes the foreign
income of citizens living abroad,
although many tax domestic
income sent abroad or make other
claims on their expats. The UK, for
instance, imposes inheritance tax
on people who left Britain many
years earlier but never lost their
British domicile.
★ FINANCIAL TIMES
BUSINESS LIFE
be planning a new London airport have
been doing Hong Kong’s work instead.
When Mr Johnson toured Hong
Kong’s airport he heard about the UK
firms that built it: Mott MacDonald and
Arup engineers, and Foster+Partners
architects, the would-be designers of a
Thames Estuary airport.
Hong Kong’s new runway is not
without its critics. At HK$141.5bn, it is
expensive. Hong Kong also has a
construction worker shortage.
Still, the former colony is going ahead
while the UK dithers. The outgoing
Conservative-Liberal coalition
appointed the Davies Commission to
tell it what to do about London’s
airports, but only after the election.
The commission has already,
unwisely in my view, dismissed Mr
Johnson’s airport. It will probably
recommend a third Heathrow runway
or a second at Gatwick. While I believe
the next government should accept the
recommendation and get on with it, I
realise that the expected indecisive
election outcome makes that unlikely.
Is there anything UK politicians can
unite around in the meantime? I think
there is: a move to bigger aircraft.
I was struck by Hong Kong’s account
of why its two runways had run out of
space. The planners had assumed that
the vast majority of aircraft would be
large, with an average of 300 people on
board. Instead, airlines have used
smaller narrow-bodied planes with an
average of 190 passengers on each.
This is part of a worldwide move
towards point-to-point flights, rather
than connecting passengers feeding
into large aircraft at hub airports.
3,415 7m
renounced their citizenship Estimated number of
or turned in their green Americans living and
cards in 2014, a new record working abroad
pariah,” says one former US fund man-
ager, who declines to be named.
It has also sparked fear among many
of the 7m or so Americans living and
working abroad, the vast majority of
whom have either been ignorant of or
simply ignored the tax reporting rules.
Stephen Kish chairs the Alliance for
the Defence of Canadian Sovereignty, an
organisation that is mounting a legal
challenge over Fatca: “Many are really
scared. They are afraid their own banks
will turn them in.”
Some people were unaware of their
filing obligations until the recent IRS
crackdown. Examples include where
citizenship was handed down from a US
parent and other cases where — like
Boris Johnson, the London mayor, and
“border babies” — individuals gained
citizenship by being born in the US. Four
out of five Americans living abroad had
no extra US tax to pay in 2011, according
to IRS figures. The problems can arise
from mismatches between two coun-
tries’ tax systems. Mr Johnson described
the US tax bill — estimated at nearly
£30,000 — that he faced on profits from
the sale of his north-London house as
“absolutely outrageous”.
The costs of filing are also high as they
may require thousands of dollars worth
of professional input, even if there is no
tax to pay.
Although it has become easier and
cheaper for US citizens abroad to bring
their tax affairs up to date since a
“streamlined” procedure was intro-
duced last summer, problems remain.
For instance, new waivers were not
available to taxpayers who had already
come forward before then. That left
those “most deserving of leniency” feel-
ing punished, says Ms Olson.
Then there are the big bills facing
investors in foreign mutual funds,
which attract penal US tax rates — 39.6
‘
This is why the giant Airbus A380 has
struggled to find customers.
Hong Kong says it is consumer
choice. Yes. But flying has a huge
impact on pollution, noise levels and
neighbourhoods. Governments can
influence how people fly.
Riven UK For a city such as London, with huge
visitor numbers and constrained
politicians airport capacity, bigger planes are
can unite environmentally preferable,
particularly with the old Boeing 747s
around reaching the end of their lives and the
a move availability of quieter replacements
such as the A380, extensively used at
to larger, Dubai airport by Emirates.
fuller The Liberal Democrats went into the
2010 election pledging to replace the
aircraft UK’s air duty, which is imposed on each
’
departing passenger, with a tax on each
aircraft instead. Labour has discussed
it too. In coalition, the Conservatives
initially agreed, before saying a per-
plane tax appeared to be against
international law.
The Lib-Dems talked about a tax
that would increase with the weight of
the aircraft and the distance flown.
Why not a flat per-plane tax? That
would encourage airlines to fly with
larger, fuller aircraft and to prioritise
long over short journeys, encouraging
more people to travel by rail on those.
As a House of Commons Library
note said, it was not clear what law a
per-plane tax contravened. It is worth
looking into. If Britain is no longer an
airports pioneer it can at least lead the
way to more sustainable flying.
michael.skapinker@ft.com
Twitter: @Skapinker
Tina Turner has
lived in Switzerland
for two decades,
but formally
relinquished her
US citizenship to
become Swiss in
2013
41hrs
The official estimate of how long it
takes to fill out the tax forms for a
foreign mutual fund investment
Source: Homeland Security
Office of Immigration
per cent plus interest — and convoluted
Statistics reporting requirements. Official esti-
Photographs: Getty Images;
Michael Ochs Archives/Getty
mates suggest the form filling for a sin-
Images gle fund requires 10 hours of study, 17
hours of record-keeping, and 14 hours
of preparation.
For Ms Ginsberg, the mounting costs
and administrative burden associated
with her mutual funds were the final
straw in her decision to expatriate. But
some other US citizens say they cannot
afford to regularise their tax affairs in
order to do so.
One widow, who declines to be
named, living in Canada since the 1970s,
was horrified when she discovered the
costs of disclosing her 20 mutual funds.
She calculates the price of employing an
accountant to fill in the forms on her
behalf — a necessity given their com-
plexity — would be more than twice her
total annual income.
IRS investigators have threatened
non-compliant Americans living in Can-
ada with fines and even imprisonment,
according to Allison Christians of McGill
university. But there is also scepticism
over whether the IRS will be able to
enforce its rules. In the view of one US-
born Canadian: “The whole thing is a
campaign of fear.”
Enforcement is perhaps the biggest
challenge for the US system of citizen-
ship-based taxation. But there is also a
growing debate over the principles.
Champions of the existing system say
it is right to ask citizens to pay for its
privileges, which include the right to
vote in federal elections and work in the
US. But critics — including Republicans
on the Senate finance committee — have
called for a “rethink” of the tax rules for
non-residents.
Such change cannot come too soon for
many of the Americans drawn into what
Ms Olson describes as a “Kafkaesque”
international tax regime.
The review
A guileless paean to remaining
true to yourself in business
EMMA JACOBS
The Power of Being
Yourself: A Gameplan for
Success by Putting
Passion into your Life and
Work
Joe Plumeri
Da Capo Press, $24.99
Peak authenticity? I thought
that had come some time
ago. Business leaders,
coaches and “storytellers”
have long banged on about
the potency of being
yourself. Rob Goffee and
Gareth Jones led the charge
with their 2006 best-seller
Why Should Anyone Be Led
By You?
Yet nine years later we
have The Power of Being
Yourself by Joe Plumeri,
former boss of Willis Group,
a global insurance broker.
The Italian-American from
New Jersey has a reputation
as a charismatic and
entertaining speaker. The
introduction to the book by
Joseph Califano, the
assistant for domestic affairs
to President Lyndon
Johnson, recounts one
occasion when Plumeri
spoke at a fundraising event
for addiction. “As [Plumeri]
spoke, some guests cried.
Some cried so hard they had
to leave the room to
compose themselves. Over
the months since, many who
were there that night told
me Joe’s talk had profoundly
affected their own lives.”
This may be true. After all,
Plumeri tells us later that
when Mitt Romney was
running for president in
2012 he came to meet the
former Willis boss in his New
York office. “‘You’re a great
speaker,’ he told me. ‘Is there
anything you can tell me?’”
Reading this book is at
times like being barracked in
a bar by a tin-eared
stranger. “You’ve read this
far . . . and if you’re like
people in groups I speak to
around the country, chances
are you’ve been doing a lot
of nodding your head at the
The riff
Age matters if it is in the mind
MIAN RIDGE
Gabriel Garcia Marquez’s
platitude, “age is not how
old you are but how old you
feel”, may been given fresh
meaning. Research in
Germany, prompted by the
greying workforce of the
industrialised world, has
found that employees who
consider themselves
younger than they are
enjoy greater success at
work than those who have
a more realistic view of
their years.
In the UK, where older
workers are the biggest
winners from a rising
employment rate —
accounting for two thirds of
net gains in employment in
the past five years — the
government has made the
case for their productivity.
Some companies,
however, may have more
productive long-lived
employees than others. The
study, published in the
Journal of Applied
Psychology, looked at 15,164
employees in 107 German
companies in sectors from
retail to finance. It found
that while the youngest
employees, aged under 25,
Thursday 9 April 2015
points I’ve made throughout
this book.” No. “I know I
made some of you smile,” he
continues. No, no.
This is a book, he says, to
be enjoyed with friends, over
tea, or a bottle of red. “Call
up friends and loved ones or
colleagues and read a
paragraph or two out loud
. . . take turns reading, and
then talk over some of the
points.”
It is difficult to imagine
who this is aimed at. A
teenage recruit to the
Rotary Club? There is little
in this book that has not
been in many business
books before.
Yet there is something
irrepressibly guileless about
the author. This makes him
likeable, which
demonstrates the power of
being yourself, perhaps.
Also, amid the relentlessly
upbeat calls to espouse your
vision and passion, the plea
to enter the fray and try
things out, there is a dark
undercurrent. In 2008,
Plumeri’s oldest son
Christian died suddenly
after battling anorexia and
drug addiction. Not
surprisingly, this had a
profound effect on the
businessman. The book is
shot through with guilt.
Christian “was always
looking for something to fill
the void but never finding
it,” Plumeri writes. “Nothing
could work for long because
what he really wanted was
the basic love and support
that I failed to give him
when he was a boy.”
Long hours at the office
and devotion to business
are to blame, he writes. “I
got so caught up in my
career that I was blind to my
kids’ needs.”
No one can ever know if
Plumeri had spent less time
in the office that things
would have been different.
Yet, ultimately the
stronger message is not
about being your most
authentic self, it is to pay
attention to life beyond
work. As the author writes:
“I have to live with [my]
failure — but you don’t.
There’s still time for you.”
The reviewer is a writer for
Business Life
iStock
felt older than they were,
other workers tended to feel
younger as they aged. By 50,
workers felt on average
more than eight years
younger than their years.
The younger they felt, the
more productive they were.
In companies where
employees tended to feel
their real age, productivity
was 5-6 per cent lower.
Two factors made the
difference: work that was
regarded as meaningful,
and the absence of
age-exclusive practices,
such as limiting training to
age groups.
“As workforces age,
employers are concerned
that productivity will
decrease. That is not so,”
says co-author Florian
Kunze, from the University
of Konstanz. “What matters
is not chronological age but
subjective age.”
Expect more research
into how to promote
youthfulness, even if it is
illusory, at work. The study
even suggests that future
subjects should include
“premature balding or
greying”.
Thursday 9 April 2015 ★ FINANCIAL TIMES 11

ARTS

Museum makes an
raises the question: what happens if it
detects one? Is everyone patted down?
All these artefacts suggest that our
space has been radically redefined by

exhibition of itself
big data: we live in cities that are dense
with a fog of digital information and
surveillance.
There are instances here of more con-
crete change in the city too. An anony-
mous stainless steel bollard from the
London’s V&A is the subject of an ambitious new show London Olympic Park inserted amid the
florid wrought iron of the metalwork
about citizenship and public spaces. By Edwin Heathcote galleries speaks of the fear of terror
metastasising across the urban fabric.
Designed to stop a truck travelling at

T
he erosion of the public
realm has left the public
museum as one of the last
truly civic spaces. Britain’s
state museums in particu-
lar, with their free entry, their complex
legacy of global imperial plunder,
philanthropy, Victorian didactic intent
and worthy contemporary inclusive-
ness, represent a remarkable network of
public places. And the contention of the
Victoria and Albert Museum’s latest
show is that they belong to us. The ques-
tion is: how to use them?
All of This Belongs to You is an attempt
to explore both the role of the museum
in society and what it means to a citizen
in the 21st century. In this, it is hugely
ambitious and this is an important,
subtly subversive show of a kind that is
rare in the consumer-led world of
contemporary design.
Using a variety of media and tech-
niques, the curators have interspersed
some fascinating ideas and reflections
throughout the very Victorian body of
the building. The artefacts here tell sto-
ries about surveillance and fear, about
terror and taxonomy, about the milita-
risation of the public realm but also
about the creative response to these
narratives.
To take an example, the pamphlet
“Vendor Power” is an easy-to-read doc-
ument outlining the rights of street ven-
dors in New York, a simple effort to help
them in their confrontations with offi-
cials who might want to move them on
or impose fines. It was developed by the
Centre for Urban Pedagogy, a non-profit
coalition of architects, designers and
artists, and its intention is to make
urban life better — not for the creative
classes but for the struggling immi-
grants and budding entrepreneurs who
operate the city’s food carts. That this
piece of graphic design is the best thing
in the architecture section of the exhibi-
tion demonstrates quite how poor archi-
tects have been at addressing the real,
everyday problems of the citizen and
the landscape of micro-commerce that
gives the increasingly corporatised
street its buzz.
The London-based architecture/art
collaborative Muf has chosen to inter-
vene in the V&A’s Renaissance Galleries.
Most of the artefacts here come from
public spaces — statues, fountains, col-
umns and so on. So Muf has decided to
reappropriate it as a civic space.
Beneath a vaulted arcade is a long table
for holding seminars; plush cushions
invite visitors to sit on plinths; and
groups are invited to use the space.
British artist James Bridle also looks
at the nature of the exhibits, but he is
equally interested in their backstories
and has identified a curious parallel
with the surveillance society. Having
developed a computer algorithm for
randomly selecting objects from the
V&A collection, he then displays the
chosen object alongside a mass of docu-
mentation. These visually striking
stacks of folders, letters of provenance,
artefacts and files are set in high-tech
vitrines.
Bridle suggests that the way his algo-
rithm picks objects from the archives
and pulls together their extensive docu-
mentation echoes the way in which
intelligence agencies trawl populations
to identify persons of interest. The
museum’s meticulous archive becomes
the cultural equivalent of big data. What
happens is both surprising and delight-
ful. The objects selected might have the
most tenuous links to the content they
are expected to represent: a European
hat is chosen to represent America
because it is adorned with feathers from
a Brazilian bird; a boomerang represents
Australia but comes from India.
Subversive: Yet this randomness also brings out
clockwise from the richness of the stories behind the
above, stainless objects, the currents of cross-cultural
steel bollard; influence and global trade. The
WikiLeaks scarf machine’s blend of stupidity and intelli-
by Metahaven; gence becomes compelling. How much
‘The Ethics of of this complex backstory emerges from
Dust: Trajan’s the vitrines and their rather inadequate
Column’ labels is moot, but the rewards are there
installation by for the dedicated.
Jorge Oteros- The only really conventional display
Pailos here is set in the design galleries and
Peter Kelleher; Meinke Klein explores secrecy in contemporary soci-
ety. Star of the show is the smashed-up
laptop and hard drive of a Guardian
computer that stored the files of the
Snowden revelations illustrating the
extent of US National Security Agency
surveillance. The Apple MacBook is
a design object in its own right but
made more compelling here by the
deliberateness of the attack on its
circuitry and hard drives. This was a
gesture of iconoclasm — the files were
stored elsewhere round the world — but
the parallel here is clearly with the
destruction of statues’ faces during the
Reformation or with Islamists’ current
desecration of figurative art.
This is the gestural iconoclasm of the
age of data and design. Alongside it is a
Cryptaphone 500, a smartphone made
by German manufacturer GSMK that
automatically encrypts communica-
tions. Beside it is a clunky-looking elec-
tric typewriter in 1980s porridgy com-
puter beige. This is an example of the
type acquired en masse by the Russian
FSB in the wake of the NSA revelations,
a reaction to the ubiquity of surveillance
and the retreat back into the analogue.
There is also a “USB condom” that
stops charging points from stripping
data from phones and a rather sinister
grey stand that detects bugging or lis-
tening devices in meeting rooms and
40mph and costing about £10,000 each,
these bollards stud Britain’s public
spaces as architects and developers
build paranoid security into their struc-
tures. But what is missing is the massive
substructure that makes the bollard so
impregnable: a fitting metaphor for the
show’s ambition to reveal the hidden
layers of intention inherent in the secu-
rity state.
Alongside these seemingly banal
exhibits, the commissioned artworks sit
a little uneasily. Jorge Otero-Pailos’s
enigmatic latex impression of the inside
of the museum’s cast of Trajan’s Column
hangs like a ghostly figure, intriguing
but not contributing much to the argu-
ments about the civic realm. The exhibi-
tion’s biggest disappointment is its
attempt to set up polling booths for the
UK general election inside the institu-
tion as a reminder of this as public
space. Apparently this would have con-
travened regulations on how far voters
are expected to walk in a polling station.
This sums up the other problem with
the show. In scattering the exhibits
throughout the building, the curators,
Kieran Long, Rory Hyde and Corinna
Gardner, intelligently interrogate the
nature of both collection and institution
but its effect is dissipated by its dispersal.
This is an important exhibition about an
important subject and it would probably
demand a big blockbuster show to make
itspoint.Butthebiggalleriesaredevoted
to the paying exhibition Alexander
McQueen: Savage Beauty and a forthcom-
ingshowentitledLuxury.
This is, in itself, revealing. The
museum is part of the infrastructure of
public space, but it must also operate as
a business. I hope it remains the deter-
minedly public — and free — space its
curators suggest it needs to be.
Until July 19, vam.ac.uk

Dizzying whirl of saints and whores

Ambitious:
OPERA Katharina
Ruckgaber
Euryanthe and Eric
Oper Frankfurt, Germany Cutler in
aaaee ‘Euryanthe’
Monika Rittershaus
Shirley Apthorp

She is an icon of purity. She is a slut. She

is a pitiable creature. She deserves to die.
She is a saint. The men in Euryanthe’s
world are stupendously inconsistent in
their opinions of her.
Carl Maria von Weber’s 1823 opera
should be staged more often, not least
because of the light it sheds on music his-
tory. Euryanthe sits snugly between Così
fan tutte and Lohengrin, a transitional
reflection on female fidelity. As usual,
the men get off lightly.
For the Frankfurt Opera’s new pro-
duction, Johannes Erath takes a decon-
structive look at male society and
images of femininity — the virgin bride,
the snake, the angel, the whore. Between
them, innocent Euryanthe and her
scheming rival Eglantine cover the
whole spectrum. The men are voyeurs
and protagonists, interchangeably nasty.
Heike Scheele’s set is part theatre, part
upmarket bar, with a graveyard that
forms a set-within-a-set to represent the
dead but omnipresent Emma, herself,
here, one of Euryanthe’s unhappy dou-
bles. Emma’s suicide is the deadly secret
of her brother Adolar; her ghost must be
redeemed by the innocent distress of his
betrothed, Euryanthe.
The action is set in the prim 1950s
(costumes: Gesine Völlm), where gen-
tlemen salivate over erotic dancers but
want their women chaste. Erath’s pro-
duction plays with time loops and flash-
backs, so determinedly non-narrative
that you need to concentrate to work out
what was originally meant to be happen-
ing. After an opening crowd scene
wrought with such fanatical detail that it
is dizzying, Erath seems progressively to
forget his chorus. Overall there is some-
thing disjunct about this production, a
blurring of internal logic and an
encroaching incoherence.
Roland Kluttig could have smoothed
over some of the rough edges had he
conducted with fire and conviction,
rather than a four-square, colour-by-
number approach. Eric Cutler tackles
the knotty part of Adolar with courage
and skill, James Rutherford makes a for-
midably villainous Lysiart, Heidi Melton
is fruity, vindictive and subversively
gleeful as Eglantine. She steals the show
from Erika Sunnegårdh, whose costume
and role both seem a little too big for her,
despite formidable dramatic presence.
Given the ghastliness of Helmina von
Chézy’s libretto, the Frankfurt team has
done well to dig out so much substance.
But this production’s ambition is its
downfall; when the curtain falls, the
audience is left bemused. Maybe it will
settle as the run progresses.
To May 3, oper-frankfurt.de

THEATRE
La Maison des chiens
Théâtre Monfort, Paris
aaaae
Laura Cappelle
The first face that greets you in Vlad
Troitskyi’s La Maison des chiens is a
woman squatting on her heels behind
the bars of a metal cage, with an eerily
fixed gaze. Outside the venue, slightly
sinister warnings have been issued to
follow any orders during the perform-
ance; inside, as the audience huddles on
benches atop the large cage and peers
down at its inhabitants, a sense of trepi-
dation settles in.
Ukraine’s avant-garde Dakh Theatre
was last seen in Paris in 2012, before the
ongoing war in the country; shut down
in 2013 because of financial difficulties,
it reunited in March last year, as the
conflict started to take hold in Donbass.
Its first endeavour was a new version of
a 2010 production, Oedipus. A Dog’s
House, and at the Théâtre Monfort, the
result was as sibylline as ever, yet
resonated with a stark sense of purpose.
The scenography alone stuns and dis-
orientates. In the first part of La Maison
des chiens, we watch from above as life
unfolds in the cage, so low that the char-
acters walk stooped or squat down. The
community could be a prison or an
internment camp, and there is a quiet
Strange spell: ‘La Maison des chiens’
despair to the way the inmates seem to
be merely surviving. Food, a sorry mix-
ture of bread and milk, is served in dog
bowls; the community sways and sings
coarse songs at the whim of the main
guard, yet violence lurks at every turn.
The situation is reversed after the
interval, and the audience ushered into
the cage. What happens next is not for
the claustrophobic, but the previously
blunt text switches gears. Inspired by
Sophocles’s Oedipus Rex, the cast stands
above our heads with torches and alter-
nates grave hymns or incantations with
mysterious stories about Cain or Abel.
Troitskyi’s mystical world seems to
butt here against the senselessness of a
reality heightened by war. It is an
uncompromising attempt to probe the
Ukrainian psyche, occasionally inacces-
sible to the foreign viewer despite its
wider resonance (live translation is pro-
vided through headphones, though not
for the songs). The second half stops
short of disrupting the audience’s rela-
tive comfort; we are released with more
questions than answers, but Dakh’s
strange spell endures.
To April 18, lemonfort.fr
12 ★ FINANCIAL TIMES Thursday 9 April 2015

See the similarity? Biosimilar versions of the biggest biotech drugs

are unlikely to take large amounts of market
2014 Sales share any time soon, but they could have a big
$bn impact on pricing and therefore revenue
12.5

9.0 8.5
Twitter: @FTLex Email: lex@ft.com
6.9 6.6 6.2 6.0
4.6

Shell/BG: needs to hit a home run. It has VMware:

promised a lot on assumptions of $90 Humira Remicade* Enbrel* Lantus Rituxan Avastin Herceptin Neulasta
shelling out oil in a few years’ time. What makes weather delay
those assumptions plausible is unclear. Per cent of company revenue from each drug
Babe Ruth, the baseball great, swung To truly score, this deal must make AbbVie J&J Amgen Sanofi Roche Roche Roche Amgen Add VMware to the list of once-
9% 24%
for the fences. His style made his name sense near the current oil price. dominant software companies
synonymous with home runs. Few struggling to adapt to the cloud era.
remember he also led the league in 19% 15% 14% 13% 24% VMware mainly sells software to run
strike outs. History favours bold Ali Pictures: data centres efficiently, but most of
moves. Royal Dutch Shell, too, has gone these are on-premises private-data
for glory. It made an aggressive play by words, camera, action 63% Merck 5% Pfizer 8% centres, whereas most of the growth in
announcing an almost £55bn computing is in shared-data centres —
(including debt) cash and shares bid Never mind Alibaba. Jack Ma is Midas. Patent expiry the “public cloud”.
for UK-listed BG Group yesterday. Yesterday, shares of Ali Pictures — a (Europe/US) Most of VMware’s $6bn in revenue
The two complement each other. 60 per cent-owned subsidiary of comes from sales of vSphere, virtual-
Both depend on natural gas projects for Mr Ma’s Alibaba — rose one-third on isation software that makes data
production growth, mostly in liquefied news that it might receive two assets 2018/2016 2015/2018 2015/2028 Expired/2018 Expired/2016 2023/2019 Expired/2019 2015/2015 centres run more efficiently by
Source: companies, Goldman Sachs (patent dates) * Two companies shared the revenues for these drugs
natural gas. Shell has strength in the from its parent. No detail was given on allowing several applications to run on
Asia-Pacific while BG has strong payment or the assets’ accounts. Yet the same computer. vSphere has a near
positions in the Atlantic basin. More the market deemed the numberless Big pharma groups crushed by patent different manufacturers have different to biosimilars. In Europe (where 80 per cent share for on-premises
important, these projects (though deal worth $3bn, pushing Ali Pictures’ expirations in the first decade of this names? Should pharmacies fill these have been taking hold, slowly, servers, according to Nomura. With
capital intensive) tend to have very market capitalisation above $10bn. century spent the second rushing prescriptions for the original with its since 2007) a biosimilar for Merck’s such saturation and the limited growth
long lives, well beyond the roughly Ali Pictures was ChinaVision before into biotech. Biotech medicines — biosimilar? If a biosimilar is approved blockbuster Remicade is starting to in the on-premises market, VMware
10 years for most oil projects. the Alibaba investment last March. It is proteins grown from live cells — had, for one condition treated by the hit sales hard. Biosimilars will grow must look elsewhere to grow.
Moreover, both have deepwater oil now, in effect, a start-up, relisted last in effect, infinite patents. There was original, does the approval cover the gradually; but the issue is less about One promising area is data centre
reserves, overlapping in Brazil with December after a suspension for no regulatory route to market for other conditions, too? market share than how a cheap management software, which VMware
projects such as Lula (BG) and Libra accounting problems under the old copies of drugs with expired patents. Given these ambiguities — and that alternative affects the original’s price. sells to one in seven of its vSphere
(Shell). There is a reason that rumours management. The new company has In the US, the 2010 Affordable Care both approval for, and production of, Much work lies ahead. And customers. The company has also
about a Shell bid for BG have surfaced glitzy connections. Act set up a path. And finally, last biosimilars are tricky and expensive — originator companies will fight hard. developed hybrid cloud software that
regularly over the past decade. Since October it has signed deals month, US authorities approved a the market has been sanguine about But if the biosimilars work perfectly helps companies with on-premises data
One threat to the deal could come with TV and film partners in biosimilar of Amgen’s Neupogen the impact of biosimilar competition well (as they seem to) the economic centres to bridge the gap to the public
from competition authorities. Shell and Guangdong, Shenzhen and Zhejiang. In ($1bn in annual sales). on originators’ profits. Shares in groups pressure on all health systems will cloud. But VMware lacks a great
BG might gain some pricing advantage January it said that its first film project There are still hard questions for reliant on biomedicines with patents probably carry the day, in time. product in the public cloud, where the
on liquefied natural gas, in Europe would involve director Wong Kar-Wai regulators, health insurers and near expiry (AbbVie and Roche, say) Liberum, a rare research house that market is dominated by competitors
particularly. The combined company and actor Tony Leung. Last December doctors. The drugs are complex; the appear unperturbed. takes biosimilars seriously, thinks such as Amazon Web Services. The
would become the world’s largest the actress Zhao Wei bought nearly a original and the biosimilar are not This relaxed view may be mistaken. these will keep Roche’s margins flat firm’s core technology — virtualisation
natural gas producer. Both companies 10th of the company for $400m. identical. It is not perfectly clear if Big companies with lots of biotech for the next five years. Consensus — is also under pressure from
plan to continue with asset sales — they The first of the possible injections, the differences matter. So should experience — Amgen, Roche, Biogen calls for a big margin expansion. The competing technologies. A Nomura
have $30bn planned for 2016-18 Yule Bao, was established in March biosimilars of the same drug from Idec — are committing piles of capital next decade will be interesting. survey found that one in four
between them. It is possible that 2014. It raises “retail” funds for respondents had seen vSphere lose
regulators may ask for more or entertainment content: investors buy business due to competing “container”
different divestitures. Getting the an “insurance product” yielding technology.
divestitures done at favourable prices 7 per cent and the proceeds fund will continue to fund the company is a listed companies held for more than negative signal to would-be investors. Cloud computing could reshape
will require a bounce in the oil price. productions. (Although it looks similar mystery. Even Midas needed to touch two years, unless investors opt out. By contrast, Italy’s reformist Matteo VMware’s business model in profound
By acquiring BG, Shell will add more it is not a crowdfunding model because something solid to produce gold. Previously firms had to opt in to the Renzi-led government in February ways. VMware forecasts the transition
than a quarter to its ailing 13bn barrel of regulations). The ticket size is $16- doubling mechanism, which is heeded the calls of investors and to the cloud will reduce revenues by
oil reserve base. This is important: $160. Last year’s first $12m funding call ostensibly aimed at promoting long- abandoned a provision that would have about 1 per cent this year due to
Shell has replaced only about 80 per sold out in five days. The second asset Renault: term investment and loyalty. Renault’s allowed companies to award double different software as a service billing
cent of the reserves it has consumed is Alibaba’s online cinema ticket April 30 meeting resolution aims to opt voting rights on the say-so of an (easily model. The company expects revenue
over the past three years. Rivals Exxon business, also set up a year ago. hostage to government out and stick with one share, one vote. mustered) 50 per cent majority, from growth this year to slow to 11 per cent,
and Total have more than replaced Combined with Ali Pictures’ content, The Florange law echoes proposed two-thirds previously. It has also its lowest level since the financial crisis.
their reserves over that period. The the new assets could help to create an The things the French government will changes to the EU’s shareholder rights tackled another aspect of Italy’s Its market cap is $35bn. Free cash flow
deal will also lift Shell’s production by integrated funding-to-distribution do to retain control over its national directive. But far from rewarding anachronistic governance with its fell 16 per cent last year. For now,
more than a fifth. model. China’s pay-TV market is worth champions. This week it temporarily investor loyalty it comes across as reform of Italy’s popolari mutual banks VMware will still be able to grow,
Yet while Shell needed to take some $19bn, just a fifth of the US’s, according lifted its equity stake in Renault to protectionism, and can entrench the — so sending an investor-friendly sign. thanks to its dominant position in
bold action, it has paid a high price. At to IHS Technology. Chinese people 20 per cent, from 15 per cent, purely to grip of dominant shareholders at the The French government is on-premises data centres. But the
a 50 per cent premium to the spend half as much time watching TV block an annual meeting resolution by expense of minority investors. perpetuating a system that stiffs world may be changing faster than
undisturbed price, the multiple of as Americans. So the potential is there. Renault that would curb Paris’s sway Paris will sell the extra stake after it minority investors under the guise of VMware can keep up.
enterprise value to 2016 cash flow But Ali Pictures has so far produced over the carmaker. has blocked the resolution — never wiping out short-termism. Reward
(adjusted for financing costs) nothing; the state of the balance sheet At the heart of this kerfuffle is the mind what is right for Renault’s wider loyalty with dividends. And attract
approaches 11 times, double Shell’s is unknown; what or how it will pay for government’s Florange law, which investment case. Yet for all its defence job-creating capital with good Lex on the web
For notes on today’s breaking
multiple. Even accounting for the the new assets is unknown; and the automatically — bizarrely, even — of progressive, long-term capitalism, governance and one share, one vote stories go to www.ft.com/lex
depressed earnings in the sector, Shell extent to which the generous Mr Ma grants double voting rights on shares in the French state’s action sends a democracy. No ifs, no buts.

1000
1000 Today’s temperatures
50 LOW
LOW
Abu Dhabi Sun 34 Malta Sun 16
1010 Amsterdam Cloudy 16 Manila Sun 34
11
Ankara Thunder 9 Miami Cloudy 30
16 Athens Shower 13 Milan Sun 20
14 8 Bahrain Sun 32 Montreal Rain 6
Barcelona Sun 16 Moscow Fair 8
1010
16 Beijing Sun 17 Mumbai Sun 32
Belfast Sun 16 Munich Sun 17
16 Belgrade Sun 15 Naples Sun 18
13 13 Berlin Cloudy 14 New York Drizzle 7
16 14 Brussels Fair 16 Nice Sun 16
20 HIGH HIGH 1030
Budapest Sun 17 Nicosia Fair 20
17 1020 Cairo Sun 22 Oslo Sun 16
24 15
Cardiff Sun 17 Paris Sun 19
LOW
19 17 Chicago Thunder 20 Prague Fair 13
18 Cologne Fair 16 Reykjavik Snow 3
15
Copenhagen Fair 12 Riga Cloudy 12
21 16 Delhi Sun 32 Rio Fair 28
18 9 Dubai Sun 32 Rome Sun 18
Dublin Sun 16 San Francisco Fair 17
HIGH 18 LOW
Edinburgh Sun 16 Singapore Thunder 31
18 14 1030 18 Frankfurt Fair 16 Stockholm Sun 14
20 13 Geneva Sun 19 Strasbourg Sun 19
20
Hamburg Cloudy 13 Sydney Fair 20
LOW 13
Helsinki Sun 11 Tokyo Sun 13
25 18 21 Hong Kong Fair 22 Toronto Thunder 13
41 Istanbul Rain 10 Vancouver Sun 14
22 HIGH
Lisbon Shower 18 Vienna Fair 14
Wind speeds in KPH 16
London Sun 20 Warsaw Sun 13
Forecasts by Los Angeles Sun 22 Washington Cloudy 15
Wind speed Luxembourg Sun 17 Zagreb Fair 14
in KPH Madrid Shower 14 Zurich Sun 18

ACROSS 2 Bodily substance of England’s

CROSSWORD 1 British city’s drains (6) opener and No. 11? (7)
No. 14,900 Set by BRADMAN 4 Geared-up bishop was in 3 Like something studied by vicar
marathon maybe (6) travelling in cold train? (9)
       8 After one short day chief becomes 5 Accommodation using basic
king? (7) cleaning devices first off (5)
9 Old maiden in tactile experience 6 Paramedic working with journalist
  gets more than is wanted (3,4) rejected drink (7)
11 Puzzle misery to us puzzling (10) 7 Exceptionally deft clue I made up
 12 Opposing battle without court’s (9)
 
backing (4) 10 One sending on a message
13 Yesteryear’s Tony enthralling one supporting prison employee (9)
country (5) 13 Naughty saboteur seen around
14 Theologian takes rock face into end of park escapes (9)
  
river (8) 15 Force prisoners on to vehicle at
16 Sneer about fine shopkeeper with station? (9)
expensive goods? (8) 17 Survey quarry after fire upset (7)
    18 Chemist illustrious but ultimately a 19 Someone using vessel to cross
bit twisted (5) lake for fish (7)
20 One sort of bird driving other sorts 21 Sporting venue where cards were
   back (4) played right: Queen, Ace and
21 Search by one remarkable person Jack (5)
who wants an answer? (10) 22 Silver forged without letter to
 
23 Daughter is among crazy people indicate Queen or King (5)
who make an exhibition of
themselves? (7) Solution 14,899
24 Prisoner in awful pit, in hollowed- ' ( % 5 (
< $ 6
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1
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out space (7) 6 8 5 $ %

















CROSSWORD
No. 14,845 Set by NEO



















ACROSS
1 Important Viking one among best
friends (5,4)
6 Socialite with appeal makes left-
side entry (5)
9 Brazilian city as far as we’re
concerned ungovernable (7)
10 Obscure English knight against
European rebuffed (7)
11 Poor nation’s little island in hot
current (5)
12 Caught flamboyant cardinal in
Seventh Heaven? (5,4)
14 Notice flock encircles houses (3)
15 Alarmist financier reversed into
second vehicle bearing right (11)
17 German poet’s the writer
embracing pub vocalist (11)
19 Moggy fur with hole concealed? (3)
20 Earl, King and Queen on
DOWN
1 Hard maths topic written up to find
circumference (5)
2 Love comes in no time, wildly, for
passion (7)
3 Disagreed also with a thousand
children (4,5)
4 Bond gets to a casino and is
beaten (11)
5 Beast summarising Tokyo-London-
Tokyo trip? (3)
6 Painter died hungry (5)
7 Discount supermarket name in
GB’s upturn with loss on top (7)
8 As 007 mission to Spectre might
be? (3-6)
13 Dope sheathes weapon in open
coat (11)
14 Soul an unknown factor in some
men? Fearless pilots? (9)

$ < $ : $ 5 6 $ :
25 Go wrong in attempt to provide
   Hampshire river’s banks (9) 16 Girl having paddle round saw
22 Ambassador in temple finds grain manor demolished (9)
(5) 18 Mistress Gwynne about to be
 
24 Ardent Green must change leader announced in sport (7)
(7) 19 Side issue for Clintons (7)
26 As one’s despicably mean, small 21 Having ducks in horses area
tips for servants materialise (2,5) causes commotion (3-2)
JOTTER PAD 27 Sauce unfortunately knocked over 23 Crime article Financial Times
contains sulphur (5) provides (5)
28 Related martial artist stops at 25 Sick at first, old man here for
Bedouin residence (9) healthy holiday (3)
Solution to Saturday’s prize puzzle on Saturday February 14
Solution to yesterday’s prize puzzle on Monday February 16
Winners’ names will be printed in Weekend FT

$ 5 - ( + 7 +
5 + 2 1 ( 0 , 1 1 ( 6 2 7 $
drink before meal? (6)
JOTTER PAD 26 Animal home is beyond road
7 : 5
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Thursday 9 April 2015 ★ 13

Shell B Mylan Alibaba Sterling/dollar Brent oil US 10-year Hang Seng Gold
Currency wars Is the dollar Treasury
the latest victim? 8% 13% 3.7% 0.7% 4.4% 3bp 3.8% $6
ANDREW BALLS, PAGE 20
£20.20 $67.30 $85.25 $1.4914 $56.52 1.92% 26,236 $1,201

Olsen to be chief of Holcim-Lafarge Short

View
Cement groups move to end turbulent few weeks in which €41bn tie-up almost collapsed
the job should go to someone with an month agreed to become co-chairman subsidiary of Lafarge, where he became
James
MICHAEL STOTHARD — PARIS
international background who has the of the combined company instead,
A remaining chief financial officer in 2004. He Mackintosh
Eric Olsen is set to become the first chief power to unite the two rival groups and alongside Holcim chairman Wolfgang concern helped to guide the company as it was
executive of a combined Holcim and push through a difficult deal. Reitzle. They agreed that a new chief is the delisted from the stock exchange and
Lafarge, as the two cement groups Tensions between the two companies executive candidate would be chosen by became executive vice-president of History has not judged megamergers kindly. Of the 10 big-
attempt to draw a line under a turbulent flared up last month, after a campaign Lafarge and agreed by Holcim. opposition operations in 2013. gest, five took place shortly before the bursting of the dot-
few weeks in which their €41bn tie-up by Holcim to prevent Lafarge chief exec- People close to the talks said that Mr of minority In his new role, Mr Olsen will not only com bubble, including Vodafone’s notorious acquisition of
came close to collapse. utive Bruno Lafont from taking the top Olsen had been chosen partly for his have to marry two sprawling companies Mannesmann. Another three were in the late stages of the
People familiar with the companies’ executive role at the combined group. international experience, but also Holcim that have very different corporate cul- pre-Lehman boom, notably the purchase of ABN Amro by
discussions said that both had approved Conflict between Mr Lafont, who is because of his knowledge of the indus- shareholders tures, but also achieve €1.4bn of syner- a Royal Bank of Scotland-led consortium — perhaps the
the selection of the French-American French, and the management of Swiss trial, financial and human resources gies from the deal — a number that has dumbest deal of all time.
manager, who has worked for Lafarge group Holcim developed over the past side of the business. been questioned by many analysts. Royal Dutch Shell’s £55bn deal for BG Group yesterday
since 1999 and is executive vice-presi- year, say people close to the companies, Mr Olsen graduated from Colorado One remaining concern is the opposi- ranks as the ninth-biggest in that list, according to Dea-
dent of operations. and was partly blamed on cultural dif- University and the HEC School of Man- tion of minority Holcim shareholders, logic. So, should shareholders be concerned that the return
Mr Olsen’s appointment is expected ferences in management style. agement in Paris and started his career including Russia’s Eurocement, which of the titanic takeover means equities are toppy?
to be announced as early as today, the After a string of late-night negotia- working at the consultancy Deloitte & owns 10.6 per cent of Holcim. Start with the past. It is no coincidence that the really big
people added. His nomination follows tions, where the deal was more than Touche. Holcim and Lafarge declined to deals happen when the market is frothy. The logic is the
demands from major shareholders that once near collapse, Mr Lafont last In 1999 he was recruited by the US comment. same as that behind the world’s tallest towers: investors
and lenders are willing to countenance such financial non-
sense as the Burj Khalifa, or London’s Shard, or AOL-Time
Warner only when they are overly complacent.
Shares already look toppy. US equities have been more
expensive on price to forward earnings only in the dotcom
Silver bullet bubble and its aftermath. On the longer-term Shiller meas-
ure, of price to 10 years of earnings, US shares have been
China trains merger more expensive than now only in the dotcom era and 1929.
The boom in European markets this year means the
creates global leader eurozone is only just behind the US in terms of forward
p/e. Astonishingly, the median European stock is more
Shares in train manufacturer China CNR expensive than in the US, as Andrew Lapthorne at Société
powered ahead yesterday, rising 41 per Générale points out.
cent to HK$15.80 after the Chinese Yet Shell’s deal is no reason for panic. There is hardly an
regulator approved the group’s merger excess of enthusiasm in oil and gas. Rather than a chief
with state-owned rival CSR Corp to executive’s flight of fancy, it looks as though Shell is trying
create a global leader. a spot of bottom-fishing: at the start of this year, BG shares
In an announcement to the Hong Kong had almost halved since 2011. The total value of European
stock exchange, CNR said that approval deals does not look excessive, either (see chart).
for the deal had been granted by the Equally, European valuations can be defended. Profits
China Securities Regulatory are depressed so, if Europe is recovering — to be fair, a big if
Commission. — then valuations will look fine as earnings rebound.
CSR Corp and China CNR, which is There is no such excuse for US valuations, with shares at
already the world’s largest a high multiple of extremely high profits. With bond yields
manufacturer of rolling stock, generate depressed, shares can be said to look relatively appealing.
annual revenues of $16bn each, and had But such an apology for stocks works only so long as cen-
a combined market capitalisation of tral banks keep offering easy money.
about $26bn when the merger was
proposed at the end of December. M&A in Europe
Combining the groups is part of a plan Deal value MSCI Europe,
by Beijing to compete more effectively ($bn)* $ terms
against Canadian, European and 1200 2500
Japanese train makers. A decade ago, the 1000
two Chinese businesses were part of the 2000
800
same state parent group, but they were 600 1500
separated to promote domestic 400 The total value
competition. 200
1000 of European deals
CSR and CNR have been the primary does not look
0 500
suppliers of railway engines and cars to excessive
China’s high-speed rail network, which 1995 2000 05 10 15
over the past five years has grown to *6-month sum
become the world’s largest, with more Sources: Thomson Reuters Datastream; Dealogic

than 12,000km of track.

james.mackintosh@ft.com
Jason Lee/Reuters

Mylan makes $29bn offer for Perrigo

as drugs sector pumps up dealmaking
DAVID CROW — NEW YORK nation of a number of prior discussions”, often try to grow via dealmaking rather
is pitched at a 25 per cent premium to than investing in research and develop-
Mylan, one of the biggest generic drug
Perrigo’s closing share price at the end of ment. Valeant, a Canadian drug group,
groups, has proposed buying Perrigo, a
last week. Any offer would include “a agreed to buy Salix, a gastrointestinal
maker of cough medicines and allergy
very significant cash payment to Perrigo specialist, this year for almost $16bn
remedies, for about $28.9bn, as the
shareholders”. after a bidding war. Endo and Mallinck-
pharmaceuticals industry continues its
The shares jumped 25 per cent to rodt have become serial acquirers.
frenetic round of dealmaking.
Vivendi’s acquisitive chief $206 in early trade. Mylan added 13 per Perrigo acquired the Irish biotech
makes his shopping list The unsolicited cash-and-stock offer cent to $67.30, giving it a market capital- group Elan for $8.6bn in 2013 in a tax-in-
values Perrigo at $205 a share, accord- isation of $33bn. version deal, enabling it to cut its tax
Vivendi has entered talks with Orange ing to a letter to its chief executive, The takeover would be the latest as rate by moving its domicile to Ireland.
to acquire a majority stake in video site Joseph Papa, on Monday. acquisitive companies take advantage Mylan has also made a tax inversion.
Dailymotion. Arnaud de Puyfontaine, Mylan went public with its proposal, of cheap debt to lift revenues and earn- Ronny Gal, an analyst at Bernstein,
chief, says the deal will be the first of which some analysts interpreted as a ings. In the first three months of 2015, said: “Some deal involving Mylan is
many, though only targets “with sign its offer had been rejected by the the total value of healthcare deals likely . . . Reasonably, Mylan will need
intrinsic value” that can be tapped by Dublin group. Perrigo said its board reached $95.3bn, a 70 per cent increase to go higher to consummate the deal.”
Vivendi’s other units will be looked at. would meet to consider Mylan’s “unso- on the period a year ago, according to Goldman Sachs is acting as financial
Interview iPAGE 14 licited, indicative proposal”. data from Thomson Reuters. adviser to Mylan, while Cravath, Swaine
The proposal, described as a “culmi- So-called specialty pharma groups & Moore is its legal adviser.

Companies / Sectors / People

Companies
21st Century Fox.....................................14
ABN Amro....................................................13
AOL..................................................................13
AbbVie...........................................................12
Airbus.............................................................10
Ali Pictures.............................................12,17
Alibaba................................................12,16,17
Amazon....................................................12,16
Amgen............................................................12
Anadarko Petroleum.............................15
Apache...........................................................15
Apple.......................................................5,8,16
ArcelorMittal................................................8
Arup................................................................10
BAE Systems..............................................17
BG Group..............................1,9,12,13,15,23
BMW................................................................16
BP.........................................................15,23,24
Bank of America......................................16
Biogen Idec.................................................12
Blackstone....................................................17
Boeing............................................................10
Bunge.............................................................22
CSR Corp......................................................13
Cadbury.........................................................16
Cairn Energy..............................................16
Canal Plus....................................................14
Cargill......................................................22,24
Cheniere Energy.....................................24
Chevron...............................................9,15,23
China CNR....................................................13
China Vision Media................................17
Citigroup.......................................................14
Continental Resources.........................15
Dailymotion.................................................14
Danske Bank..............................................14
Dell...................................................................17
Deutsche Telekom.................................14
Devon Energy............................................15
Dollar Tree..................................................23
EDF..................................................................22
Emirates........................................................10
Endo................................................................13
Eni.......................................................................9
Erhvervsbank.............................................14
Erste Group................................................14
Eurocement.................................................13
Experian........................................................23
ExxonMobil.........................................1,15,23
Flipkart...........................................................16
Ford.................................................................16
Foster+Partners.......................................10
GDF Suez.....................................................14
GVT.................................................................14
Gazprom.........................................................9
GlaxoSmithKline.........................................5
Glencore.......................................................22
Goldman Sachs.........................................13
Google........................................................5,16
Haitong Securities.................................24
Hess.................................................................15
Hi3G.................................................................17
Holcim............................................................13
Hong Kong Exchanges.......................24
Hutchison Whampoa.............................17
ITV....................................................................14
Intesa Sanpaolo..........................................2
Itochu................................................................9
J Sainsbury.................................................23
JPMorgan.....................................................14
Janssen............................................................2
Johnson & Johnson..............................2,5
Kinder Morgan.........................................24
Kraft Foods................................................24
Lafarge...........................................................13
Lions Gate Entertainment.................23
Lululemon Athletica..............................23
Mallinckrodt................................................13
Merck...........................................................5,12
Microsoft.....................................................5,8
Mondelez.....................................................24
Mott MacDonald......................................10
Mylan........................................................13,23
Myntra............................................................16
NTT..................................................................17
Netflix............................................................23
Nokia...............................................................15
Novo Nordisk.............................................15
Ophir Energy.............................................23
PDVSA.............................................................9
Perrigo.....................................................13,23
Petrobras........................................................9
Peugeot.........................................................14
Realkredit Danmark...............................14
Renault.................................................8,12,14
Ricoh.................................................................9
Rio Tinto......................................................22
Rite Aid.........................................................23
Roche..............................................................12
Royal Dutch Shell............1,9,12,13,15,23
SEB...................................................................14
SFR...................................................................14
Salix..................................................................13
Singapore Telecommunications.....17
Sky.............................................................14,23
Slovak Telekom........................................14
St James’s Place......................................23
Statoil................................................................1
TDC..................................................................17
Telefónica.....................................................17
Telenor...........................................................17
TeliaSonera.................................................17
Tesco..............................................................23
Tesoro...........................................................24
Three Gorges Corp..................................4
Time Warner...............................................13
Tohoku Electric........................................22
Total................................................................15
Tullow Oil....................................................23
Universal Music Group........................14
VMware.........................................................12
Valeant...........................................................13
Visa..................................................................16
Vivendi.................................................8,14,23
Vodafone................................................13,16
Yule Bao........................................................17
Sectors
Automobiles..........................................12,14
Banks........................................................14,16
Construction...............................................13
Food Producers.................................22,24
Gen Financial....................................1,16,22
Gen Retailers.............................................16
Ind Engineering..............................4,10,13
Investment Comp.............................16,24
Media...................................................12,14,17
Mining............................................................22
Mobile & Telecoms.....................14,16,17
Oil & Gas....................................1,9,12,15,22
Pharmaceuticals..................................12,13
Real Estate..................................................10
Software........................................................12
Technology HW & Equ....................5,16
People
Assef, Karim...............................................16
Bahl, Kunal..................................................16
Cook, Tim.......................................................8
De Giorgi, Diego......................................16
De Puyfontaine, Arnaud.....................14
Falkengren, Annika................................14
Lafont, Bruno.............................................13
Lund, Helge...................................................1
Lund,, Helge...............................................15
Ma, Jack........................................................17
Majoroš, Miroslav....................................14
McCullen, Robert.....................................17
Olsen, Eric....................................................13
Papa, Joseph..............................................13
Reitzle, Wolfgang....................................13
Scaccabarozzi, Massimo........................2
Tillerson, Rex.............................................15
Van Beurden, Ben................................1,15
Voser, Peter................................................15

© The Financial Times Limited 2015 Week 15

14 ★ FINANCIAL TIMES Thursday 9 April 2015

COMPANIES
INSIDE BUSINESS
Cars
BANKS

Paris lifts Renault stake ahead of AGM Richard

Government spending up
to €1.2bn in push against
one share, one vote rule
MICHAEL STOTHARD
The French state has moved to maintain
its grip on the French automotive sector
by spending as much as €1.23bn to tem-
porarily increase its stake in Renault
and block a proposal that could lessen
matically grants double voting rights to
shares held for two years or longer
unless companies pass a resolution
mandating otherwise. Renault is tabling
a resolution to maintain the one share,
one vote system at the annual meeting,
and Paris is increasing its stake in order
to block this.
“It seems that Renault is being used as
a political football,” said George Galliers,
an automotive analyst with Evercore
ISI, adding that the vote clearly “goes
Milne
The move shows the state’s interest in ‘This deal Before the law was passed, anyone
maintaining a guiding hand over the car who owned shares in a listed company
shows the
industry; last year the government took
a 14 per cent stake in PSA Peugeot
Citroën. Mr Macron’s tactic echoes that
state’s
intention
for at least two years could be granted
double voting rights, but only if the
company made provisions to this effect.
Some unconventional
of French billionaire Vincent Bolloré,
who last month spent €632m to tighten
to . . .
promote a
The law reversed this, granting double-
voting rights automatically, unless the
therapy from central
his grip on Vivendi ahead of a share-
holder battle.
The increase in its stake was not
progressive,
long-term
articles of association state otherwise.
GDF Suez, the French energy com-
pany, has also said that it would table a
banks in Scandinavia
meant to be a long-term one, Paris said, kind of resolution to keep the one share, one
adding that it had acquired options to vote system at its meeting on April 28,
capitalism’

its control.
The treasury said yesterday that it
was buying an extra 5 per cent of the car-
maker, bringing its stake in the group to
nearly 20 per cent ahead of its annual
meeting on April 30.
The move follows the passing of the
“Florange” law last year, which auto-
against the company’s wishes”.
Emmanuel Macron, the economy
minister and a former investment
banker, said yesterday: “This deal
shows the state’s intention to use all the
arms at the disposal of investors today
to promote a progressive, long-term
kind of capitalism.”
Interview. Arnaud de Puyfontaine
protect the value of the stock. The value
of the 14m Renault shares being bought
would be €814m-€1.23bn, said the
state. Before the increase, France had
44.4m shares in Renault.
The Florange law came into force
after a political furore following the
closing down of a factory in 2012.
E
but since the government owns a third va Christiansen, a sex therapist, has found her-
Emmanuel of the shares this is likely to fail. self in the limelight after taking a loan from
Macron, The Florange law also requires large Realkredit Danmark, the country’s biggest
economy companies to make every effort, before lender.
minister closing a plant, to find a buyer willing to Ms Christiansen received a negative interest
keep it open. rate for her three-year loan, meaning the lender — part of
See Lex Danske Bank — is paying her to borrow money.
See Editorial Comment The interest rate of minus 0.0172 per cent — which
equates to her receiving about DKr7 each month from the
bank — is a sign of the Through the Looking-Glass effects of
extreme central banking measures in Scandinavia.
Plenty of central banks have resorted to unconventional
measures such as buying government bonds. But none
have gone quite as far as Sweden’s Riksbank or Denmark’s

Vivendi plans to embark on acquisition spree Nationalbank.

Talks to acquire majority
holding in Dailymotion
are just the start, says chief
MATTHEW GARRAHAN — NEW YORK
Vivendi may have taken some criticism
from an activist investor recently, but
Arnaud de Puyfontaine, chief executive
of the French media group, says he is
back on the front foot.
Vivendi, the owner of Universal Music
Group and Canal Plus, this week entered
exclusive talks with Orange to acquire a
majority stake in Dailymotion, the
online video site.
The deal will be the first of many, Mr
de Puyfontaine tells the Financial Times
in an interview amid visits to Vivendi’s
US-based shareholders.
“We are on a journey to become a fully
dedicated player in media and content,”
he says. “We are thinking about trans-
formational transactions.”
Reports have suggested that one of
The French group is
‘on a journey to become
a fully dedicated player
in media and content’
the potential targets could be Sky, the
pay-TV operator in which Rupert Mur-
doch’s 21st Century Fox owns a 39 per
cent stake, but Mr de Puyfontaine says
Vivendi has no interest.
He also rules out ITV, the British free
to air broadcaster, saying, “ITV is a great
company,” but it is “too expensive”.
The company will look at acquisition
targets “with intrinsic value” that can be
unlocked by Vivendi’s other businesses.
“We will not do deals just because we
can do them,” he insists. “We will do
deals that are fit for purpose and which
will create value for our shareholders.”
There have been many iterations of
Vivendi over the years. It started life in
the 19th century as a water utility under
Napoleon III and gradually branched
out to become a large collection of dis-
parate media, telecoms and gaming
holdings with a huge debt burden.
In the past two years it has been
aggressively streamlining by selling an
estimated €35bn of assets, including its
stakes in SFR, the French wireless car-
rier, and GVT, the Brazilian telecoms
group. When the last of the sales is com-
pleted by the end of May and the com-
pany has paid out its dividend, the
group’s cash position will be about
€11bn.
The cash has attracted activist inter-
est, with Vivendi’s strategy and divi-
dend policy criticised by P. Schoenfeld
Asset Management, a US hedge fund
that holds 0.8 per cent of the group’s
shares. PSAM wants a larger amount of
cash — about €9bn — to be returned to
shareholders and has also called for the
sale of UMG.
But Mr de Puyfontaine and Vincent
Bolloré, the French investor and entre-
preneur who is Vivendi’s chairman and
largest shareholder, have a different
plan. Mr de Puyfontaine says they have
begun to transform Vivendi from a
holding company into a streamlined,
operating company with integrated
divisions specialising in content and dis-
tribution.
“We want to use efficiently the
resources available to us,” he says.
Dailymotion is a case in point. Viv-
endi has agreed to buy an 80 per cent
stake in the company, valuing the online
video operator at €265m. Mr de Puyfon-
taine points to the possible synergies it
offers with Canal Plus and UMG. As a
digital distribution platform Dailymo-
tion has a vast, global reach and could
introduce UMG’s roster of artists and
Why do deals? Canal Plus programming to new, inter-
It won’t be ‘just national audiences.
because we can’, While not revealing potential takeo-
says Arnaud de ver targets, Mr de Puyfontaine is more
Puyfontaine keen to talk about Vivendi’s success in
Richard Young/Rex
Shutterstock
theatrical movie production: Studio
Canal, the movie arm of Canal Plus,
finances more movies in the UK than
any other entity and recently scored
with its big-screen version of Padding-
ton, which has been a box-office hit
around the world. Book publishing
could be another area for Vivendi to
explore, he suggests.
He hints that Vivendi needs greater
scale and more distribution options for
its content. Greater scale of distribution
would allow Vivendi to invest more in
its programming, he says.
The company is also exploring
expanding its concert ticketing busi-
ness, which could have significant bene-
fits if it is plugged in to UMG.
Those synergies would be lost if Viv-
endi sold UMG, as PSAM has proposed,
and Mr de Puyfontaine has stern words
for proponents of a break-up. “We are
strongly against a separation. There
would be a real risk attached to it,” he
says.
The Riksbank became the first central bank to take its
main policy rate — the repo rate — into negative territory.
Nationalbanken in turn cut its deposit rate — the
amount it pays or in this case charges banks for placing
money with it — four times in three weeks at the start of
this year to a world record low of minus 0.75 per cent.
Scandinavian bankers are under no illusions about the
test such rates pose to the financial system.
Annika Falkengren, chief executive of SEB, told share-
holders at the Swedish bank’s annual meeting: “We oper-
ate in exceptional times, where economic relationships are
turned upside down with negative interest rates. A devel-
opment that calls for caution; there is no history book to
turn to.”
A Danish banker is blunter. Dealing with negative rates
is like “learning to drive a car backwards”.
So far the impact appears manageable. Fears that nega-
tive rates could lead to widespread hoarding of cash, or
banks charging all customers for current accounts, are
wide of the mark. Many Danish banks such as Danske have
started charging their biggest corporate and institutional
clients for depositing cash,
and Swedish lenders such as
SEB have started discussions
Dealing with
with similar clients. negative rates is
After all, if the banks are
having to pay 0.75 per cent —
like ‘learning to
in Denmark’s case — for drive a car
depositing cash at the central
bank, it makes sense for
backwards’
those wanting to park large
sums at lenders to share some of that burden. (The central
bank has helped by greatly increasing the amount lenders
can deposit before incurring a negative rate.)
But most banks have been careful to avoid charging the
general public for current accounts. One exception was
Erhvervsbank, a small Danish lender that said in February
it would charge 0.5 per cent on deposits. Larger lenders say
they are keen to avoid any action that could encourage
consumer cash hoarding.
Similarly, negative rates for loans have so far not become
entrenched in Denmark, where many retail borrowers
take out short-term loans of one or three years. Even Ms
Christiansen will pay the bank each month due to the fees
on her loan. Recent auctions of short-term mortgage
bonds unexpectedly had a positive interest rate. That in
turn helped out some Danish banks, who had suggested
that they would suspend sales of new loans rather than
issue at negative rates.
Part of the problem, bankers say, is the financial equiva-
lent of Y2K — ensuring that banks’ computers can deal
with negative interest rates (many computers were sup-
posed to have difficulties dealing with the year 2000).
Many are revamping IT systems to ensure they can handle
negative rates for borrowers and depositors.
But there is concern over what happens should negative
rates persist for a long time. The biggest immediate con-
cern is over whether low rates will fuel housing bubbles.
Denmark, whose households are the world’s most
indebted, has seen prices in some parts of Copenhagen rise
above their pre-crisis peak. In Sweden, the Riksbank
remains deeply concerned about high levels of household
debt being pushed up further.
Scandinavian bankers also say that the longer negative
rates go on for, the more likely it is that normal consumers
could be charged for depositing cash.
One says: “We just don’t know how, in the long run, this
will affect us. It is so completely new. But the longer it goes
on, the more there is a risk of distortions.”
richard.milne@ft.com

Legal Notices
Mobile & telecoms

Slovak Telekom in €800m privatisation plan

HENRY FOY
— CENTRAL EUROPE CORRESPONDENT
Slovakia’s largest telecom company is
heading for a public flotation after it
failed to agree a potential takeover
with Deutsche Telekom and the gov-
ernment decided to sell its 49 per cent
shareholding.
Slovak Telekom, which provides fixed
line, broadband and pay-television
services, plans to list in Bratislava and
London. The privatisation could raise
as much as €800m, according to local
media.
“The [initial public offering] will
mark an important next step in our
development and bring greater visibil-
ity to the value we intend to create,” said
Miroslav Majoroš, chief executive.
Slovak Telekom provided no details of
the IPO price or when it might take
place. The government has said it would
like to complete any disposal this year.
Deutsche Telekom, which holds a
51 per cent stake, had held detailed dis-
cussions with its Slovak unit regarding a
purchase of the government-held stake
before the IPO was announced, a person
with knowledge of the talks told the
Financial Times.
The T-Mobile owner will not dilute its
holding in the IPO and has the right of
first refusal to the stake in the event of a
direct sale. It declined to comment on
whether it intended to increase its stake.
“Deutsche Telekom considers its
responsibility with regard to Slovak
Telekom to be that of a long-term, stra-
tegic partner. We do not comment fur-
ther on internal talks between share-
holders,” the German group said in a
statement.
Last year Slovak Telekom reported
adjusted earnings before interest,
tax, depreciation and amortisation of
€311m on revenues of €768m, with an
operating free cash flow of €195m.
The Slovakian government is keen
to offload its stake to free capital for
other investments, including increasing
its financial interest in a national elec-
tricity company.
The resulting extra cash could also
help fund a push by Robert Fico, prime
minister, to increase handouts and
tax breaks to voters before elections
next year.
Slovak national retail investors would
be offered a 5 per cent discount on share
purchases up to €10,000, Slovak Tele-
kom said in a statement.
The offering will primarily place
shares on the Bratislava Stock
Exchange, with global depositary
receipts listed on the London Stock
Exchange.
Citigroup and JPMorgan are acting as
joint global co-ordinators and joint
bookrunners. Erste Group and Wood &
Co are acting as joint lead managers on
the listing.
Thursday 9 April 2015
Brazil is the big prize for Shell in BG deal
Planned move for £47bn excluding debt also cements company’s dominance in producing, exporting and trading LNG
GUY CHAZAN — LONDON
Speculation that Royal Dutch Shell
would buy BG Group has been doing the
rounds in the oil industry for at least the
past 20 years. Yesterday it became
reality.
Shell unveiled plans to acquire BG for
£47bn excluding debt, a 50 per cent pre-
mium to its current share price. BG was,
said Shell chief executive Ben van Beur-
den, a “terrific fit” for the Anglo-Dutch
major. “It is bold and strategic moves
that shape our industry.”
There is no arguing that Shell’s move
is bold. By acquiring its smaller rival, it
will become the largest foreign oil com-
pany in Brazil, one of the most highly
prized oil provinces, and cement its
position as the leader in liquefied natu-
ral gas, the increasingly popular clean-
burning fuel.
Analysts at Jefferies said that by 2018
the combined company of Shell and BG
would produce more oil and gas than
ExxonMobil, the biggest non-state oil
group.
BG may have been on Shell’s radar
screen for decades, but was long seen as
too expensive a target. That all changed
when the oil price started to slide last
year, dragging down the valuations
of all the world’s energy companies,
including BG.
But even before that, a string of opera-
A premium of 50 per cent
is ‘quite acceptable and
normal’ in oil M&A deals
Ben van Beurden, Shell chief
tional disappointments, profit warnings
and management upheavals had
knocked the company’s share price off
the highs reached in early 2012.
So it was that Mr van Beurden called
up BG’s chairman Andrew Gould, the
former chief executive of oil services
company Schlumberger, on Sunday
March 15 to propose a deal. Within
weeks they had engineered one of the
largest transactions in the oil and gas
industry ever.
Mr van Beurden stressed the oil price
effect in a call with journalists. The idea
of a tie-up with BG had always made
sense, but “in the last months it has also
become a compelling deal from a value
perspective”, he said.
Some investors expressed concern
that the Shell offer was too generous,
and that the company was making too
big a bet that oil prices will recover from
their present lows. Shell’s B shares
closed down 9 per cent in London at
£20.20 yesterday.
But Mr van Beurden denied Shell was
overpaying. A premium of 50 per cent
was “quite acceptable and normal” in oil
M&A deals, he said.
Some investors agreed. The oil
majors have to expand, and these days
the easiest route to growth is by buying
rivals. “Given the industry’s lack of
exploration success over the
last 2 [to] 3 years, inorganic
reserve replacement is abso-
lutely crucial to sus-
taining these compa-
nies,” said Charles
Whall, who manages
Investec Asset Manage-
ment’s global energy
fund.
Consolidation echoes
Future mergers set to be more modest Exxon has ‘flexibility’ to gatecrash
ARASH MASSOUDI
Oil prices were at multiyear lows. The
world’s largest oil and gas companies
were slashing jobs and cutting spend-
ing. But their stock prices were sagging
and executives were under pressure to
replenish reserves.
The situation sounds like the backdrop
to yesterday’s announcement by Royal
Dutch Shell, the oil group with a market
value of nearly £127bn, that it plans to
buy smaller UK rival BG Group for
£47bn excluding debt.
But similar conditions existed in 1998.
Back then the oil industry reacted by
unveiling an unprecedented string of
megadeals, which created the behe-
moths that dominate the market today.
In just under two years five large
transactions remade the industry,
beginning with BP’s $54.8bn takeover of
Amoco of the US and Exxon’s $85.6bn
acquisition of its US rival Mobil.
The new “supermajors” were sup-
posed to improve profitability by cut-
ting out duplicated functions and devel-
oping the merged groups’ best assets.
The question today is whether Shell’s
deal for BG will prompt a similar reac-
tion, given expectations that oil prices
will fall further.
Bankers, however, are not expecting
Global gas leader
LNG production capacity, 2014
Million tonnes per annum
Shell and BG Shell
Key assets
CANADA
UK
US TRINIDAD AND
TOBAGO
Shell
BG
FT graphic BRAZIL
Sources: companies; FT research;
Thomson Reuters Datastream
Profile
Ben van Beurden
Shell chief’s bold move
in difficult times
The BG Group deal is Ben van Beurden’s
most audacious move and could come
to define his tenure at the helm of Royal
Dutch Shell.
The Shell chief executive, below, is
grappling with one of the most
turbulent times for the energy industry,
and the fact he should see the
current low oil price
environment as a buying
opportunity speaks to his
boldness. Mr van Beurden
took over at Shell in January
last year promising to
improve the
company’s
sputtering
financial
performance
after a dark
period during
which it issued
the first profit
warning in its
another wave of consolidation among
the likes of ExxonMobil, BP, Total and
Chevron. “We are probably not going to
get the real giants getting together this
time,” said one banker who has followed
the industry for years.
That scepticism, shared by many,
rests on the likely complexity of further
consolidation among the big oil groups.
Exxon of the US would be likely to
face stiff political resistance if it made a
much-mooted run at BP, stemming
from legal issues the British oil company
is facing in the US following the Deepwa-
ter Horizon disaster in 2010.
Bankers say the deals this time are
more likely to be acquisitions that help
big oil companies gain access to reserves
that may have lower production costs.
Shell has done that by acquiring BG’s
attractive assets in Brazil and Australia.
Michael Alsford, oil and gas analyst at
Citigroup, said the fall in oil prices had
highlighted the relatively high costs
associated with many of the majors’
‘All big oil has the
same issue: they are
underexposed in low-cost
production areas’
★ FINANCIAL TIMES
SHELL AND BG GROUP
ExxonMobil BP
NORWAY
RUSSIA
KAZAKHSTAN
IRAQ
EGYPT
NIGERIA
AUSTRALIA
history. Colleagues describe him
as a man with a deeply commercial
focus — unusual in a company with an
identity shaped more by engineers than
MBAs.
Yet Mr van Beurden himself is one of
the engineers. The Dutchman joined
Shell in 1983 after graduating with a
masters degree in chemical engineering
from Delft University in the
Netherlands, and held a number of jobs
across the company, spending 10 years
in Shell’s liquefied natural gas business.
In 2006, he was appointed head of
the chemicals business.
Peter Voser, Shell’s then CEO, gave
him four years to fix what was one of
the worst-performing divisions — he
would either turn it round or Shell would
sell it. The turnround worked: chemicals
profits more than trebled between 2008
and 2012.
It was largely due to his performance
in that division that ensured Mr van
Beurden would succeed Mr Voser as
Shell’s top manager.
Colleagues say Mr van Beurden’s
takes a no-nonsense, dispassionate view
of the company: all assets are
disposable.
It is a quality that could play a big role
as he integrates BG and decides which
parts of the combined company to shed:
he has already promised $30bn of
divestments. Guy Chazan
portfolios. “All big oil has the same issue:
they are underexposed in low-cost pro-
duction areas. This is not a Shell-specific
problem,” he said.
“This deal has come a bit earlier than
we expected. Companies are still
focused on cutting costs, but we see big
oil using mergers and acquisitions to
reposition their portfolios.”
Some majors may opt to increase
their exposure to US shale. Potential US-
listed targets that have shale assets
include Anadarko Petroleum, Apache,
Devon Energy and Hess.
But doing deals is hard at the
moment, because buyers and sellers
often have differing views on the price at
which oil will stabilise, and therefore the
value of target companies. Another
banker said: “Volatility is not the friend
of M&A, and we don’t expect significant
activity to occur until the volatility has
subsided.”
Even though dealmaking conversa-
tions have picked up in recent weeks,
disagreements on pricing remained a
problem, bankers said. “The majors and
mini-majors will be interested in mak-
ing acquisitions, ideally for cash, but
willing sellers for a cash deal are difficult
to find because of the differing views on
where oil and gas prices will stabilise,”
one of the bankers said.
Total
Shell and BG in Brazil
Production (’000 barrels of
oil equivalent per day)
2014
130
2020 forecast
550
The deal is transformational for Shell.
Its reserves will increase by about a
quarter and its production by 20 per
cent. It will gain access to BG’s big gas
discoveries off the coast of Tanzania,
and its large Queensland Curtis LNG
project in Australia.
But Brazil is the big prize for Shell
with the BG deal.
Mr van Beurden said the enlarged
group’s output from Brazil would be
550,000 barrels a day by the end of the
decade — four times more than their
current production.
Video analysis
For separate commentaries
on the deal from the FT’s
companies and Lex teams
ft.com/video
Wood Mackenzie, the energy consul-
tancy, estimated that by 2025 Brazil will
be the biggest single country position in
the Shell-BG portfolio.
The deal will also cement Shell’s dom-
inance of the business of producing,
exporting and trading LNG. By 2018,
Shell-BG will control sales of 45m
tonnes per annum of LNG, easily mak-
ing it the largest seller of the fuel.
Shell was at pains to stress the finan-
cial strengths of the combined com-
pany. There would be savings of $2.5bn a
year by 2018, and the enlarged group
Acquisition trail
ED CROOKS — NEW YORK
Speaking to analysts in New York last
month, Rex Tillerson, chief executive
of ExxonMobil, stressed how the com-
pany’s great financial strength gave it
options that were not available to most
of its competitors.
“We maintain flexibility so if something
really interesting is in front of you, you
don’t have to pass because you didn’t
have the financial capacity to do it,” he
said.
Royal Dutch Shell’s agreed deal to buy
BG Group might count as the sort of
“really interesting” prospect he had in
mind.
A move by Exxon to break up the deal
by outbidding Shell for BG is not impos-
sible. However, more likely might be a
move to acquire another company simi-
lar to BG’s size, on the grounds that
Exxon should not be the last single per-
son at the dance looking for a partner.
Exxon has long been rumoured as a
potential bidder for BG, and now has
both the motive and the opportunity.
Like Shell, it is struggling to expand
and will find it easier to raise production
by dealmaking than by drilling. Exxon’s
output was about 4.3m barrels of oil
equivalent per day in 2001, and 4m
boe/d last year. BG has attractive posi-
30
20
10
0
BG Chevron
Crude oil price
Brent ($ per barrel)
100
80
60
40
Jan 2014 15 Apr
would divest assets worth $30bn
between 2016 and 2018. But for Shell
shareholders, said Jason Gammel of Jef-
feries, there is a downside. He high-
lighted that the transaction will be dilu-
tive in terms of earnings per share in
2016 and 2017, and that Shell’s net debt
will grow to about $61bn after the deal.
There was some concern among
shareholders that the deal would strain
Shell’s balance sheet and potentially put
its dividend at risk.
“We think Shell’s acquisition of BG is
a clever strategic move,” said one top 20
investor. “However, there is a risk to div-
idends if the oil price does not recover.”
Another potential hazard: antitrust
issues. Mr van Beurden acknowledged
that Shell would face competition ques-
tions in Australia, Brazil, China and
Brussels, though the company had
so far not identified any “insur-
mountable” problems.
But despite the risks, most inves-
tors saw the logic of the tie-up, and
expressed admiration for Mr
van Beurden’s boldness. “Any
of the majors who don’t make
such a move in this environ-
ment will regret it,” said Mr
Whall. “Exxon really
missed out here.”
Additional reporting by
David Oakley
See Lex
www.ft.com/lombard
tions in some of the industry’s most
interesting long-term prospects, includ-
ing oil in the deep water off Brazil and
gas off the coast of Tanzania. Both of
those positions are large and complex
projects to develop that would benefit
from Exxon’s financial strength and
technical capabilities.
If it does decide to fight for BG, Exxon
certainly has the firepower. With its
greater size, low debt and triple-A credit
rating, it could probably muster a larger
cash component in any bid than Shell’s
28 per cent of its total offer of £13.50 a
share.
However, there are also some good
arguments against Exxon attempting to
4m 28 %
Exxon’s output in
barrels of oil
The cash
component of
equivalent per Shell’s £13.50 a
day last year share offer for BG
15
Profile
Helge Lund
Eight weeks in job and
in line for £28m payout
Helge Lund, below, was hired to turn
round BG Group. Instead, after just
eight weeks as chief executive of BG,
the Norwegian is looking for a new job
after Royal Dutch Shell’s agreed
takeover of the UK energy group.
Already facing heavy criticism and
scrutiny of his pay deal, Mr Lund is
likely to be well paid for his short stint.
The former chief executive of Statoil
could be in line for a payout of up to
£28m, assuming that he stays until the
likely closing of the BG takeover early
next year.
“The fact is that I don’t know what
that amount will be — it will only be
clear after the transaction is
completed,” he said yesterday.
Few chief executives have been in
the job for such a short time before
announcing a sale. Piquantly, one of
the few is Sam Laidlaw, who sold
Enterprise Oil to Shell in 2002 within
four months of taking charge.
“I am in full support of the deal,” Mr
Lund told the Financial Times, though
he admitted to “mixed emotions”
about it as the Shell offer emerged a
month after he started in February.
“I was looking forward to running
the company for the next few years —
I was looking forward to helping it do a
lot better on its own,” he added, saying
he had “no intention of quitting half
way through” what could be up to a
further year in the role.
Mr Lund arrived at BG from Statoil,
the Norwegian energy group, with a
decent reputation but some of that
was sullied in the bruising battle over
his pay. Under his original deal, he
could have earned up to £14m a year,
making him the highest paid chief
executive of an oil company in Europe.
He would have earned 10 times his pay
at Statoil at a company with revenues
of just a fifth of the Norwegian group’s.
This was cut after a shareholder
backlash but he is still likely to earn
more in his brief time at BG than in his
entire decade in charge of Statoil.
In Norway, some analysts speculated
that the ex-McKinsey consultant could
return to his former company or
become a government minister. “We
believe that a Statoil comeback is a
very likely scenario,” said Alex
Gheorghe, analyst at Norwegian
brokers Platou, who called him
“still the right person” for Statoil.
People close to Statoil
rejected the idea as “ridiculous”.
Mr Lund said he had not
had “two minutes” to
think about what he
would do next but
denied he would go
into government.
A friend said Mr Lund
was likely to have the
ambition for another
executive role.
Richard Milne and
Michael Kavanagh
butt in. For a start, hostile deals are very
rare in the oil and gas industry. Exxon
would have to persuade BG’s board to
back its bid, which will not be easy given
that Shell has a substantial head start.
Second, it would be hard to prevent an
acquisition for shares diluting earnings
for some time. Shell’s agreed purchase
price implies a multiple of about 26
times consensus estimates of BG’s 2016
earnings, while Exxon’s shares trade at
about 16 times. Paying a higher pre-
mium to see off Shell would make that
problem even greater.
Third, Exxon is not under the same
pressure to do a deal as Shell. Exxon has
replaced 101 per cent of its oil and gas
production in its proved reserves over
the past three years, excluding the
effects of acquisitions and disposals,
according to Martijn Rats, analyst at
Morgan Stanley. For Shell, the equiva-
lent figure is 76 per cent, meaning that it
has been running down its reserves.
While BG might not be the perfect fit
for Exxon, however, there are others in
the category of midsized exploration
and production specialists that could be
tempting. Paul Sankey of Wolfe
Research last month suggested Hess,
Continental Resources, Devon Energy,
Apache and Anadarko Petroleum as
possible targets.
16
Banks
BofA duo to head up investment banking
Group looks for growth
in US, Latin America and
out-of-fashion products
LAURA NOONAN —
INVESTMENT BANKING CORRESPONDENT
Bank of America Merrill Lynch has pro-
moted Diego De Giorgi and Karim Assef
to co-heads of global investment bank-
ing as the group looks to the US, Latin
America and dormant product lines to
fuel the next phase of growth in the divi-
sion.
The appointments of Mr De Giorgi, a
Goldman Sachs veteran who joined
BofA in 2013 and Mr Assef, who has
been at the bank for almost two dec-
Snapped up
Snapdeal buys
FreeCharge
Snapdeal, one of India’s largest online
retailers, has bought mobile-
payments platform FreeCharge in a
deal it hailed as “one of the biggest
acquisitions in the history of the
internet industry in India”, write
James Crabtree and David Keohane.
Snapdeal, which was valued at
about $2bn at its last fundraising, did
not disclose the transaction’s size, but
estimates from industry figures
suggested it was likely to be worth
about $400m.
The deal highlights the boom in
India’s ecommerce sector, which has
seen a spate of recent fundraising at
valuations of more than $1bn, buoyed
by investor enthusiasm.
Snapdeal is engaged in a three-way
battle with local rival Flipkart and
US-based Amazon to become India’s
leading ecommerce platform.
Kunal Bahl, Snapdeal co-founder,
said yesterday’s deal signalled his
company would now offer services
beyond traditional retail ecommerce,
including services from FreeCharge,
which lets users pay utility and other
bills through their mobiles.
Global Appointments
ades, were announced yesterday. Lon-
don-based Mr De Giorgi was previously
co-head of the lender’s Europe Middle
East and Africa corporate and invest-
ment banking, New York-based Mr
Assef was previously global head of
investment banking coverage.
With investment banking income of
$6.1bn last year, BofA is one of the
world’s largest investment banks. Dea-
logic figures released yesterday show it
ranks second in global and Emea merg-
ers and acquisitions. The bank is also in
the news for advising Shell on its £47bn
takeover of BG Group.
The bank has significantly scaled up
its investment bank in Europe and Asia
in the past couple of years, with key
hires such as Alex To, head of invest-
Kunal Bahl, Snapdeal co-founder, says yesterday’s deal signals his company will offer services beyond traditional retail ecommerce — Suzanne Lee
★ FINANCIAL TIMES
COMPANIES
ment banking for China, and Neil Kell,
chairman of international equity capital
markets in Hong Kong, who moves to
London next year. In an interview with
the Financial Times, Mr De Giorgi and
Mr Assef hinted that other geographies
would drive future growth.
“We’ve got some growth still ahead of
us in Latin America. We’ve already
made a big investment there and will
continue to do so,” said Mr Assef. “There
‘Things like the derivative
businesses have been
dormant for a long time’
Diego De Giorgi
is still investment to be made here in the
US, specifically in terms of continuing to
build our M&A and equity franchises.”
The duo’s to-do list also includes posi-
tioning the bank to take advantage of
growth in areas that went quiet during
the crisis. “Things like the derivative
businesses have been dormant for a long
time because we’ve been in an area of
low equity volatility, low currency vola-
tility, and low rates volatility. Is that
going to continue? Chances are not,”
said Mr De Giorgi.
He believes the US’s unwinding of
monetary stimulus will trigger volatility
and points to the market reaction to
Switzerland’s unwinding of a currency
peg as evidence that “volatility lies
around the corner”. BofA is also putting
Technology hardware. Payments on the move
Developers seek to turn
cars into mobile wallets
Retailers and tech companies
are building dashboard apps
that let you buy as you drive
SARAH MISHKIN — SAN FRANCISCO
The Visa executive slips into the front
seat of a new BMW, wakes up the tablet
computer in the dashboard and orders
a meal. A few taps later and his lunch
will be ready in 10 minutes at a nearby
Pizza Hut. The car’s computer has
already paid the bill.
Smartphones and, soon, Apple
Watches, can already function as quasi-
wallets, able to store credit and debit
card details that can be used to pay for
goods. The car is the next frontier,
according to technology and payment
executives.
‘It makes you like Ford
cars and Lincoln cars
better because you’re not
fumbling with your phone’
“One car executive called me and said,
‘We really want to make the car your
wallet’,” says Doug Brown, head of
mobile for FIS, a maker of banking and
payments software.
Thanks in part to the launch of
Apple’s mobile payment app Apple Pay,
retailers and shoppers are increasingly
using mobile payments, industry mem-
bers say. That is leading to greater inter-
est from merchants and tech companies
in developing new ways to buy goods,
including car dashboard apps.
The revolution in mobile payments
happens to coincide with a race by car
and tech giants to make cars smarter.
Consumers increasingly want their cars
to have the same sophisticated tech-
nology, such as maps and music apps, as
their smartphones.
Most new cars have minicomputers
embedded in dashboards that can run
apps or link up with smartphones to let
drivers control their phones through the
more resources into infrastructure
finance for established assets, an area it
expects to become more active, and is
talking to its financial institutions cli-
ents about packaging assets that will be
eligible for the European Central Bank’s
securitisation programme.
Mr De Giorgi said it was an open ques-
tion whether the current M&A cycle
would lose support or whether activity
would hit previous peaks. “For us, the
key has been the balance in our busi-
ness,” said Mr Assef. “It’s a fool’s errand
to try to predict cycles over a long period
of time. This is a platform that has to
thrive and grow in different environ-
ments . . . so no matter what type of
environment we find ourselves in, we
continue to be a dominant player.”
car’s touchscreen. Apple and Google
have both released software for cars in
the past two years, while manufacturers
from Detroit to Tokyo are developing in-
house connected car systems.
“This is where you start to get the
pieces coming together,” says Ramón
Martín, Visa’s global head of merchant
solutions. “New commerce opportuni-
ties exist.” The Pizza Hut and Visa app,
demonstrated at an industry conference
in San Francisco, will soon roll out for
beta testing in northern California. Ford
last year launched a similar partnership
with pizza chain Domino’s, which lets
drivers order using a voice-activated
app in their car.
“It makes you like Ford cars and Lin-
coln cars better because you’re not fum-
bling with your phone,” says Doug
VanDagens, Ford’s director of con-
nected services.
A variety of other uses for in-car pay-
ments are in development, including a
system that integrates in-app payments
with location sensors to let drivers pay
for petrol through a car app.
But not everyone is sold on the idea
that consumers want in-car payments.
Kebbie Sebastian, managing director
of Penser Consulting, a payments con-
sulting firm, says smartphones are ubiq-
uitous and already carry most of the
apps that the car and payments indus-
tries are looking to integrate into dash-
boards.
“Paying from a car dashboard might
be innovative but it isn’t any more con-
venient than paying from a smart-
phone,” says Mr Sebastian.
Mr VanDagens says companies like
Ford are trying to make it more conven-
ient by building car-specific app inter-
faces that are easy to operate while driv-
ing, such as voice-controlled apps or
apps with simplified menus.
If they can get drivers using dash-
board apps, they can remove the dis-
traction of using a smartphone while
driving. For example, ecommerce apps
are hugely popular, but any in-car com-
merce app will “absolutely not,” he says,
include features related to flash sales or
time-sensitive online auctions. Those,
Ford has decided, are too distracting.
Thursday 9 April 2015
Investment companies
Foreign funds
throw down
gauntlet to
New Delhi on
tax demands
JAMES CRABTREE — MUMBAI
Dozens of foreign funds investing in
India are preparing to challenge a
series of unexpected new tax demands,
raising concerns that global investors
could be the latest international busi-
nesses targeted by Indian revenue
authorities.
The dispute concerns orders received
by about 100 international funds over
recent weeks, according to estimates
compiled by tax consultants.
The demands state the foreign inves-
tors are liable to pay India’s minimum
alternative tax (Mat), a form of corpo-
rate taxation traditionally not applied to
international funds.
So far, the demands have hit only a
small portion of the roughly 6,000 glo-
bal funds registered in India, but the
likelihood that many more will receive
similar notices has alarmed investors
and tax analysts.
“It is very likely that the authorities
will send out demands to other foreign
funds . . . when they do it could have a
very bad effect on investor confidence
in the markets,” said Dinesh Kanabar,
chief executive of Mumbai-based
Dhruva Tax Advisors.
The latest dispute follows a series of
Indian tax battles involving foreign
businesses including Cairn Energy,
Vodafone and Cadbury, which have
unnerved investors and undermined
confidence in Prime Minister Narendra
Modi’s programme of economic
reforms.
It also comes after Arun Jaitley,
finance minister, issued a robust
defence of India’s revenue authorities
against charges of “tax terrorism”.
“India is not so vulnerable that every
legitimate tax demand can be consid-
ered as tax terrorism, because we are
The moves by the
authorities ‘could have a
very bad effect on investor
confidence in the markets’
not a tax haven and we don’t intend to
be one,” Mr Jaitley said on Monday.
No foreign institution has com-
mented publicly about receiving one of
the new demands, which were issued as
part of tax audits for the financial year
ending in March 2012.
“We haven’t got one, but lots of India
investors are clearly worried they might
be hit next,” said one London-based
fund manager. “This seems like one
more self-inflicted tax problem that
India doesn’t need at the moment.”
The size of demands has also not been
disclosed, although one senior figure at
a global tax adviser said they amounted
to “sizeable” sums. “Our clients have
seen orders of between $250,000 to
many millions of dollars,” the person
said.
Tax experts said the demands will
result in fresh legal disputes. “All of
these funds who have been served draft
orders will now appeal, so there is a fight
ahead,” said Sudhir Kapadia, head of tax
at consultants Ernst & Young in India.
The claims have caused confusion
because earlier concerns about the Mat
recently prompted India’s government
to reassure foreign investors that they
would be exempt from it in future.
“We are very worried about these
developments”, said Patrick Pang of the
Asia Securities Industry and Financial
Markets Association.
Background
Key points in the dispute
3 India’s minimum alternative tax was
introduced in 1997 to tackle tax
avoidance among domestic
companies, which now typically pay at
least 20 per cent tax on profits.
3 Traditionally, foreign investors are
exempt from Mat, but a recent case
brought before India’s Authority for
Advance Rulings casts doubt on that.
3 India’s government said in February
no foreign investor would be liable
after April 1st 2015. But tax officials
believe they can pursue older claims.
3 Tax experts say India’s government
can clarify the issue by amending its
budget proposals. If it does not, tax
authorities may proceed with claims
against more foreign investors.
3 The prospect of thousands of fund
managers facing uncertainty over
future tax liabilities is reminiscent of
the fierce disputes over India’s efforts
to bring in new tax rules in 2012.
Thursday 9 April 2015
Media
Alibaba film plan
proves box-office
hit with investors
Studio division’s star rises
on move to inject ticketing
and finance businesses
CHARLES CLOVER — BEIJING
Shares in Alibaba’s Hong Kong-listed
film production arm rose more than a
third yesterday after the group
announced a possible asset injection
that analysts say could solve Alibaba
Pictures’ financial woes.
Parent Alibaba Group, the New
York-listed Chinese ecommerce group,
said it was discussing a “possible injec-
tion of our online movie ticketing busi-
ness and our financing and investment
‘This would allow Ali to
do the whole chain, from
financing to production
to distribution of movies’
platform for the production of movies
and other media content into Alibaba
Pictures”.
Both businesses under discussion for
injection into Ali Pictures were founded
in 2014 and are in the “early stages of
development”, according to Alibaba. It
gave no details and said there was no
guarantee a deal would go ahead.
One of the businesses is understood to
be Yule Bao, a crowdfunding platform
for film production.
Shares in Ali Pictures closed up 37 per
cent yesterday in Hong Kong, boosting
the company’s market capitalisation by
$3bn, to more than $10bn.
Analysts said the jump in the stock —
which had been suspended from trading
since March 24 — reflected investor
optimism that the new assets
could transform it from a lossmaking
business into an entertainment power-
house.
Ricky Lai, of Guotai Junan Interna-
tional, a Hong Kong brokerage, said:
“This would allow Ali Pictures to do the
whole chain, from financing to produc-
tion to distribution of movies.”
The announcement follows a rally in
Ali Pictures shares that had
already nearly doubled the company’s
market capitalisation from $4bn in
January.
Those gains came even as Ali Pictures
in January warned of an expected loss
for 2014 of $77m. At the end of March it
reported a loss of $53m.
Alibaba bought its 60 per cent stake in
Ali Pictures — formerly China Vision
Media — for $800m in March 2014 as
part of a $6bn shopping spree in the
run-up to its record $25bn initial public
offering last September in New York.
Shares in Ali Pictures also were sus-
pended from trading for five months
last year after Alibaba said it was inves-
tigating accounting irregularities, which
it blamed on the previous management
team.
Jack Ma, Alibaba’s chairman, has said
he wants to build an entertainment
company that produces original pro-
gramming and films, in addition to
holding a large portfolio of content.
Ali Pictures has production or distri-
bution agreements with several main-
land television stations, but has yet to
produce anything.
Alibaba said yesterday that integrat-
ing its entertainment business with Ali
Pictures “helps realise Alibaba Group’s
vision of making digital media enter-
tainment available to our customers
anywhere any time”.
Additional reporting by Lucy Colback in
Hong Kong
See Lex
★ FINANCIAL TIMES
COMPANIES
Call sign SingTel buys US group
Deal for Trustwave is part of the rush for security assets — Munshi Ahmed/Bloomberg
Singapore Telecommunications is
broadening its cyber security
footprint with the $810m purchase of
Trustwave, a US cloud-based service,
in the latest sign of the scramble for
high-tech security assets.
Similar acquisitions have been
made by Blackstone, Japan’s NTT,
Dell and BAE Systems.
SingTel, Southeast Asia’s largest
telecoms group by revenue, will
acquire 98 per cent of the equity.
Robert McCullen, Trustwave
chairman and chief executive, will
retain 2 per cent.
Trustwave is the largest
independent managed security
services provider in North America.
The market for cyber security is
growing at a compound annual rate of
15 per cent and set to become a $24bn
market by 2018. Jennifer Hughes
Contracts & Tenders
Mobile & telecoms
Brussels in probe of
TeliaSonera venture
CHRISTIAN OLIVER — BRUSSELS
The European Commission has
launched an in-depth investigation
into a proposed joint venture between
TeliaSonera and Telenor in Denmark
over concerns the accord between
the two telecoms companies could
lead to increased prices and reduced
innovation.
The probe is an important test case for
Margrethe Vestager, the competition
commissioner, who has signalled that
she is ready to harden the EU’s stance
amid a wave of consolidation in the tele-
coms sector.
Ms Vestager expressed concerns that
prices could rise and that competition
could be undermined, particularly in
countries where the number of tele-
coms operators is projected to drop
from four to three.
Last month she described the Danish
deal as a “textbook example”, because
the joint venture between Sweden-
based TeliaSonera and Norway-based
Telenor would leave only two competi-
tors remaining in the Danish market:
TDC and Hi3G.
The commission said it was worried
that the transaction could reduce “the
merged entity’s and its competitors’
incentives to compete, leading to higher
prices, loss of innovative offers and
lower quality on the Danish retail com-
munications market”.
It added that the deal could lead to
“co-ordination between the remaining
operators”, rather than competition.
Ms Vestager said: “My aim is to make
sure that the proposed transaction will
not lead to higher prices to Danish con-
sumers and businesses.”
The commission said it should reach a
decision by August 19. Brussels has the
power to block the deal or to demand
remedies from the two companies.
TeliaSonera said it was confident that
the deal would be approved. “We
believe that this merger will create a
strong and robust competitor across
fixed and mobile markets in Denmark.
Consumers and businesses will benefit
.............................................................................................................................
17
from improved network connectivity,
higher speeds and better performance
in all areas of the country,” it said in a
statement.
Consolidation across Europe’s tele-
coms industry has come under increas-
ing scrutiny from EU competition
authorities. A decision on Orange’s
acquisition of Jazztel in Spain is
expected by June 1.
Competition lawyers also expect
Hutchison Whampoa’s £10bn purchase
of UK mobile group O2 from Spain’s Tel-
efónica to receive an in-depth investiga-
tion from Brussels.
The commission has approved simi-
lar cases in Austria, Ireland and Ger-
many but industry lawyers in Brussels
expect Ms Vestager to take a tougher
line than her predecessor as commis-
sioner, Joaquín Almunia.
Concern has been voiced
that the planned pact
with Telenor in Denmark
might lead to higher prices
While the telecoms industry argues
that consolidation is vital to build scale
and upgrade infrastructure, Ms
Vestager has stressed the need to pro-
tect consumers and has already come
under pressure to block the Danish deal.
In an interview with the Financial
Times last month, she said there were
warning signs from the outset.
“When the merger was announced in
Denmark . . . what happened was that
the share price of the incumbent rose
more than the share price of the two
merging parties, which was immedi-
ately interpreted as there would be less
competition, so that prices could go up.”
Telecoms consolidation
For more on deals in the sector
as well as wider news and
analysis of the industry
www.ft.com/telecoms
Businesses
For Sale
FT BUSINESS
Tuesday, Friday & Saturday: Business for Sale,
Business Opportunities, Business Services,
Business Wanted, Franchises
Classified Business Advertising
UK: +44 20 7873 4000 | Email:
acs.emea@ft.com
18 ★ FINANCIAL TIMES Thursday 9 April 2015

MARKET DATA

WORLD MARKETS AT A GLANCE FT.COM/MARKETSDATA

Change during previous day’s trading (%)
S&P 500 Nasdaq Composite Dow Jones Ind FTSE 100 FTSE Eurofirst 300 Nikkei Hang Seng FTSE All World $ $ per € $ per £ ¥ per $ £ per € Oil Brent $ Sep Gold $

-0.35% -0.04% -0.645% -0.287% -0.959% -2.00% -0.31%

0.31% 0.77% 0.23% 0.76% 3.80% 0.29% 0.336%
Stock Market movements over last 30 days, with the FTSE All-World in the same currency as a comparison
AMERICAS EUROPE ASIA
Mar 09 - Apr 08 Index All World Mar 09 - Apr 08 Index All World Mar 09 - Apr 08 Index All World Mar 09 - Apr 08 Index All World Mar 09 - Apr 08 Index All World Mar 09 - Apr 08 Index All World

S&P 500 New York S&P/TSX COMP Toronto FTSE 100 London Xetra Dax Frankfurt Nikkei 225 Tokyo Kospi Seoul
15,185.13 19,789.81 2,059.26
6,911.80 6,937.41 12,035.86
2,079.43 2,082.80 14,854.49
11,550.97 1,984.77
18,665.11
Day 0.31% Month 0.55% Year 12.88% Day -0.02% Month 1.58% Year 5.68% Day -0.35% Month 0.32% Year 5.21% Day -0.72% Month 0.29% Year NaN% Day 0.76% Month 4.32% Year 33.64% Day 0.60% Month 2.30% Year 3.50%

Nasdaq Composite New York IPC Mexico City FTSE Eurofirst 300 Europe Ibex 35 Madrid Hang Seng Hong Kong FTSE Straits Times Singapore
45,069.77 1,611.68 26,236.86 3,460.68
11,655.50
4,942.44 4,948.00 1,567.09 3,404.57
43,251.40 24,193.04
10,902.20
Day 0.77% Month 0.40% Year 21.26% Day 0.49% Month 4.13% Year 10.17% Day -0.04% Month 2.60% Year 20.87% Day -0.64% Month 5.08% Year 9.89% Day 3.80% Month 8.58% Year 17.25% Day NaN% Month NaN% Year NaN%

Dow Jones Industrial New York Bovespa São Paulo CAC 40 Paris FTSE MIB Milan Shanghai Composite Shanghai BSE Sensex Mumbai
54,015.36 3,994.81
5,136.86 23,578.70 29,448.95
28,707.75
17,995.72 17,917.26
48,905.58 4,881.95 22,436.13
3,302.41
Day 0.23% Month 0.33% Year 10.28% Day 0.53% Month 8.08% Year 4.63% Day -0.28% Month 3.47% Year 15.80% Day -0.54% Month 5.09% Year 8.82% Day 0.84% Month 23.25% Year 94.03% Day 0.67% Month -2.52% Year 28.48%

Country Index Apr 08 Apr 07 Country Index Apr 08 Apr 07 Country Index Apr 08 Apr 07 Country Index Apr 08 Apr 07 Country Index Apr 08 Apr 07 Country Index Apr 08 Apr 07
Argentina Merval 11375.44 11410.06 Cyprus CSE M&P Gen 78.99 79.00 Italy FTSE Italia All-Share 25193.15 25304.94 Philippines Manila Comp 8052.69 8098.68 Thailand Bangkok SET 1544.86 1549.53 Cross-Border DJ Global Titans ($) 239.32 239.64
Australia All Ordinaries 5928.30 5893.20 Czech Republic
PX 1047.61 1050.98 FTSE Italia Mid Cap 33621.37 33526.15 Poland Wig 54586.11 54490.95 Turkey BIST 100 82465.89 83130.16 Euro Stoxx 50 (Eur) 3744.34 3768.72
S&P/ASX 200 5960.70 5926.00 Denmark OMXC Copenahgen 20 978.76 976.59 FTSE MIB 23578.70 23706.34 Portugal PSI 20 6203.59 6093.06 UAE Abu Dhabi General Index 4559.71 4553.72 Euronext 100 ID 1003.28 1008.21
S&P/ASX 200 Res 3436.10 3379.40 Egypt EGX 30 8508.24 8607.66 Japan 2nd Section 4799.38 4780.61 PSI General 2738.83 2689.64 UK FT 30 3034.00 3016.70 FTSE 4Good Global ($) 5694.60 5699.85
Austria ATX 2590.42 2581.94 Estonia OMX Tallinn 883.54 874.68 Nikkei 225 19789.81 19640.54 Romania BET Index 7101.21 7030.55 FTSE 100 6937.41 6961.77 FTSE All World 285.26 284.43
Belgium BEL 20 3831.09 3839.11 Finland OMX Helsinki General 9130.83 9124.14 S&P Topix 150 1332.45 1325.84 Russia Micex Index 1676.26 1695.64 FTSE 4Good UK 6198.10 6214.60 FTSE E300 1611.68 1612.25
BEL Mid 5730.17 5720.25 France CAC 40 5136.86 5151.19 Topix 1588.47 1578.55 RTX 978.63 971.24 FTSE All Share 3752.78 3761.47 FTSE Eurotop 100 3229.61 3232.89
Brazil Bovespa 54015.36 53729.16 SBF 120 4036.53 4044.58 Jordan Amman SE 2118.78 2122.80 Saudi-Arabia TADAWUL All Share Index 8802.36 8618.63 FTSE techMARK 100 3849.76 3829.64 FTSE Global 100 ($) 1346.11 1347.24
Canada S&P/TSX 60 885.13 883.85 Germany M-DAX 21074.09 21034.32 Kenya NSE 20 5179.76 5240.53 Singapore FTSE Straits Times - - USA DJ Composite 6332.38 6326.22 FTSE Gold Min ($) 1193.85 1206.68
S&P/TSX Comp 15185.13 15188.84 TecDAX 1625.35 1634.35 Kuwait KSX Market Index 6229.40 6213.34 Slovakia SAX 251.99 249.79 DJ Industrial 17917.26 17875.42 FTSE Latibex Top (Eur) 3518.60 3468.30
S&P/TSX Met & Min 725.91 715.19 XETRA Dax 12035.86 12123.52 Latvia OMX Riga 426.79 426.39 Slovenia SBI TOP 802.73 804.27 DJ Transport 8629.46 8607.68 FTSE Multinationals ($) 1570.06 1568.93
Chile IGPA Gen 19403.93 19352.39 Greece Athens Gen 767.92 777.47 Lithuania OMX Vilnius 499.29 498.66 South Africa FTSE/JSE All Share 52806.00 52595.69 DJ Utilities 589.11 591.40 FTSE World ($) 502.10 501.42
China FTSE A200 11195.38 11060.83 FTSE/ASE 20 229.86 233.03 Luxembourg LuxX 1746.57 1754.71 FTSE/JSE Res 20 40284.68 40026.98 Nasdaq 100 4369.66 4344.08 FTSEurofirst 100 (Eur) 4636.45 4642.83
FTSE B35 11248.71 11208.79 Hong Kong Hang Seng 26236.86 25275.64 Malaysia FTSE Bursa KLCI 1850.31 1856.51 FTSE/JSE Top 40 46630.69 46418.90 Nasdaq Cmp 4948.00 4910.23 FTSEurofirst 80 (Eur) 4994.95 5026.02
Shanghai A 4187.66 4152.51 HS China Enterprise 13396.59 12663.12 Mexico IPC 45069.77 44850.06 South Korea Kospi 2059.26 2047.03 NYSE Comp 11041.49 11013.24 MSCI ACWI Fr ($) 431.32 431.35
Shanghai B 315.71 315.59 HSCC Red Chip 5068.38 4795.99 Morocco MASI 10050.79 9958.69 Kospi 200 258.51 256.88 Russell 2000 1204.70 1213.05 MSCI All World ($) 1764.24 1764.49
Shanghai Comp 3994.81 3961.38 Hungary Bux 20804.91 20462.45 Netherlands AEX 497.16 503.03 Spain IBEX 35 11655.50 11730.50 S&P 500 2082.80 2076.33 MSCI Europe (Eur) 1566.36 1542.29
Shenzhen A 2206.61 2222.45 India BSE Sensex 28707.75 28516.59 AEX All Share 757.21 764.92 Sri Lanka CSE All Share 6913.73 6927.25 Wilshire 5000 22087.52 22026.57 MSCI Pacific ($) 2526.46 2500.02
Shenzhen B 1178.87 1179.06 S&P CNX 500 7193.60 7144.40 New Zealand NZX 50 5859.72 5855.44 Sweden OMX Stockholm 30 1688.95 1697.43 Venezuela IBC 5300.09 5443.76 S&P Euro (Eur) 1640.70 1649.41
Colombia COLCAP 1355.85 1350.52 Indonesia Jakarta Comp 5486.58 5523.29 Nigeria SE All Share 35728.12 34380.14 OMX Stockholm AS 551.00 553.20 Vietnam VNI 547.72 548.11 S&P Europe 350 (Eur) 1651.85 1653.06
Croatia CROBEX 1707.28 1721.49 Ireland ISEQ Overall 6156.92 6132.93 Norway Oslo All Share 691.53 692.87 Switzerland SMI Index 9247.82 9260.75 S&P Global 1200 ($) 1957.85 1951.22
Israel Tel Aviv 100 14.37 14.32 Pakistan KSE 100 31887.30 31600.73 Taiwan Weighted Pr 9571.97 9641.90 Stoxx 50 (Eur) 3499.67 3498.13
(c) Closed. (u) Unavaliable. † Correction. ♥ Subject to official recalculation. For more index coverage please see www.ft.com/worldindices. A fuller version of this table is available on the ft.com research data archive.

STOCK MARKET: BIGGEST MOVERS UK MARKET WINNERS AND LOSERS

AMERICA LONDON EURO MARKETS TOKYO Apr 08 %Chg %Chg Apr 08 %Chg %Chg Apr 08 %Chg %Chg Apr 08 %Chg %Chg
ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's FTSE 100 price(p) week ytd FTSE 250 price(p) week ytd FTSE SmallCap price(p) week ytd Industry Sectors price(p) week ytd
traded m's price change traded m's price change traded m's price change traded m's price change Winners Winners Winners Winners
Medtronic 26.6 106.71 -1.36 Bg 1044.2 1153.00 295.60 Royal Dutch Shella 629.1 27.44 -1.26 Toyota Motor 604.4 8372.00 -38.00 Bg 1153.00 41.6 39.4 Tullow Oil 313.60 14.9 -21.2 Enquest 39.00 10.6 9.9 Food Producers 7961.63 5.0 -2.2
Apple 22.3 125.69 -0.32 Royal Dutch Shell 718.9 2019.50 -92.26 Santander 488.1 7.05 -0.07 Mitsubishi Ufj Fin,. 595.1 794.00 6.00 Coca-cola Hbc Ag 1329.00 8.8 8.2 Ophir Energy 156.30 14.7 9.5 Ferrexpo 66.50 8.6 25.5 Forestry & Paper 14649.05 4.7 29.5
Albertsons Llc 18.4 35.10 -0.04 Bp 391.1 457.30 17.68 Eni 457.0 16.70 0.00 Softbank . 470.0 7120.00 30.00 Bp 457.30 6.9 15.0 Premier Oil 149.40 14.2 -8.7 Charles Taylor 240.00 7.7 -7.8 Oil & Gas Producers 7267.75 3.6 1.8
Mylan N.v. Ordinary Shares 13.3 66.99 7.42 Royal Dutch Shell 311.7 1982.50 -111.50 Bbva 436.3 9.59 -0.13 Sony 462.5 3525.00 35.00 Sainsbury (j) 270.70 5.5 10.4 Drax 391.10 10.6 -15.1 Cambian 264.50 7.7 24.3 Electricity 9168.09 3.1 -6.2
Carefusion 11.2 59.91 -0.06 Hsbc Holdings 181.7 587.00 3.89 Daimler Ag Na O.n. 365.9 87.09 0.00 Sumitomo Mitsui Fin,. 337.2 4709.00 32.50 Experian 1181.00 5.4 8.5 Fidelity China Special Situations 158.60 9.9 18.7 Fenner 216.00 6.7 -0.1 Oil Equipment & Services 18943.75 2.9 15.3
Perrigo 10.3 207.24 42.53 Rio Tinto 139.9 2853.50 -8.50 Total 361.3 47.05 -0.55 Mizuho Fin,. 295.7 214.60 -0.40 Sky 1039.00 5.3 15.6 Hunting 540.50 9.4 1.7 Baring Emerging Europe 575.00 6.5 16.3 Chemicals 11978.20 2.7 5.9
Petsmart 9.6 82.98 0.03 Bhp Billiton 116.9 1469.00 -1.50 Iberdrola 354.6 6.06 -0.07 Fanuc 291.8 27115.00 -110.00 Associated British Foods 2963.00 5.2 -6.0 Soco Int 169.50 9.4 -44.1 Robert Walters 385.00 6.3 22.9 General Financial 9769.18 2.5 14.4
Netflix 7.2 437.81 14.35 Reckitt Benckiser 103.7 5970.00 10.00 Telefonica 347.1 13.11 -0.09 Fuji Heavy Industries 244.8 4040.00 -90.50 Mondi 1360.00 4.7 29.5 Nmc Health 695.50 9.0 51.2 Afren 3.30 6.1 -93.0 Health Care Equip.& Services 6902.88 2.5 2.5
Tesla Motors 7.0 207.70 4.45 Glaxosmithkline 97.8 1591.00 7.02 Nestle N 347.0 71.08 0.00 Fast Retailing Co., 230.1 47580.00 40.00 Marks And Spencer 554.50 4.5 15.8 Rps 244.90 8.5 17.1 Baillie Gifford Shin Nippon 389.00 5.9 24.9 Technology Hardware & Equip. 1323.06 2.4 11.1
Facebook Class A 6.9 82.57 0.25 Vodafone 95.0 222.55 -2.85 Novartis N 319.9 94.20 0.00 Nomura Holdings, . 201.7 724.80 10.30 St. James's Place 982.50 4.4 20.9 Nostrum Oil & Gas 605.00 8.4 42.8 Cape 254.00 5.8 5.6 Real Estate & Investment Servic 3072.03 2.4 14.6
Shire 5485.00 4.3 21.0 Regus 238.20 8.2 15.2 St. Ives 182.00 5.8 -4.2 Household Goods 14485.13 2.4 13.1
BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's
Weir 1765.00 4.1 -4.6 Enterprise Inns 107.20 8.1 -6.5 Dialight 800.00 5.5 -1.2 Media 7565.78 2.3 15.8
price change chng% price change chng% price change chng% price change chng%
Ups Ups Ups Ups Losers Losers Losers Losers
Perrigo 207.24 42.53 25.82 Bg 1153.00 295.60 32.47 Galp Energia-nom 11.60 0.68 6.23 Dentsu . 5780.00 330.00 6.06 Royal Dutch Shell 1982.50 -2.4 -7.9 Jd Sports Fashion 471.30 -2.8 -7.1 Game Digital 231.50 -7.2 -36.7 Automobiles & Parts 8353.91 -0.6 3.7
Mylan N.v. Ordinary Shares 66.99 7.42 12.46 Tullow Oil 313.60 25.84 8.60 Christian Dior 179.80 2.75 1.55 Shiseido , 2424.50 121.00 5.25 Randgold Resources Ld 4691.00 -2.3 7.1 John Laing Infrastructure Fund 123.20 -2.8 0.4 Moss Bros 102.25 -6.5 14.2 Construction & Materials 4652.00 0.5 12.6
Baidu 212.27 8.41 4.12 Ophir Energy 156.30 9.36 6.43 Lvmh 167.50 1.95 1.18 Aeon Co., 1424.00 67.50 4.98 Ashtead 1064.00 -2.1 -7.6 Infinis Energy 185.00 -2.2 -17.3 Hochschild Mining 85.00 -6.1 -3.4 Fixed Line Telecommunication 5064.66 0.8 10.8
Netflix 437.81 14.35 3.39 Go-ahead 2500.00 134.60 5.54 Cnp Assurances 16.85 0.19 1.14 Tokuyama 297.00 13.00 4.58 Fresnillo 686.00 -2.0 -10.4 Talktalk Telecom 349.50 -1.7 14.9 Sepura 129.50 -5.5 -11.6 Travel & Leisure 8868.70 0.9 10.0
American Airlines 49.05 1.56 3.27 Rps 244.90 10.90 4.66 Gecina Nom. 129.50 1.35 1.05 Kyocera 6978.00 305.00 4.57 Int Consolidated Airlines S.a. 591.00 -1.5 21.6 Petra Diamonds 182.50 -1.2 -6.2 Hg Capital Trust 1064.00 -4.5 1.2 Aerospace & Defense 5161.41 0.9 8.5
Kingfisher 363.00 -1.4 6.6 Al Noor Hospitals 994.00 -1.2 0.4 Exillon Energy 125.00 -3.8 -16.7 Life Insurance 8655.43 1.0 14.6
Downs Downs Downs Downs
Easyjet 1858.00 -1.0 10.9 Mercantile Investment Trust (the) 1590.00 -1.2 6.6 Sthree 340.25 -3.6 15.3 Mining 13833.53 1.2 -3.2
Pentair 61.67 -2.79 -4.33 Royal Dutch Shell 1982.50 -111.50 -5.32 Royal Dutch Shella 27.44 -1.26 -4.39 Nichirei 667.00 -19.00 -2.77
Pearson 1431.00 -0.8 20.3 Betfair 2216.00 -1.1 41.0 Gulf Marine Services 121.00 -3.2 21.0 Mobile Telecommunications 5074.73 1.2 1.0
Qep Resources 22.15 -0.77 -3.36 Royal Dutch Shell 2019.50 -92.26 -4.18 Schneider Electric 72.62 -2.37 -3.16 Oji Holdings 510.00 -14.00 -2.67
Royal Dutch Shell 2019.50 -0.7 -5.2 Redefine Int P.l.c. 58.00 -0.9 6.4 Aquarius Platinum Ld 8.90 -2.7 -39.7 Nonlife Insurance 2127.51 1.3 9.8
Southwestern Energy 24.04 -0.80 -3.22 Acacia Mining 271.10 -10.53 -3.74 Randstad 56.00 -1.40 -2.44 Ms&ad Insurance Holdings,. 3405.50 -84.50 -2.42
Gkn 357.30 -0.4 3.9 Electrocomponents 239.00 -0.9 11.3 Skyepharma 303.75 -2.7 -9.3 Banks 4407.82 1.4 0.7
Ensco 22.78 -0.74 -3.13 Ashtead 1064.00 -31.00 -2.83 Peugeot 15.54 -0.34 -2.14 Fuji Heavy Industries 4040.00 -90.50 -2.19
Rolls-royce Holdings 944.00 -0.3 8.9 Imagination 203.70 -0.7 -11.0 Wanton 152.75 -2.7 -5.7 Gas Water & Multiutilities 5951.47 1.4 -3.0
Xylem 35.21 -0.87 -2.40 Randgold Resources Ld 4691.00 -135.00 -2.80 Kpn Kon 3.29 -0.06 -1.70 Yokogawa Electric 1373.00 -29.00 -2.07
Antofagasta 733.00 -0.1 -2.6 Poundland 361.00 -0.5 10.0 Gem Diamonds 138.25 -2.3 -20.9 Industrial Metals 1977.62 1.6 29.8
Based on the constituents of the S&P500 and the Nasdaq 100 index Based on the constituents of the FTSE 350 index Based on the constituents of the FTSEurofirst 300 Eurozone index Based on the constituents of the Nikkei 225 index
Based on last week's performance. †Price at suspension.

CURRENCIES
DOLLAR EURO POUND DOLLAR EURO POUND DOLLAR EURO POUND DOLLAR EURO POUND
Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's
Apr 08 Currency Mid Change Mid Change Mid Change Apr 08 Currency Mid Change Mid Change Mid Change Apr 08 Currency Mid Change Mid Change Mid Change Apr 08 Currency Mid Change Mid Change Mid Change
Argentina Argentine Peso 8.8380 0.0049 9.5374 -0.0556 13.1866 0.0484 Indonesia Indonesian Rupiah 12955.0000 -30.0000 13980.3241 -122.0194 19329.4984 15.4559 Poland Polish Zloty 3.7183 -0.0054 4.0126 -0.0315 5.5480 0.0093 ..Three Month 0.6701 -0.0021 0.7231 -0.0069 - -
Australia Australian Dollar 1.2991 -0.0076 1.4019 -0.0173 1.9383 -0.0053 Israel Israeli Shekel 3.9329 -0.0016 4.2441 -0.0289 5.8680 0.0159 Romania Romanian Leu 4.0750 0.0084 4.3975 -0.0190 6.0801 0.0314 ..One Year 0.6700 -0.0021 0.7227 -0.0069 - -
Bahrain Bahrainin Dinar 0.3770 - 0.4068 -0.0026 0.5625 0.0017 Japan Japanese Yen 119.9700 -0.3450 129.4650 -1.2028 179.0009 0.0433 Russia Russian Ruble 53.9745 -0.9805 58.2463 -1.4375 80.5325 -1.2081 United States United States Dollar - - 1.0791 -0.0069 1.4920 0.0046
Bolivia Bolivian Boliviano 6.9000 -0.0100 7.4461 -0.0585 10.2951 0.0171 ..One Month 119.9700 -0.3451 129.4650 -1.2028 179.0008 0.0431 Saudi Arabia Saudi Riyal 3.7509 -0.0004 4.0478 -0.0263 5.5965 0.0169 ..One Month - - 1.0791 -0.4083 1.4920 0.0046
Brazil Brazilian Real 3.0912 -0.0292 3.3358 -0.0531 4.6121 -0.0292 ..Three Month 119.9698 -0.3453 129.4650 -1.2029 179.0006 0.0426 Singapore Singapore Dollar 1.3565 -0.0024 1.4639 -0.0120 2.0240 0.0027 ..Three Month - - 1.0790 -0.4083 1.4920 0.0046
Canada Canadian Dollar 1.2529 0.0051 1.3521 -0.0032 1.8694 0.0133 ..One Year 119.9691 -0.3468 129.4649 -1.2030 179.0008 0.0416 South Africa South African Rand 11.8424 0.0174 12.7797 -0.0629 17.6694 0.0808 ..One Year - - 1.0784 -0.4083 1.4919 0.0046
Chile Chilean Peso 612.2000 1.6800 660.6523 -2.4015 913.4315 5.3385 Kenya Kenyan Shilling 92.7000 0.1000 100.0367 -0.5313 138.3128 0.5787 South Korea South Korean Won 1090.9500 2.4500 1177.2928 -4.8700 1627.7494 8.7045 Venezuela Venezuelan Bolivar Fuerte 6.2925 0.0025 6.7905 -0.0407 9.3887 0.0329
China Chinese Yuan 6.2032 0.0049 6.6941 -0.0375 9.2555 0.0361 Kuwait Kuwaiti Dinar 0.3013 0.0004 0.3251 -0.0017 0.4496 0.0019 Sweden Swedish Krona 8.6599 0.0287 9.3453 -0.0286 12.9210 0.0829 Vietnam Vietnamese Dong 21605.0000 - 23314.9689 -149.1298 32235.7075 100.1727
Colombia Colombian Peso 2494.2000 -18.2750 2691.6024 -37.0654 3721.4647 -15.6138 Malaysia Malaysian Ringgit 3.6290 -0.0090 3.9162 -0.0348 5.4146 0.0034 Switzerland Swiss Franc 0.9660 0.0038 1.0425 -0.0025 1.4413 0.0101 European Union Euro 0.9267 0.0059 - - 1.3826 0.0131
Costa Rica Costa Rican Colon 532.6650 0.1900 574.8225 -3.4707 794.7614 2.7532 Mexico Mexican Peson 14.9213 0.0287 16.1022 -0.0718 22.2632 0.1120 Taiwan New Taiwan Dollar 31.0970 0.0675 33.5582 -0.1414 46.3982 0.2446 ..One Month 0.9266 0.0059 - - 1.3826 0.0131
Czech Republic Czech Koruna 25.3612 0.1248 27.3684 -0.0396 37.8401 0.3032 New Zealand New Zealand Dollar 1.3217 -0.0077 1.4263 -0.0175 1.9720 -0.0054 Thailand Thai Baht 32.5500 -0.0200 35.1262 -0.2464 48.5661 0.1212 ..Three Month 0.9265 0.0059 - - 1.3825 0.0131
Denmark Danish Krone 6.9240 0.0444 7.4719 0.0004 10.3309 0.0982 Nigeria Nigerian Naira 199.0500 - 214.8037 -1.3741 296.9920 0.9233 Tunisia Tunisian Dinar 1.9567 0.0075 2.1116 -0.0054 2.9195 0.0202 ..One Year 0.9259 0.0059 - - 1.3820 0.0131
Egypt Egyptian Pound 7.6147 0.0063 8.2174 -0.0457 11.3615 0.0447 Norway Norwegian Krone 8.0513 0.0140 8.6885 -0.0404 12.0128 0.0581 Turkey Turkish Lira 2.5937 0.0038 2.7990 -0.0138 3.8699 0.0177
Hong Kong Hong Kong Dollar 7.7505 -0.0011 8.3639 -0.0548 11.5640 0.0342 Pakistan Pakistani Rupee 101.9300 0.0050 109.9972 -0.6982 152.0844 0.4802 United Arab Emirates UAE Dirham 3.6731 - 3.9638 -0.0254 5.4804 0.0170
Hungary Hungarian Forint 275.3093 0.8974 297.0985 -0.9259 410.7745 2.6118 Peru Peruvian Nuevo Sol 3.1015 0.0040 3.3470 -0.0171 4.6276 0.0203 United Kingdom Pound Sterling 0.6702 -0.0021 0.7233 -0.0069 - -
India Indian Rupee 62.2550 -0.0500 67.1821 -0.4841 92.8874 0.2144 Philippines Philippine Peso 44.4650 -0.0150 47.9842 -0.3232 66.3439 0.1839 ..One Month 0.6702 -0.0021 0.7232 -0.0069 - -
Rates are derived from WM Reuters Spot Rates and MorningStar (latest rates at time of production). Some values are rounded. Currency redenominated by 1000. The exchange rates printed in this table are also available at www.FT.com/marketsdata
UK SERIES
FTSE ACTUARIES SHARE INDICES www.ft.com/equities FT 30 INDEX FTSE SECTORS: LEADERS & LAGGARDS FTSE 100 SUMMARY
Produced in conjunction with the Institute and Faculty of Actuaries Apr 08 Apr 07 Apr 05 Apr 02 Apr 01 Yr Ago High Low Year to date percentage changes Closing Day's Closing Day's
£ Strlg Day's Euro £ Strlg £ Strlg Year Div P/E X/D Total FT 30 3034.00 3016.70 2972.60 2952.90 2941.30 0.00 3063.40 2669.30 Forestry & Paper 24.38 Tech Hardware & Eq 8.38 Industrial Eng 4.22 FTSE 100 Price Change FTSE 100 Price Change
Apr 08 chge% Index Apr 07 Apr 05 ago yield% Cover ratio adj Return FT 30 Div Yield 1.68 1.71 1.71 1.72 1.73 0.00 3.93 2.74 Industrial Metals & 24.16 Personal Goods 8.09 NON FINANCIALS Index 4.16 3i Group PLC 491.00 2.30 Johnson Matthey PLC 3441 -23.00
FTSE 100 (100) 6937.41 -0.35 7473.52 6961.77 6833.46 6635.61 3.47 1.83 15.69 76.07 5295.34 P/E Ratio net 26.56 26.06 26.06 25.87 25.78 0.00 19.44 14.26 Food & Drug Retailer 16.98 FTSE 250 Index 7.36 Chemicals 4.09 Aberdeen Asset Management PLC 465.30 -0.10 Kingfisher PLC 363.00 -5.70
FTSE 250 (250) 17561.47 0.23 18918.59 17521.48 17268.83 16163.70 2.44 2.00 20.49 72.12 11963.84 FT 30 since compilation: 4198.4 high: 19/07/1999; low49.4 26/06/1940Base Date: 1/7/35 Life Insurance 13.95 Aerospace & Defense 7.28 FTSE 100 Index 4.07 Admiral Group PLC 1566 7.00 Land Securities Group PLC 1276 -
FTSE 250 ex Inv Co (212) 19039.77 0.26 20511.13 18990.82 18711.14 17635.48 2.46 2.11 19.21 70.65 13218.37 FT 30 hourly changes Media 13.90 Technology 7.09 General Retailers 3.90 Aggreko PLC 1595 4.00 Legal & General Group PLC 283.00 -0.10
FTSE 350 (350) 3818.83 -0.25 4113.94 3828.58 3760.55 3629.95 3.30 1.86 16.33 37.59 5880.01 8 9 10 11 12 13 14 15 16 High Low Financial Services 12.89 Industrials 6.98 Health Care Eq & Srv 1.59 Anglo American PLC 1026.5 1.00 Lloyds Banking Group PLC 79.68 -0.42
FTSE 350 ex Investment Trusts (312) 3797.27 -0.26 4090.72 3807.19 3739.10 3614.84 3.32 1.86 16.13 37.63 3009.97 3016.7 3049.1 3046.7 3044.9 3048.8 3047.8 3049.4 3043.3 3034.2 3055.5 3011.3 Construct & Material 12.83 Electronic & Elec Eq 6.41 Mobile Telecomms 0.76 Antofagasta PLC 733.00 -7.50 London Stock Exchange Group PLC 2550 25.00
FTSE 350 Higher Yield (96) 3644.62 -1.08 3926.27 3684.34 3616.34 3634.32 4.68 1.62 13.23 55.64 5703.86 FT30 constituents and recent additions/deletions can be found at www.ft.com/ft30 Real Est Invest & Se 11.64 Support Services 6.08 Industrial Transport 0.75 ARM Holdings PLC 1123 21.00 Marks and Spencer Group PLC 554.50 -6.50
FTSE 350 Lower Yield (254) 3620.45 0.59 3900.24 3599.30 3537.88 3268.83 1.92 2.44 21.34 15.73 3770.88 Oil Equipment & Serv 11.42 Financials 5.96 Leisure Goods 0.43 Ashtead Group PLC 1064 -31.00 Meggitt PLC 561.00 1.50
FTSE SmallCap (291) 4650.89 0.45 5010.31 4629.97 4598.98 4459.61 2.47 1.91 21.28 27.16 6237.88 Household Goods & Ho 10.87 Consumer Goods 5.72 Banks 0.01
FTSE SmallCap ex Inv Co (152) 4079.87 0.60 4395.16 4055.69 4033.88 4082.96 2.35 2.89 14.69 19.97 5743.12 FX: EFFECTIVE INDICES Consumer Services 10.46 FTSE SmallCap Index 5.34 Oil & Gas -1.34
Associated British Foods PLC 2963 -1.00 Mondi PLC 1360 10.00
AstraZeneca PLC 4697 -10.00 Morrison (Wm) Supermarkets PLC 198.70 0.40
FTSE All-Share (641) 3752.78 -0.23 4042.79 3761.47 3696.03 3567.89 3.27 1.86 16.45 36.44 5846.02 Fixed Line Telecomms 10.28 Software & Comp Serv 5.21 Oil & Gas Producers -1.79
Apr 07 Apr 05 Mnth Ago Apr 08 Apr 07 Mnth Ago Aviva PLC 550.00 -11.00 National Grid PLC 888.20 -5.10
FTSE All-Share ex Inv Co (464) 3717.76 -0.24 4005.06 3726.88 3661.08 3541.95 3.31 1.88 16.10 36.50 2995.91 Real Est Invest & Tr 9.75 Automobiles & Parts 4.85 Basic Materials -3.76 Babcock International Group PLC 994.00 -19.00 Next PLC 7080 -
FTSE All-Share ex Multinationals (577) 1223.38 -0.14 1092.32 1225.07 1207.75 1135.49 2.73 2.02 18.20 5.91 2038.05 Australia 95.90 94.85 97.14 Sweden 77.87 77.83 79.18 Pharmace & Biotech 9.41 Equity Invest Instr 4.82 Food Producers -4.44 BAE Systems PLC 532.00 3.50 Old Mutual PLC 232.50 0.30
FTSE Fledgling (96) 7415.21 0.16 7988.24 7403.60 7358.36 6815.92 2.48 -2.25 -17.90 31.31 13114.48 Canada 94.26 93.48 93.39 Switzerland 164.80 165.34 161.04 Travel & Leisure 9.23 Tobacco 4.62 Gas Water & Multi -4.57 Barclays PLC 255.95 -2.05 Pearson PLC 1431 -12.00
FTSE Fledgling ex Inv Co (54) 9489.28 -0.07 10222.60 9496.19 9395.16 8420.34 2.37 -6.00 -7.04 16.22 16291.34 Denmark 105.18 105.20 105.09 UK 89.44 89.16 90.92 Nonlife Insurance 8.79 FTSE All{HY-}Share Index 4.62 Utilities -5.48 Barratt Developments PLC 530.50 - Persimmon PLC 1680 -1.00
FTSE All-Small (387) 3217.84 0.44 3466.51 3203.78 3182.41 3077.99 2.47 1.72 23.51 18.54 5542.32 Japan 127.54 128.13 126.60 USA 103.19 103.20 103.51 Health Care 8.73 Beverages 4.47 Mining -5.70 BG Group PLC 1153 242.60 Prudential PLC 1681.5 -15.50
FTSE All-Small ex Inv Co Index (206) 3033.31 0.57 3267.72 3016.10 2999.27 3014.13 2.35 2.55 16.67 14.42 5410.47 New Zealand 126.34 125.91 123.81 Euro 85.24 85.36 85.09 Telecommunications 4.30 Electricity -8.68 BHP Billiton PLC 1469 -1.50 Randgold Resources Ltd 4691 -135.00
FTSE AIM All-Share Index (841) 725.52 0.44 781.59 722.35 715.25 846.29 1.31 1.43 53.26 1.88 772.77 Norway 91.50 92.17 93.01
BP PLC 457.30 2.45 Reckitt Benckiser Group PLC 5970 10.00
FTSE Sector Indices Source: Bank of England. New Sterling ERI base Jan 2005 = 100. Other indices base average 1990 = 100. British American Tobacco PLC 3589 -42.00 Reed Elsevier PLC 1160 -8.00
Oil & Gas (19) 7719.80 -0.09 8316.37 7726.78 7445.41 8649.68 4.58 2.32 9.42 86.14 6212.09 Index rebased 1/2/95. for further information about ERIs see www.bankofengland.co.uk British Land Company PLC 849.00 0.50 Rio Tinto PLC 2853.5 -8.50
Oil & Gas Producers (12) 7312.44 -0.03 7877.53 7314.93 7050.14 8142.50 4.61 2.34 9.27 84.77 6085.25 British Sky Broadcasting Group PLC 1039 16.00 Rolls-Royce Holdings PLC 944.00 -8.00
Oil Equipment Services & Distribution (7)19452.72 -1.50 20955.99 19749.47 18922.76 25485.92 3.64 1.68 16.32 0.00 13718.70 FTSE GLOBAL EQUITY INDEX SERIES BT Group PLC 444.30 -3.30 Royal Bank Of Scotland Group PLC 348.70 -4.30
Basic Materials (30) 4678.29 -0.46 5039.82 4699.70 4557.74 5536.02 4.11 2.54 9.57 76.51 4448.04 Bunzl PLC 1888 6.00 Royal Dutch Shell PLC (A) 1982.5 -111.50
Chemicals (7) 12801.61 -0.19 13790.90 12826.55 12558.71 11754.72 2.02 2.51 19.73 22.65 10814.07 Apr 08 No of US $ Day Mth YTD Total
YTD Gr Div Apr 08 No of US $ Day Mth YTD Total YTD Gr Div Burberry Group PLC 1743 29.00 Royal Dutch Shell PLC (B) 2019.5 -189.00
Forestry & Paper (1) 15984.80 0.74 17220.08 15867.27 15350.11 12047.37 2.37 3.25 12.94 0.00 16244.52 Regions & countries stocks indices % % % retn
% Yield Sectors stocks indices % % % retn % Yield Capita PLC 1130 -3.00 Royal Mail PLC 448.00 -
Industrial Metals & Mining (2) 2030.26 3.11 2187.16 1968.99 1933.59 1143.97 0.49 -21.16 -9.57 0.00 1757.20 FTSE Global All Cap 7621 487.24 -0.1 1.7 3.7 654.72
4.3 2.3 Oil & Gas 166 397.84 0.9 0.9 -0.1 590.87 0.7 3.5 Carnival PLC 3324 -33.00 RSA Insurance Group PLC 432.50 0.90
Mining (20) 13233.19 -0.57 14255.83 13308.62 12890.88 16407.65 4.48 2.55 8.75 251.47 6568.29 FTSE Global All Cap 6984 499.58 0.0 1.4 3.2 660.03
3.8 2.2 Oil & Gas Producers 117 361.54 1.1 1.1 -0.2 545.96 0.5 3.5 Centrica PLC 259.00 -0.50 SABMiller PLC 3638 -12.50
FTSE Global Large Cap 1360 429.56 0.0 1.3 3.0 589.77
3.7 2.4 Oil Equipment & Services 39 413.06 0.3 0.3 -0.4 561.01 0.3 3.3 Coca-Cola HBC AG 1329 - Sage Group PLC 472.20 -1.20
Industrials (114) 4660.78 -0.02 5020.96 4661.86 4603.61 4560.87 2.35 1.37 31.04 17.39 4533.08
Construction & Materials (13) 4828.75 -1.14 5201.91 4884.50 4845.69 4917.70 2.96 -0.38 -89.38 70.16 4886.11 FTSE Global Mid Cap 1670 652.33 -0.1 2.5 5.7 839.21
6.1 1.8 Basic Materials 272 448.44 0.5 0.5 3.0 642.99 3.7 2.8 Compass Group PLC 1178 -14.00 Sainsbury (J) PLC 270.70 1.30
Aerospace & Defense (9) 5346.64 -0.03 5759.82 5348.51 5297.43 5012.34 2.05 1.36 35.83 10.10 5413.57 FTSE Global Small Cap 4591 686.75 -0.4 2.6 5.3 858.34
5.7 1.8 Chemicals 124 671.49 0.3 0.3 7.7 967.68 8.1 2.2 CRH PLC 1752 -30.00 Schroders PLC 3284 6.00
General Industrials (6) 3589.02 -0.51 3866.38 3607.43 3549.88 3394.05 3.20 1.80 17.41 21.33 3802.21 FTSE All-World 3030 284.43 0.0 1.5 3.5 403.05
4.1 2.3 Forestry & Paper 17 229.22 0.1 0.1 10.1 358.47 10.4 2.5 Diageo PLC 1906 -23.50 Severn Trent PLC 2136 -1.00
Electronic & Electrical Equipment (12) 5513.51 0.52 5939.59 5485.14 5441.90 5504.97 2.07 2.11 22.89 17.69 4789.13 FTSE World 2533 501.42 0.0 1.4 3.2 954.30
3.9 2.3 Industrial Metals & Mining 71 395.90 0.8 0.8 -4.0 569.67 -3.4 2.9 Direct Line Insurance Group PLC 322.70 3.90 Shire PLC 5485 100.00
Industrial Engineering (14) 9723.57 -0.16 10475.00 9739.35 9619.52 11226.50 2.49 2.06 19.51 18.70 11107.14 FTSE Global All Cap ex UNITED KINGDOM In 7286 499.82 -0.1 1.8 3.9 662.71
4.4 2.2 Mining 60 543.54 1.1 1.1 -4.6 774.25 -3.1 4.4 Dixons Carphone PLC 417.30 -2.90 Smith & Nephew PLC 1162 7.00
Industrial Transportation (8) 4241.02 0.11 4568.76 4236.26 4182.43 4589.78 3.57 1.51 18.57 0.00 3431.85 FTSE Global All Cap ex USA 5652 473.40 0.2 2.8 5.8 672.57
6.6 2.6 Industrials 532 327.23 0.0 0.0 4.0 447.50 4.6 2.0 easyJet PLC 1858 12.00 Smiths Group PLC 1120 -18.00
Support Services (52) 6836.81 0.23 7365.15 6820.94 6720.42 6527.47 2.17 1.53 30.17 18.72 6716.29 FTSE Global All Cap ex JAPAN 6365 498.41 -0.1 1.5 3.0 675.19
3.6 2.3 Construction & Materials 110 463.19 -0.1 -0.1 7.4 662.45 7.8 2.0 Experian PLC 1181 31.00 Sports Direct International PLC 627.50 -4.50
FTSE Developed 2090 452.85 0.0 1.3 3.3 613.21
4.0 2.3 Aerospace & Defense 29 526.97 -0.2 -0.2 6.0 714.27 6.5 1.9 Fresnillo PLC 686.00 -19.00 SSE PLC 1535 -9.00
Consumer Goods (40) 17282.46 -0.67 18618.02 17398.20 17102.18 15358.07 2.91 1.74 19.71 198.72 11950.65
FTSE Developed All Cap 5664 476.04 -0.1 1.5 3.5 637.95
4.2 2.2 General Industrials 57 220.28 -0.1 -0.1 1.3 323.39 2.2 2.6 Friends Life Group Ltd 429.30 -1.10 St. James's Place PLC 982.50 8.00
Automobiles & Parts (1) 8396.72 -1.43 9045.60 8518.92 8476.62 9129.93 2.27 1.79 24.66 0.00 7528.09
FTSE Developed Large Cap 882 418.16 0.0 1.1 2.8 573.52
3.5 2.4 Electronic & Electrical Equipment 68 353.42 -0.2 -0.2 8.6 446.23 9.0 1.5 G4S PLC 303.10 0.10 Standard Chartered PLC 1090 -4.50
Beverages (6) 14947.41 -0.82 16102.52 15070.27 14825.68 14045.04 2.35 1.73 24.64 92.30 9973.25
FTSE Developed Europe Large Cap 205 372.92 0.3 2.6 5.5 573.64
6.4 3.1 Industrial Engineering 104 648.61 0.1 0.1 4.9 872.15 5.6 2.0 GKN PLC 357.30 -5.20 Standard Life PLC 482.40 -1.00
Food Producers (10) 8069.60 -0.03 8693.20 8071.80 7844.38 7600.72 1.98 1.78 28.39 8.62 6628.91
FTSE Developed Europe Mid Cap 309 538.42 0.3 3.0 7.6 755.53
8.0 2.3 Industrial Transportation 94 586.09 0.5 0.5 -1.8 798.53 -1.5 2.1 GlaxoSmithKline PLC 1591 - Taylor Wimpey PLC 158.40 -0.60
Household Goods & Home Construction (13)12086.19 0.00 13020.20 12085.98 11841.67 9443.26 2.24 2.45 18.26 14.80 8048.68
FTSE Dev Europe Small Cap 723 733.63 -0.1 1.8 6.5 1004.48
7.0 2.1 Support Services 70 286.41 0.2 0.2 5.1 377.36 5.7 1.9 Glencore PLC 287.00 -3.65 Tesco PLC 246.85 -4.15
Leisure Goods (2) 5094.80 -0.14 5488.52 5101.71 5037.79 5009.44 4.15 1.05 22.87 109.73 4215.17
FTSE North America Large Cap 314 446.52 -0.1 0.1 0.4 578.28
1.0 2.1 Consumer Goods 407 428.02 -0.2 -0.2 5.7 597.64 6.3 2.2 Hammerson PLC 680.00 5.50 Travis Perkins PLC 1985 -4.00
Personal Goods (6) 23444.13 -0.50 25255.86 23562.33 23183.72 20308.94 2.83 2.70 13.08 141.74 14798.10
FTSE North America Mid Cap 400 701.71 -0.3 2.0 3.4 855.64
3.8 1.6 Automobiles & Parts 99 420.72 -0.8 -0.8 7.9 565.17 8.8 2.0 Hargreaves Lansdown PLC 1185 18.00 Tui AG 1219 -11.00
Tobacco (2) 42686.97 -1.11 45985.75 43166.14 42525.29 38059.00 4.11 1.19 20.52 1201.25 25548.37
FTSE North America Small Cap 1489 720.01 -0.6 2.7 4.5 854.06
4.9 1.5 Beverages 48 561.64 0.0 0.0 4.4 793.74 5.0 2.4 Hikma Pharmaceuticals PLC 2194 -26.00 Unilever PLC 2882 -32.00
Health Care (21) 10304.27 0.29 11100.56 10274.03 10100.07 8528.55 3.32 0.96 31.38 147.46 7354.83
FTSE North America 714 301.62 -0.2 0.5 0.9 400.59
1.5 2.0 Food Producers 102 578.44 0.0 0.0 4.8 830.80 5.1 2.1 HSBC Holdings PLC 587.00 0.10 United Utilities Group PLC 958.50 -3.50
Health Care Equipment & Services (9) 7025.50 0.89 7568.42 6963.83 6921.11 5236.59 1.27 2.57 30.61 2.14 5869.69
FTSE Developed ex North America 1376 249.53 0.2 2.5 6.9 380.52
7.8 2.6 Household Goods & Home Construction 43 398.81 -0.4 -0.4 0.7 553.71 1.2 2.3 Imperial Tobacco Group PLC 3146 -32.00 Vodafone Group PLC 222.55 -2.85
Pharmaceuticals & Biotechnology (12)14078.20 0.24 15166.14 14044.06 13793.14 11749.73 3.50 0.91 31.44 218.68 8920.09
FTSE Japan Large Cap 174 340.35 0.2 3.2 11.6 420.83
12.5 1.6 Leisure Goods 26 146.14 -0.3 -0.3 16.0 185.98 16.5 1.2 InterContinental Hotels Group PLC 2674 -9.00 Weir Group PLC 1765 -13.00
Consumer Services (96) 5094.91 -0.37 5488.64 5113.83 5048.94 4488.79 2.41 1.89 21.96 23.28 4514.05 FTSE Japan Mid Cap 304 485.83 -0.3 3.3 14.3 581.88
15.1 1.4 Personal Goods 76 621.29 0.0 0.0 6.5 828.55 6.9 1.8
Food & Drug Retailers (7) 3515.20 -0.84 3786.85 3544.94 3459.35 3868.28 4.58 1.09 20.03 0.00 3953.23 International Consolidated Airlines Group SA 591.00 -0.50 Whitbread PLC 5290 -25.00
FTSE Global wi JAPAN Small Cap 778 505.40 -0.6 2.8 7.8 624.36
8.7 1.6 Tobacco 13 1098.79 0.0 0.0 2.4 2088.68 3.9 4.1 Intertek Group PLC 2600 - Wolseley PLC 4004 -35.00
General Retailers (31) 3011.46 -0.74 3244.18 3033.77 2998.80 2899.10 2.07 2.48 19.47 3.92 3226.94
FTSE Japan 478 140.17 0.1 3.2 12.1 194.86
13.0 1.6 Health Care 159 468.47 0.4 0.4 7.8 645.31 8.6 1.7 Intu Properties PLC 356.90 1.00 WPP PLC 1560 5.00
Media (23) 7664.96 0.10 8257.30 7657.39 7555.37 6114.33 2.52 1.83 21.69 42.41 4425.13
FTSE Asia Pacific Large Cap ex Japan 493 648.17 0.2 1.9 5.3 944.29
5.8 2.8 Health Care Equipment & Services 56 640.43 -0.3 -0.3 8.4 728.74 8.7 1.0 ITV PLC 256.40 -0.60
Travel & Leisure (35) 8645.90 -0.39 9314.05 8679.72 8604.04 7173.28 1.74 2.31 24.93 62.62 7776.08
FTSE Asia Pacific Mid Cap ex Japan 445 868.91 0.3 2.1 7.8 1225.26
8.3 2.4 Pharmaceuticals & Biotechnology 103 359.63 0.6 0.6 7.7 514.18 8.6 2.0
Telecommunications (8) 3901.83 -0.94 4203.35 3938.72 3890.30 3601.57 3.98 2.51 10.02 0.00 3927.93 FTSE Asia Pacific Small Cap ex Japan 1377 574.53 0.3 2.8 7.5 799.14
8.0 2.5 Consumer Services 383 396.40 -0.3 -0.3 5.9 508.52 6.4 1.6
Fixed Line Telecommunications (6) 5134.45 -0.61 5531.23 5165.74 5116.27 4309.28 2.69 1.83 20.35 0.00 4326.16
Mobile Telecommunications (2) 5067.05 -1.16 5458.62 5126.31 5054.07 4946.05 4.84 2.76 7.48 0.00 4520.32
FTSE Asia Pacific Ex Japan
FTSE Emerging All Cap
938
1957
512.55
725.34
0.2
0.1
1.9
3.8
5.6 794.02
6.1
5.2 1008.81
5.6
2.8 Food & Drug Retailers
2.7 General Retailers
54 326.19
121 510.54
-0.1
-0.6
-0.1
-0.6
8.5 434.89
6.8 639.82
8.9
7.2
1.9
1.5
UK STOCK MARKET TRADING DATA
Utilities (8) 8485.77 -0.31 9141.54 8512.23 8331.98 8459.10 5.04 0.96 20.59 32.81 8647.88 FTSE Emerging Large Cap 478 689.48 0.1 4.0 5.4 964.57
5.9 2.8 Media 88 313.48 -0.3 -0.3 4.2 402.36 4.6 1.5 Apr 08 Apr 07 Apr 05 Apr 02 Apr 01 Yr Ago
Electricity (3) 9142.48 -0.11 9849.00 9152.40 8926.79 9661.47 5.49 0.94 19.28 142.09 11679.82 FTSE Emerging Mid Cap 462 892.57 0.1 3.1 3.6 1237.47
4.0 2.6 Travel & Leisure 120 378.40 -0.3 -0.3 5.1 490.65 5.7 1.7 SEAQ Bargains 7323.00 9426.00 9426.00 9426.00 9426.00 9396.00
Gas Water & Multiutilities (5) 7865.48 -0.37 8473.31 7894.40 7734.78 7710.93 4.92 0.97 20.99 5.10 8040.72 FTSE Emerging Small Cap 1017 746.74 0.4 2.7 5.5 1001.05
5.8 2.6 Telecommunication 94 173.26 -0.3 -0.3 3.7 295.02 4.5 3.9 Order Book Turnover (m) 89.27 46.69 46.55 46.55 46.55 46.30
Financials (284) 4966.09 -0.11 5349.86 4971.69 4918.67 4516.25 3.13 1.86 17.21 61.26 4245.39 FTSE Emerging Europe 99 344.90 -0.1 6.5 10.6 487.71
11.1 4.0 Fixed Line Telecommuniations 44 140.83 -0.5 -0.5 2.8 261.29 3.7 4.4 Order Book Bargains 987789.00 726524.00 726524.00 726524.00 726524.00 726392.00
Banks (8) 4352.27 -0.32 4688.61 4366.32 4320.03 4412.77 3.75 1.36 19.56 81.13 2936.97 FTSE Latin America All Cap 242 853.14 -0.7 5.6 -5.3 1232.79
-4.7 3.5 Mobile Telecommunications 50 189.84 0.0 0.0 4.9 294.49 5.5 3.3 Order Book Shares Traded (m) 1551.00 1310.00 1310.00 1310.00 1310.00 1305.00
Nonlife Insurance (12) 2447.72 0.42 2636.88 2437.58 2418.23 2122.75 2.96 1.47 22.97 29.68 4041.24 FTSE Middle East and Africa All Cap 214 820.13 0.3 5.3 6.6 1200.65
7.6 2.6 Utilities 163 257.43 -0.3 -0.3 -3.7 457.42 -3.0 3.7 Total Equity Turnover (£m) 2387.37 - 3886.22 3886.22 3886.22 -
Life Insurance/Assurance (12) 8773.92 -0.62 9451.96 8828.51 8724.69 7046.86 3.07 1.73 18.77 85.70 7854.34 FTSE Global wi UNITED KINGDOM All Cap In 335 364.79 1.1 -0.5 1.6 561.82
2.6 3.3 Electricity 113 273.65 -0.6 -0.6 -3.5 482.34 -2.8 3.6 Total Mkt Bargains 1135640.00 - 868188.00 868188.00 868188.00 867963.00
Index- Real Estate Investment & Services (24) 3024.22 0.64 3257.93 3005.00 2979.98 2812.93 1.65 5.41 11.23 13.87 7656.18 FTSE Global wi USA All Cap 1969 517.68 -0.3 0.7 1.7 653.64
2.2 1.9 Gas Water & Multiutilities 50 285.88 0.3 0.3 -3.9 518.67 -3.4 3.8 Total Shares Traded (m) 5181.00 - 5299.00 5299.00 5299.00 0.00
Real Estate Investment Trusts (22) 3069.67 0.45 3306.88 3056.03 3019.53 2428.91 2.63 6.22 6.11 28.30 3556.71 FTSE Europe All Cap 1391 422.44 0.2 2.7 6.1 630.58
6.9 2.9 Financials 672 219.58 -0.2 -0.2 1.8 334.02 2.5 2.6 † Excluding intra-market and overseas turnover. *UK only total at 6pm. ‡ UK plus intra-market turnover. (u) Unavaliable.
General Financial (29) 8347.16 0.46 8992.21 8308.73 8227.35 6923.52 2.64 2.00 18.92 38.84 8860.62 FTSE Eurobloc All Cap 637 399.20 -0.2 4.1 8.3 601.88
8.8 2.5 Banks 241 202.02 0.0 0.0 0.5 326.79 1.4 3.0 (c) Market closed.
Equity Investment Instruments (177) 7974.39 0.14 8590.64 7963.09 7879.66 7155.96 2.41 1.04 39.78 54.64 4114.57 FTSE RAFI All World 3000 3031 6079.31 0.1 2.0 3.2 7489.97
3.9 2.8 Nonlife Insurance 70 219.23 -0.6 -0.6 2.4 299.91 2.9 2.0
Non Financials (357) 4344.59 -0.27 4680.33 4356.43 4270.50 4193.07 3.32 1.86 16.21 38.23 5924.73 FTSE RAFI US 1000 1004 9322.04 -0.3 0.9 0.3 11572.46
0.9 2.3 Life Insurance 50 219.86 0.0 0.0 4.1 326.44 4.7 2.3
Technology (21) 1341.19 0.90 1444.84 1329.24 1321.56 1224.41 1.28 2.29 34.07 5.53 1659.83 FTSE EDHEC-Risk Efficient All-World 3030 334.97 -0.1 2.1 4.8 442.83
5.3 2.1 Financial Services 138 235.21 -0.2 -0.2 1.6 308.76 2.0 1.7 All data provided by Morningstar unless otherwise noted. All elements listed are indicative and believed
Software & Computer Services (13) 1447.88 0.01 1559.77 1447.80 1437.28 1292.10 2.06 1.93 25.08 14.02 1874.25 FTSE EDHEC-Risk Efficient Developed Europe 514 294.32 0.2 2.2 5.7 420.75
6.2 2.4 Technology 182 175.69 -0.2 -0.2 2.1 206.80 2.5 1.6 accurate at the time of publication. No offer is made by Morningstar or the FT. The FT does not warrant nor
Technology Hardware & Equipment (8) 1680.53 1.48 1810.40 1656.04 1648.08 1554.77 0.78 2.90 44.17 0.72 1913.02 Software & Computer Services 80 277.78 0.0 0.0 2.3 316.12 2.6 1.1 guarantee that the information is reliable or complete. The FT does not accept responsibility and will not be
Technology Hardware & Equipment 102 142.63 -0.3 -0.3 1.9 171.89 2.3 1.9 liable for any loss arising from the reliance on or use of the listed information.
Hourly movements 8.00 9.00 10.00 11.00 12.00 13.00 14.00 15.00 16.00 High/day Low/day The FTSE Global Equity Series, launched in 2003, contains the FTSE Global Small Cap Indices and broader FTSE Global All Cap Indices (large/mid/small cap) as well as the enhanced FTSE All-World index Series (large/ For all queries e-mail ft.reader.enquiries@morningstar.com
FTSE 100 6949.41 6993.95 6997.60 6998.69 6999.00 6988.29 6988.33 6973.37 6938.18 7011.93 6931.84 mid cap) - please see www.ftse.com/geis. The trade names Fundamental Index® and RAFI® are registered trademarks and the patented and patent-pending proprietary intellectual property of Research Affiliates, LLC
FTSE 250 17544.72 17577.68 17563.81 17585.46 17601.71 17603.99 17600.30 17576.45 17551.90 17627.38 17542.09 (US Patent Nos. 7,620,577; 7,747,502; 7,778,905; 7,792,719; Patent Pending Publ. Nos. US-2006-0149645-A1, US-2007-0055598-A1, US-2008-0288416-A1, US-2010- 0063942-A1, WO 2005/076812, WO 2007/078399 A2,
WO 2008/118372, EPN 1733352, and HK1099110). ”EDHEC™” is a trade mark of EDHEC Business School As of January 2nd 2006, FTSE is basing its sector indices on the Industrial Classification Benchmark - please see
Data provided by Morningstar | www.morningstar.co.uk
FTSE SmallCap 4637.77 4641.73 4637.66 4641.12 4642.41 4645.16 4643.99 4645.29 4644.12 4650.89 4637.01
FTSE All-Share 3757.13 3777.75 3778.76 3780.06 3780.79 3776.27 3776.13 3768.80 3752.61 3787.10 3750.04 www.ftse.com/icb. For constituent changes and other information about FTSE, please see www.ftse.com. © FTSE International Limited. 2013. All Rights reserved. ”FTSE®” is a trade mark of the London Stock Exchange
Time of FTSE 100 Day's high:07:36:45 Day's Low15:29:00 FTSE 100 2010/11 High: 7037.67(23/03/2015) Low: 6366.51(06/01/2015) Group companies and is used by FTSE International Limited under licence.
Time of FTSE All-Share Day's high:07:37:00 Day's Low15:29:00 FTSE 100 2010/11 High: 3795.61(23/03/2015) Low: 3434.73(06/01/2015)
Further information is available on http://www.ftse.com © FTSE International Limited. 2013. All Rights reserved. ”FTSE®” is a trade mark of the
London Stock Exchange Group companies and is used by FTSE International Limited under licence. † Sector P/E ratios greater than 80 are not shown.
For changes to FTSE Fledgling Index constituents please refer to www.ftse.com/indexchanges. ‡ Values are negative.

UK RIGHTS OFFERS UK COMPANY RESULTS UK RECENT EQUITY ISSUES

Amount Latest Company Turnover Pre-tax EPS(p) Div(p) Pay day Total Issue Issue Stock Close Mkt
Issue paid renun. closing Amerisur Resources Pre 199.464 169.2 47.494 75.338 0.026 0.045 - - - - - date price(p) Sector code Stock price(p) +/- High Low Cap (£m)
price up date High Low Stock Price p +or- Parity Group Pre 92.264 91.949 0.408L 0.949L 0.43L 1.83L - - - - - 04/02 149.00 AIM MMH Marshall Motor Holdings PLC 174.00 7.50 175.00 160.00 13439.1
155P Nil 08-04-15 240.00 227.38 Charles Taylor PLC 240.00 5.00 SeaEnergy Pre 7.448 5.122 2.452L 0.804L 4.5L 1.45L - - - - - 04/02 20.00 AIM MTFB Motif Bio PLC 30.50 1.13 50.00 28.11 1959.3
A$0.005 Nil 08-05-15 0.29 0.25 Metminco Ltd 0.28 0.00 Snoozebox Holdings Pre 2.755 6.724 5.636L 9.403L 3.09L 10.51L - - - - - 03/25 5.00 HNR Highlands Natural Resources PLC 10.50 1.19 17.90 6.00 210.0
166p Nil 01-05-15 543.50 514.70 Optimal Payments PLC 525.00 -5.00 03/23 89.00 LAKE Lakehouse PLC 100.25 -0.25 101.59 88.75 15792.1
101p Nil 16-04-15 148.80 144.90 Serco Group PLC 147.90 1.10 03/10 10.00 AIM GATE Gate Ventures PLC 161.50 14.00 178.00 12.00 5292.1
03/06 58.00 AIM BILB Bilby PLC 60.50 -1.70 65.00 58.80 1773.3
03/06 255.00 DFS DFS Furniture PLC 265.00 8.00 275.00 254.62 56453.1
03/03 100.00 SEQI Sequoia Economic Infrastructure Income Fund 106.25 0.15 106.54 103.98 15937.5
Ltd

Figures in £m. Earnings shown basic. Figures in light text are for corresponding period year earlier. §Placing price. *Intoduction. ‡When issued. Annual report/prospectus available at www.ft.com/ir
For more information on dividend payments visit www.ft.com/marketsdata For a full explanation of all the other symbols please refer to London Share Service notes.
Thursday 9 April 2015 ★ FINANCIAL TIMES 19

MARKET DATA

FT500: THE WORLD'S LARGEST COMPANIES

52 Week 52 Week 52 Week 52 Week 52 Week 52 Week
Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m
Australia (A$) ChristianDior 179.80 2.75 183.35 126.10 1.85 12.89 35260.53 FastRetail 47580 40.00 47880 30950 0.73 49.67 42068.72 TeliaSonera 55.75 0.20 55.85 43.98 5.70 15.73 27875.87 BkNYMeln 40.70 0.13 41.79 32.66 1.55 19.40 45365.82 Lyondell 91.99 0.16 115.40 70.06 2.81 12.02 43878.98
ANZ 36.79 -0.11 37.25 30.47 4.95 13.68 78330.26 Cred Agr 14.14 0.01 14.23 9.76 2.66 15.74 39299.14 Fuji Hvy Ind 4040 -90.50 4617 2380 1.11 15.28 26363.08 Switzerland (SFr) BlackRock 370.54 1.92 382.84 292.20 1.99 20.12 61289.19 Marathon Ptl 98.82 0.58 108.32 74.64 1.78 11.74 26976.44
BHPBilltn 30.74 0.29 39.74 26.50 6.08 10.46 75995.58 Danone 64.30 0.12 64.49 49.84 2.42 32.30 44672.08 Hitachi 823.90 -3.40 939.90 660.00 1.06 15.34 33194.05 ABB 20.82 -0.14 23.29 16.75 3.52 20.11 49889.2 Boeing 153.14 0.82 158.83 116.32 1.82 21.69 107869.85 Marsh&M♦ 57.01 0.55 58.74 46.78 1.78 22.83 30692.49
CmwBkAu 94.00 -0.21 96.69 73.57 6.20 17.11 117313.26 EDF 22.97 -0.03 29.58 20.90 6.03 10.93 46095.75 HondaMtr 4076 29.50 4170 3239 2.07 12.89 61543.57 CredSuisse 26.71 -0.14 28.98 18.57 2.44 28.43 44438.38 BrisMySq♦ 63.35 0.35 69.20 46.30 2.19 55.17 105583.48 MasterCard♦ 89.54 1.62 93.00 68.68 0.52 30.24 99502.33
CSL♦ 94.90 1.30 96.60 63.77 1.33 29.66 34339.22 Essilor Intl 110.15 -0.35 110.90 71.16 0.92 23.74 25673.01 JapanTob 3932.5 39.00 4193 3097 3.65 - 65558.06 Nestle 74.30 0.20 76.80 64.15 2.69 17.66 248035.85 Broadcom 42.96 -0.22 46.31 28.86 1.07 41.38 23615.89 McDonald's 96.50 0.15 103.78 87.62 3.25 20.91 92747.95
NatAusBk 39.45 0.12 39.67 31.33 7.43 17.27 73521.21 GDF Suez 19.25 -0.16 21.19 16.17 6.52 18.00 50576.34 KDDI 2863 22.50 6412.5 2651.5 1.67 9.26 64216.23 Novartis 97.95 -0.25 99.85 72.40 2.60 24.59 274401.26 CapOne 80.56 0.89 85.39 72.63 1.43 11.11 44264.35 McGraw Hill 104.19 0.41 109.13 71.93 1.10-100.81 28555.46
Telstra 6.32 -0.01 6.74 5.02 4.75 16.69 59475.74 Hermes Intl 340.95 3.50 341.50 229.00 0.88 39.48 38842.61 Keyence 65900 -30.00 69480 36095 0.15 38.04 33398.74 Richemont 80.60 0.90 94.75 68.80 1.62 22.68 43554.04 CardinalHlth♦ 90.21 0.27 91.59 63.06 1.41 29.12 29781.1 McKesson 221.03 -0.81 232.69 162.90 0.42 31.53 51465.62
Wesfarmers 43.85 0.29 46.95 40.26 6.75 31.43 37930.72 Kering 176.30 -0.30 198.50 140.05 2.28 20.54 24022.6 MitsbCp 2461 7.50 2522.5 1805 2.11 12.29 33314.61 Roche 271.90 -0.40 295.80 238.80 2.67 27.03 197750.31 Carnival 48.81 0.10 49.21 33.11 1.98 30.17 28929.11 Medtronic♦ 77.11 -0.07 79.50 55.85 1.54 24.90 75900.65
Westpc 39.76 0.10 40.07 31.33 7.07 16.27 95494.05 LOreal 174.05 -1.10 175.70 116.35 1.54 34.29 105413.15 MitsubEst 2920 48.50 2975 2151.5 0.31 41.34 33841.46 SwatchGpI 422.50 7.90 571.50 350.00 1.65 9.95 13488.51 Caterpillar 80.69 0.15 111.46 78.19 3.08 14.35 48849.64 Merck 57.66 0.23 63.62 52.49 2.94 14.80 163636.01
WoodsdPet 35.07 0.70 44.23 31.97 9.69 9.65 22241.63 LVMH 167.50 1.95 175.40 121.40 2.02 13.93 91764.73 MitsubishiEle 1504.5 10.00 1550 1083 0.41 27.25 26927.28 Swiss Re 95.20 -0.75 96.40 69.25 4.23 11.19 36533.43 CBS 61.36 0.48 65.24 48.83 0.84 26.61 28191.57 Metlife 51.21 0.41 57.57 46.10 2.48 9.87 57224.15
Woolworths♦ 29.05 0.06 38.92 28.53 6.85 14.89 28245.77 Nmrcble-SFR 51.36 0.53 60.01 26.38 - -61.99 26988.54 Mitsui 1616 12.50 1820 1402 3.20 8.06 24199.1 Swisscom 571.00 -1.00 587.50 500.00 3.58 18.77 30619.99 Celgene 115.58 2.86 129.06 66.85 - 50.49 92532.27 MicronTech 27.20 0.33 36.59 21.02 - 9.27 29297.54
Belgium (€) Orange 15.19 -0.14 16.45 10.20 5.83 23.40 43421.06 MitsuiFud 3682.5 4.00 3809.5 2854.5 0.46 42.09 30431.95 Syngent 340.00 -0.20 350.30 273.20 3.08 20.90 32713.79 CharlesSch 29.92 0.15 31.73 23.35 0.77 32.61 39285.01 Microsoft 41.27 -0.26 50.05 38.51 2.67 17.42 338603.04
AnBshInBv 115.80 -1.50 117.50 75.30 2.49 23.59 200973.87 PernodRic 112.45 -0.30 113.25 82.23 1.56 28.56 32208.85 MitUFJFin 794.00 6.00 811.00 523.00 1.73 10.35 93774.01 UBS 18.64 -0.16 18.84 13.58 1.25 22.21 72158.01 ChevrnTx 107.16 -1.38 135.10 98.88 3.76 11.05 201480.13 MondelezInt♦ 37.37 0.37 39.54 31.83 1.49 30.51 61641.07
Safran 66.22 0.01 68.47 43.24 1.94-203.96 29801.33 Mizuho Fin 214.60 -0.40 226.60 178.10 2.49 12.45 43860.42 Zurich Fin 313.30 -0.80 334.60 244.20 5.66 13.00 48753.14 Chubb 100.55 -0.47 105.30 86.40 1.90 12.18 23212.66 Monsanto♦ 117.32 -0.53 128.79 105.76 1.51 26.07 55856.39
Brazil (R$)
Sanofi 95.60 -0.18 96.05 69.58 3.14 27.02 136114.14 Murata Mfg 17340 -90.00 17795 8192 0.60 34.60 32558.73 Cigna♦ 131.26 1.38 133.46 73.47 0.03 17.53 33923.19 MorganStly 36.31 0.37 39.19 28.31 0.92 23.57 71591.45
Ambev 19.52 0.09 19.69 14.99 9.29 23.00 99253.6 Taiwan (NT$)
Schneider 72.62 -2.37 75.29 52.59 3.39 22.04 45822.74 NipponTT 7683 40.00 7763 5051 2.24 16.16 72795.24 Cisco♦ 27.56 0.17 30.31 22.43 2.74 16.57 140696.81 News Corp A♦ 34.19 -0.06 39.27 31.01 0.70 8.48 45391.14
BncBrasil 24.98 0.30 38.19 19.90 7.39 4.88 23155.81 HonHaiPrc 93.70 0.10 113.00 83.00 1.62 11.37 44574.75
SocGen 46.49 0.05 46.82 31.85 2.31 14.86 40396.81 Nissan Mt 1208.5 -15.00 1303.5 856.00 1.99 11.66 45538.75 Citigroup 52.14 0.62 56.95 45.18 0.07 24.77 158226.29 NextEraE 103.74 -0.55 112.64 90.33 2.67 19.36 46073.4
BncoDoBrasl 34.17 -0.52 36.47 24.63 3.87 17.77 22108.28 MediaTek 421.00 - 545.00 396.50 3.35 14.93 21276.45
StGobn 42.53 0.30 45.15 29.51 1.61 22.69 25785.74 NpnStlSmMtl 301.60 -0.20 333.00 243.30 1.27 14.12 23890.7 CME Grp 90.92 0.35 100.61 66.44 1.98 28.33 30689.97 Nike 100.33 0.72 103.79 71.10 1.00 29.71 68864.57
Bradesco♦ 32.13 0.52 41.30 28.80 1.19 9.50 26238.72 TaiwanSem 143.00 -3.00 155.00 116.00 1.58 17.55 119240.75
Total 47.05 -0.55 54.71 38.25 5.95 28.52 121108.98 NTTDCMo 2173 7.50 2252.5 1515 2.64 22.33 74005.02 Coca-Cola 40.87 -0.15 44.87 38.40 2.86 26.77 178518.46 NorfolkS 104.02 -0.44 117.64 91.91 2.04 17.04 33977.61
Cielo 47.38 -0.01 47.89 35.70 2.96 18.20 24098.57 Thailand (THB)
UnibailR 253.35 1.00 262.00 180.70 3.77 14.68 26813.87 Panasonic 1592 -1.00 1614 1030 0.84 70.46 32551.97 Cognizant 62.85 0.81 64.69 41.51 - 27.95 38314.4 Northrop 164.10 1.19 172.30 116.11 1.58 17.58 33148.08
ItauHldFin 34.33 0.17 38.74 28.46 1.62 7.86 30763.75 PTT Explor♦ 340.00 -1.00 398.00 291.00 2.02 18.58 29835.39
Vinci 54.51 -0.05 57.36 39.65 3.48 11.48 34742.76 Seven & I 5280 63.00 5280 3700 1.30 27.69 39013.2 ColgtPlm 69.74 0.03 71.56 62.53 1.95 30.90 63242.98 NtlOilVarc 52.69 -0.08 86.55 46.08 2.98 9.66 21599.48
Petrobras 10.73 -0.10 23.50 7.88 5.82 5.38 25834.25
Vivendi 23.66 0.15 23.74 17.26 4.53-100.23 34547.66 ShnEtsuCh 7942 106.00 8529 5752 0.96 29.15 28605.41 United Kingdom (p) Comcast♦ 58.47 0.16 60.70 47.74 1.47 19.09 124607.63 Occid Pet♦ 76.85 0.04 101.38 71.70 3.59-446.17 59218.03
Vale 19.09 0.09 33.46 17.17 12.59 50.62 19868.39
Germany (€) Softbank 7120 30.00 8760 6683 0.43 14.58 71257 AngloAmer♦ 1026.5 1.00 1678.5 923.00 5.33 -8.18 21391.17 ConocPhil 65.25 -0.55 87.09 60.57 4.17 14.82 80346.72 Oracle♦ 43.28 0.32 46.71 35.82 1.07 18.75 189006.79
Canada (C$) Sony 3525 35.00 3590 1588 0.54 -25.31 34364.06 AscBrFd 2963 -1.00 3293 2407 1.09 30.72 34999.41 Corning 22.02 0.02 25.16 17.03 1.74 13.28 27938.95 Paccar 62.52 0.37 71.15 55.34 1.32 17.12 22173.72
Allianz 165.35 -0.15 166.70 115.05 3.44 11.25 81545.5
Alimentation 51.03 0.03 51.83 28.50 0.26 24.58 17027.28 SumitomoF 4709 32.50 4915 3800 2.54 9.04 55503.78 AstraZen 4697 -10.00 5750 3718.5 3.86 75.08 88505.41 Costco 151.88 0.10 156.85 110.38 0.90 30.74 66823.29 Pepsico 96.02 -0.19 100.76 81.99 2.52 23.53 142337.02
BASF 94.00 -1.07 95.50 64.27 3.08 15.61 93170.09
BCE♦ 54.60 0.59 60.20 46.43 4.68 17.72 36629.66 Takeda Ph 6045 96.00 6657 4337.5 2.28 93.67 39799.94 Barclays 255.95 -2.05 269.94 201.75 2.54-348.23 62937.28 Covidien 106.71 -1.36 108.57 65.97 1.54 28.15 48500.47 Pfizer 34.70 0.16 35.45 27.51 2.87 25.72 212671.28
Bayer 139.90 -1.30 145.85 91.51 1.61 31.47 124846.22
BkMontrl 76.86 -0.37 85.71 72.87 3.98 12.07 39692.83 TokioMarine 4691 -79.00 4843.5 2885 1.26 15.16 29620.29 BG 1153 242.60 1420 780.55 1.67 -58.37 58728.86 CrownCstl 85.12 -0.55 89.44 71.29 2.10 85.55 28409.82 PG&E♦ 53.60 0.12 60.21 42.85 3.25 18.33 25624.31
BMW 113.25 -1.65 123.75 74.74 2.46 11.95 73571.71
BkNvaS♦ 63.55 -0.23 74.93 60.75 4.02 11.38 61356.48 Toyota 8372 -38.00 8783 5205 1.60 13.68 238521.91 BP 457.30 2.45 526.80 364.40 5.55 34.89 124445.48 CSX 33.32 -0.23 37.99 27.14 1.81 18.12 33039.81 Phillips66 77.47 -0.30 87.98 57.33 2.33 11.40 42014.08
Continental 219.85 -0.95 234.25 136.85 1.22 17.25 47451.4
Brookfield 70.77 1.45 71.10 44.47 1.09 14.81 35654.8 BrAmTob♦ 3589 -42.00 3894 3303 4.04 21.55 102719.33 Cummins 135.75 -1.01 161.03 124.30 1.98 15.73 24800.41 PhilMorris♦ 77.17 -0.57 91.63 75.27 4.81 16.93 119543.49
Daimler 85.93 -1.16 96.07 55.10 2.81 12.31 99206.97 Malaysia (RM)
CanadPcR♦ 229.52 0.06 247.56 156.64 0.63 26.20 30109.93 BSkyB♦ 850.50 -12.00 954.00 782.50 3.76 9.03 23005.52 CVS 103.54 0.41 105.46 72.37 1.02 27.32 117545.46 PNCFin 92.95 -0.07 96.71 76.69 1.94 13.22 48398.11
Deut Bank 32.94 -0.21 33.40 22.66 2.33 23.43 49021.6 Maybank 9.55 - 10.20 8.25 8.42 12.91 24530.92
CanImp♦ 92.46 -0.22 107.37 88.04 4.26 12.98 29311.54 BT 444.30 -3.30 471.45 350.30 2.31 18.12 53982.97 Danaher♦ 85.23 -0.10 88.10 70.12 0.45 24.54 60267.42 PPG Inds 225.67 0.77 237.90 171.56 1.11 29.12 30780.82
Deut Tlkm 17.16 -0.22 17.44 10.07 2.34 24.48 83990.25 Mexico (Mex$)
CanNatRs 39.82 -1.22 49.57 31.00 2.34 10.74 34722.87 Compass 1178 -14.00 1213 924.41 2.40 24.19 29311.8 Deere♦ 88.31 -0.13 94.89 78.88 2.60 11.12 29980.57 PPL 33.98 0.04 38.14 31.31 4.20 14.92 22674.43
DeutsPost 29.82 -0.04 30.78 21.55 2.88 16.95 38975.89 AmerMvl 15.85 -0.44 17.64 12.39 1.48 17.94 71728.82
CanNatRy 82.97 0.11 88.89 59.66 1.20 22.52 53272.87 Diageo 1906 -23.50 2055 1689.5 2.71 24.56 71410.52 Delta 42.92 1.28 51.06 30.12 0.67 57.51 35377.74 Praxair 122.52 -0.25 134.84 117.32 2.03 22.34 35360.69
E.ON 14.11 -0.18 15.46 12.23 4.56 -8.47 30457.88 FEMSA UBD 148.17 3.33 148.78 116.20 0.69 32.32 35532.25
Enbridge 62.16 0.21 65.13 47.43 2.33 45.49 42276.88 GlaxoSmh♦ 1591 - 1689 1200.67 5.03 28.09 115448.09 DevonEngy 63.22 -0.11 80.63 51.76 1.42 16.90 25989.74 Prec Cast 213.98 0.18 275.09 186.17 0.05 17.22 30335.45
Fresenius 55.00 -0.32 56.71 34.70 0.81 26.15 25892.35 WalMrtMex - - - - - - -
GtWesLif 36.54 0.06 37.50 28.61 3.48 13.86 29064.1 Glencore 287.00 -3.65 379.45 236.20 3.82 25.50 56499.62 DirectTV 86.63 0.15 89.46 73.54 - 16.75 43557.68 Priceline 1187.5 2.52 1329.9 990.69 - 27.17 61677.79
HenkelKgaA 96.37 -0.46 98.55 66.70 1.34 23.96 27018.03
ImpOil 51.80 -0.23 57.96 44.08 1.04 11.25 35043.2 Netherlands (€) HSBC♦ 587.00 0.10 737.00 550.67 5.36 12.74 168080.69 DiscFinServ 57.48 0.30 66.75 54.02 1.53 12.25 25643.85 ProctGmbl 82.67 0.28 93.89 77.29 2.93 22.89 223261.95
Linde 190.40 -1.60 195.55 140.45 1.69 30.01 38162.43
Manulife 21.89 0.34 23.09 18.91 2.70 11.79 34418.6 ASML Hld 92.01 -1.31 102.40 57.51 0.60 31.51 43516.93 ImpTob 3146 -32.00 3295 2367 4.10 21.24 44960.87 Disney 106.47 1.04 108.94 76.31 1.03 24.72 180952.51 Prudntl 80.36 0.69 94.30 74.51 2.58 26.74 36498.2
MuenchRkv 202.80 -0.15 204.50 141.10 3.84 10.32 37848.58
Potash 41.44 0.20 47.10 35.25 4.05 19.01 27522.1 Heineken 73.23 -0.10 75.16 48.66 1.30 25.93 45519.04 LlydsBkg♦ 79.68 -0.42 81.82 70.02 - 40.88 84853.69 DominRes 71.58 -0.37 80.89 64.71 3.21 33.39 42098.93 PublStor 197.00 -0.05 206.92 162.34 2.72 39.21 34033.88
SAP 67.35 -0.35 68.19 50.08 1.59 22.91 89288.15
RylBkC 78.19 0.38 83.87 71.74 3.67 12.71 90032.33 ING 13.93 -0.18 14.16 9.34 - 30.18 58040.2 Natl Grid 888.20 -5.10 965.00 806.22 4.91 15.56 49852.21 DowChem♦ 48.41 -0.11 54.97 41.45 3.02 17.50 55769.43 Qualcomm 67.32 0.01 81.97 62.26 2.29 14.87 111048.39
Siemens 101.15 -1.00 106.35 80.17 3.20 15.19 96165.96
Suncor En 38.96 -0.02 47.18 30.89 2.71 20.43 44940.31 Philips 27.24 -0.11 27.68 20.69 - 105.78 27479.85 Prudential♦ 1681.5 -15.50 1761.5 1272.5 2.08 19.36 64404.36 DukeEner 77.02 -0.63 89.97 68.81 3.91 23.26 54475.52 Raytheon♦ 109.29 0.55 113.36 89.17 2.12 16.39 33701.54
Volkswgn 238.35 0.35 254.50 147.35 1.80 10.03 75901.26
ThmReut 52.18 0.19 52.54 37.10 3.03 18.52 32997.26 Unilever 40.08 -0.23 40.73 28.75 2.56 20.87 74165.59 RBS 348.70 -4.30 414.00 294.70 - 697.40 33104.4 DuPont 71.64 -0.03 80.65 63.70 2.46 19.20 64863.86 Regen Pharm 455.29 13.64 495.50 269.50 - 155.03 45822.92
TntoDom♦ 54.63 0.09 58.20 49.67 3.38 13.40 80646.41 Hong Kong (HK$)
Norway (Kr) ReckittB 5970 10.00 6070 4697 2.29 26.23 64006.36 Eaton 68.18 -0.38 79.98 57.11 2.75 18.95 31875.21 ReynoldsAm 72.40 -0.21 76.23 53.06 3.54 28.02 38517.75
TrnCan♦ 54.74 0.14 63.86 49.30 3.63 21.54 30972.16 AIA 51.75 2.40 51.85 36.70 0.82 24.39 80431.26
DNB 134.60 -0.40 135.00 98.10 2.06 10.33 27230.1 Reed Els 1160 -8.00 1199 851.53 2.15 27.29 36142.91 eBay 56.97 -0.11 60.93 46.34 - 1633.12 69084.73 Salesforce 68.60 0.40 71.00 48.18 - -164.07 44631.16
ValeantPh 255.82 7.03 263.91 116.01 - 79.77 69597.3 BOC Hold 28.35 0.25 28.55 22.05 3.41 12.75 38673.64
Statoil 152.10 -0.60 195.80 118.20 5.98 21.55 60238.26 RioTinto♦ 2853.5 -8.50 3530.5 2600 4.59 12.67 60195.6 Ecolab♦ 115.32 0.75 118.46 97.78 0.96 30.65 34290.38 Schlmbrg♦ 85.91 -0.37 118.76 75.60 1.78 20.83 109778.55
Ch OSLnd&Inv 27.65 1.50 27.70 17.66 1.48 10.35 29160.9
China (HK$) Telenor 167.90 -1.20 170.40 127.00 4.81 33.18 31311.26 RollsRoyce 944.00 -8.00 1094 777.00 2.37-242.05 26614.06 EMC♦ 26.40 0.22 30.92 24.92 1.61 20.93 52188.19 SempraEgy♦ 108.51 -1.30 116.30 95.15 2.33 24.48 26838.75
ChngKong♦ 157.30 -2.10 162.00 123.20 1.93 9.67 47007.94
AgricBkCh 3.99 0.10 4.10 3.19 5.36 6.07 15824.65 Qatar (QR) RylDShlA 1982.5 -111.50 2475.5 1916.79 6.23 13.12 113042.66 Emerson 56.82 0.35 69.94 54.95 2.96 18.83 38933.17 Shrwin-Will 290.07 2.47 291.27 188.25 0.73 34.34 27576.56
Citic Ltd 14.42 0.64 16.88 12.60 2.12 9.62 46333.63
Bk China 4.84 0.22 4.85 3.36 4.84 6.98 52220.44 Inds Qatar 144.00 2.10 200.00 127.00 7.29 14.41 23930.45 SABMill 3638 -12.50 3857 2999 1.77 26.24 87574.38 EOG Res 94.51 0.24 118.89 81.07 0.52 18.58 51836.29 SimonProp 197.67 -0.62 206.31 162.43 2.49 46.53 62143.82
Citic Secs 34.15 4.25 34.20 15.08 0.53 27.74 5191.95
BkofComm 7.05 0.29 7.36 4.75 4.41 6.63 31847.49 QatarNtBk 190.00 -1.00 237.00 160.00 3.51 13.33 36518.82 Shire♦ 5485 100.00 5745 2827 0.24 15.40 48284.61 EquityResTP♦ 77.84 0.14 82.53 57.19 2.46 47.29 28318.06 SouthCpr 29.53 0.10 33.90 23.60 1.49 19.17 23745.1
CNOOC 11.80 0.62 15.88 9.72 4.20 8.70 67975.31
Ch Evrbrght 4.87 0.48 4.96 2.96 4.22 6.57 4315.97 SSE 1535 -9.00 1858 1422.93 5.84 74.29 22615.93 Exelon 33.44 -0.36 38.93 30.66 3.55 18.60 28752.83 SouthwestAir 42.32 0.98 47.17 22.35 0.50 27.10 28353.33
Galaxy Enter 38.65 2.70 73.25 32.80 - 16.69 21203.61 Russia (RUB)
Ch Yangtze RMB 11.29 0.10 11.59 5.64 2.31 18.29 17737.9 StandCh♦ 1090 -4.50 1355.5 867.50 5.07 16.09 40209.25 ExpScripts 84.59 0.48 88.83 64.64 - 33.49 61648.59 SpectraEn 36.65 -0.14 43.12 32.43 3.59 23.79 24603.89
HangSeng 141.30 0.70 148.40 123.20 3.72 18.67 34855.19 Gzprm neft 145.80 -0.40 166.94 113.73 6.20 3.19 63948.79
ChCommsCons 14.54 1.88 14.68 5.04 1.35 14.27 8306.08 Tesco 246.85 -4.15 320.75 155.40 6.19 23.39 29917.95 ExxonMb 84.57 -1.18 104.76 82.68 3.06 11.64 354744.96 Starbucks 94.70 0.63 99.20 67.93 1.11 30.01 71006.06
HK & Ch Gas 18.26 0.30 18.90 15.47 1.62 31.40 24766.38 Lukoil 2737.9 -52.10 3297.7 1815.6 - 7.40 43145.51
ChConstBk 6.89 0.33 6.90 5.25 5.20 6.33 213726.19 Vodafone 222.55 -2.85 245.90 179.10 6.26 61.31 88023.89 Facebook 82.57 0.25 86.07 54.66 - 78.59 184654.08 StateSt♦ 75.49 0.29 80.92 62.67 1.47 17.27 31075.27
HK Exc&Clr 220.00 24.00 220.00 130.20 1.54 51.90 33163.01 Rosneft 262.55 -1.55 294.20 183.95 6.15 5.64 51553.03
China Vanke 18.82 0.60 20.35 12.84 - 11.01 3193.04 WPP 1560 5.00 1593 1091 2.19 20.75 30679.35 Fedex 169.62 -1.54 183.51 130.64 0.34 20.11 48130.8 Stryker♦ 91.93 0.45 98.24 75.78 1.31 71.41 34839.35
Hutchison♦ 107.10 -1.60 109.60 85.90 1.87 31.99 58913.61 Saudi Arabia (SR)
ChinaCitic 6.38 0.41 6.39 4.44 4.78 6.13 12250.7 United States of America ($) FordMtr 16.03 0.13 18.12 13.26 2.99 21.26 62561.75 Sychrony Fin 30.05 0.29 33.96 22.60 - 11.28 25054.63
MTR 38.30 0.75 38.55 28.30 2.10 17.23 28825.07 SaudiBasic 82.50 -2.47 136.50 70.25 6.12 10.67 65978.01
ChinaLife 37.35 2.40 37.40 19.72 0.93 31.95 35859.62 3M 166.26 0.05 170.50 130.60 1.97 23.21 105627.78 Franklin♦ 51.68 0.18 59.43 49.12 0.94 14.43 32136.01 Target 83.22 0.61 83.68 55.25 2.27 21.87 53405.5
SandsCh 34.60 2.10 65.20 29.50 4.78 14.78 36018.74 SaudiTelec 61.75 -0.25 76.50 55.00 3.86 11.82 32922.36
ChinaMBank 19.72 0.44 19.96 13.12 3.76 7.43 11680.95 AbbottLb 46.59 0.40 47.88 36.65 1.81 43.47 70295.73 FreeportMc 18.97 -0.01 39.32 16.43 6.31 -15.74 19722.15 TE Connect 71.11 0.17 73.73 51.03 1.51 16.21 28886.37
SHK Props 123.00 2.00 129.40 93.65 2.60 11.77 45578.07 Singapore (S$)
ChinaMob 109.60 6.80 109.80 68.60 2.62 17.60 289538.65 Abbvie 58.68 0.26 70.76 45.50 2.71 55.65 93427.11 GenDyn♦ 135.01 0.70 145.92 104.22 1.72 18.02 44783.44 TeslaMotors 207.70 4.45 291.42 177.22 - -91.93 26041.8
Tencent 154.50 4.70 155.00 93.00 0.15 50.11 186848.84
ChinaPcIns 40.50 3.15 41.95 23.55 1.18 27.77 14502.33 DBS 20.47 0.15 20.67 16.48 2.78 12.84 37405.75 Accenture♦ 95.22 -0.15 96.78 73.98 1.98 22.21 75740.6 GenElectric♦ 25.00 -0.02 27.53 23.41 3.41 17.30 251622.74 TexasInstr 56.97 0.03 59.99 41.47 2.08 22.79 59655.7
ChinaRailCons 14.42 1.56 14.98 6.31 1.08 13.11 3863.03 India (Rs) JardnMt US$♦ 61.99 -0.83 67.88 57.00 2.18 21.43 42823.9 GenGrwthPrp 29.56 -0.23 31.70 21.93 2.04 79.20 26169.14 TheTrvelers 107.24 -0.10 110.49 84.45 1.92 10.40 34205.06
Ace♦ 111.60 0.25 117.89 97.55 2.75 13.86 36531.37
ChinaRailGp 9.66 0.92 9.70 3.43 0.82 16.76 5244.01 HDFC Bk 1035.55 2.80 1109.3 707.30 0.62 29.08 40159.86 JardnStr US$♦ 35.10 -0.62 38.10 32.33 0.63 14.24 39315.6 GenMills♦ 55.78 0.14 57.73 48.32 2.84 25.02 33249.9 ThrmoFshr♦ 133.15 0.13 139.03 107.33 0.43 29.54 52831.62
Actavis 296.46 0.90 317.72 184.71 - -41.75 83260.65
ChMinsheng 9.97 0.25 10.70 6.73 2.12 6.73 8919.22 Hind Unilevr 912.55 -0.90 981.00 550.25 1.18 53.65 31701.36 OCBC 10.68 0.03 10.68 9.38 3.16 10.49 31348.64 GenMotors 36.00 0.27 39.00 28.82 3.19 22.63 58140.02 TimeWrnr 85.48 0.17 88.25 62.44 1.42 20.26 70993.02
Adobe 75.85 0.20 80.30 57.15 - 130.39 37945.41
ChMrchSecs RMB 36.78 1.87 37.77 9.88 0.40 53.39 27636.59 HsngDevFin 1299.7 -29.00 1402.3 810.00 1.02 25.45 32819.97 SingTel 4.38 -0.04 4.44 3.61 3.76 19.09 51477.21 GileadSci 100.68 1.99 116.83 63.50 - 14.32 149314.75 TimeWrnrC♦ 155.63 0.48 159.94 128.78 1.84 22.66 43715.11
AEP 55.93 -0.44 65.38 49.06 3.47 17.49 27384.48
ChShenEgy 20.85 0.50 24.40 18.62 5.22 9.42 9142.76 ICICI Bk 315.10 -2.30 393.40 242.40 2.76 16.01 29303.95 UOB 23.47 0.04 24.72 21.02 2.92 11.78 27720.74 GoldmSchs 193.52 1.13 198.06 151.65 1.11 11.85 84301.41 TJX Cos 68.94 0.29 71.03 51.91 0.97 22.04 47118.67
Aetna♦ 107.94 1.15 109.90 66.85 0.80 19.85 37683.54
ChShpbldng RMB 10.25 -0.11 10.89 4.36 0.42 82.65 29673.02 Infosys 2200.55 41.05 2336 1440 1.65 21.09 40395.14 South Africa (R) Google 550.10 5.24 608.91 490.91 - 28.36 157844.79 UnionPac 108.19 0.35 124.52 90.36 1.69 19.67 95075.29
Aflac 64.16 0.37 64.62 54.99 2.24 10.32 28160.03
ChStConEng RMB 7.80 0.20 8.28 2.77 1.71 10.79 37538.04 ITC 346.25 5.65 409.95 312.50 1.41 33.46 44234.01 Halliburton 44.12 -0.40 74.33 37.21 1.37 11.44 37487.52 UPS B 96.28 -0.40 114.40 94.05 2.66 30.66 67621.6
Firstrand 57.12 - 57.46 36.78 2.98 16.16 27056.52 AirProd♦ 151.21 0.03 158.20 114.28 1.95 33.28 32400.38
ChUncHK 13.56 0.66 14.22 9.98 1.39 22.92 41897.33 OilNatGas 313.00 -6.00 471.85 298.80 2.91 10.83 43014.52 HCA Hold 76.97 1.25 78.44 47.79 - 19.32 32289.19 USBancorp♦ 43.45 0.10 46.10 38.10 2.13 14.75 77458.55
MTN Grp 222.35 0.25 263.44 198.00 4.89 13.03 34686.52 Alexion 178.38 2.38 203.30 136.37 - 57.22 36059.25
Daqin RMB 11.31 -0.17 12.32 6.24 3.54 12.81 27105.88 RelianceIn 865.90 33.05 1145.25 796.45 1.04 11.70 44996.75 Hew-Pack 31.59 0.17 41.10 31.00 1.97 12.15 57416.68 Utd Cntl Hldg 60.75 1.18 74.52 36.65 - 21.87 23341.75
Naspers N 1880 10.00 1909.99 983.25 0.19 68.61 66549.22 Allergan 240.22 2.88 241.78 115.94 0.08 50.71 73893.08
GF Secs RMB 30.51 0.93 31.09 9.50 0.63 37.51 29113.62 SBI NewA 273.90 1.85 336.00 193.01 1.02 13.68 32846.6 HiltonWwde 30.29 1.10 30.33 20.72 - 46.38 29909.73 UtdHlthcre 118.51 1.16 123.76 73.61 1.13 21.73 112777.03
Sasol♦ 417.62 -0.36 652.99 360.00 4.95 9.02 22953.85 Allstate 71.59 0.12 72.87 54.81 1.50 11.94 29271.64
HaitongSecs 23.75 3.79 23.80 10.52 0.61 24.83 4573.8 SunPhrmInds 1150.45 -1.60 1200.8 572.00 0.12 42.66 38274.36 HlthcareREIT 78.33 0.21 84.88 61.10 3.88 57.24 27423.65 UtdTech 117.90 0.41 124.45 97.30 1.92 18.07 107106.27
South Korea (KRW) Altria♦ 51.51 -0.19 56.70 37.55 3.72 21.05 101439.51
In&CmBkCh 6.05 0.20 6.05 4.56 5.17 6.49 67751.43 Tata Cons 2641.4 56.40 2839.7 1999.5 1.21 25.48 83106.32 HomeDep 115.55 1.25 117.99 74.61 1.62 24.67 150025.33 ValeroEngy 59.05 0.46 64.49 42.53 1.70 8.85 30353.39
HyundMobis♦ 240500 4000 317500 226000 1.18 11.31 21061.19 Amazon 380.89 6.48 389.37 284.00 - -763.06 176879.2
IndstrlBk RMB 20.47 0.68 20.50 9.43 2.09 9.06 53391.28 Tata Motors 561.50 1.15 612.40 404.20 0.34 12.72 22969.24 Honywell 104.11 -0.02 106.15 82.89 1.72 20.13 81271.28 Verizon♦ 49.09 0.37 53.66 45.09 4.21 21.22 203988.99
KoreaElePwr 43700-1650.00 50200 36650 0.20 10.11 24956.77 AmerAir 49.05 1.56 56.20 28.10 0.39 13.06 34170.68
Kweichow RMB 204.50 3.83 210.68 139.22 1.99 17.02 37648.09 Indonesia (Rp) AmerExpr♦ 78.44 0.11 96.24 77.12 1.51 14.64 79667.64 IBM 162.19 0.12 199.21 149.52 2.51 10.87 160312.52 VertexPharm 123.59 3.12 136.33 59.79 - -41.13 29919.77
SK Hynix♦ 42600-1350.00 52400 36650 0.67 8.54 28365.11
PetroChina 9.32 0.57 11.70 7.93 4.07 11.33 25371.64 Astra Int 7975 -175.00 8575 6325 2.25 16.14 24921.27 AmerIntGrp 55.39 0.41 56.79 48.56 0.86 11.05 74996.38 IllinoisTool 97.39 -0.55 100.14 79.06 1.78 21.79 36358.49 VF Cp 75.31 -0.33 77.83 57.57 1.41 33.07 32041.37
SmsungEl 1479000 17000 1510000 1078000 0.92 9.65 176518.26
PingAnIns 97.25 4.10 97.95 55.60 0.87 17.38 46724.83 Bk Cent Asia 15025 -275.00 15600 10425 0.50 22.45 28594.39 Ameriprise 128.67 0.51 138.26 100.94 1.68 16.18 23458.03 Illumina 186.00 3.24 213.33 127.69 - 81.95 26746.8 Viacom 68.54 1.26 89.76 63.11 1.80 13.16 24342.29
PngAnBnk RMB 17.92 1.11 18.08 8.89 0.85 10.83 28416.59 Spain (€) Intcntl Exch 231.01 1.20 240.05 182.40 1.08 28.54 25816.21 Visa Inc 66.73 0.93 69.66 48.71 0.60 31.18 32761.91
Israel (ILS) AmerTower♦ 96.56 0.11 105.20 80.17 1.39 50.40 40800.15
SaicMtr RMB 26.20 0.11 26.65 14.00 4.38 10.79 46567.92 BBVA 9.59 -0.13 9.99 7.21 0.90 -60.75 64448.57 Intel 31.32 0.06 37.90 25.74 2.75 14.14 148527.48 Walgreen 76.05 -0.74 77.98 55.27 1.71 36.06 72276.92
TevaPha 250.40 0.40 255.50 168.60 2.02 18.71 54502.39 Amgen 160.20 2.92 173.14 108.20 1.46 24.99 121417.74
ShgPdgBk RMB 17.02 0.31 17.04 8.90 3.71 7.06 40944.37 BcoSantdr 7.06 -0.07 7.96 5.77 8.75 14.30 107048.3 Intuit 97.89 0.54 100.88 72.44 0.89 35.56 27087.33 WalMartSto 81.00 0.50 90.97 72.61 2.35 16.34 261294.94
Italy (€) Anadarko 86.31 0.87 113.51 71.00 1.10 -26.08 44490.86
Sinopec 6.41 0.18 8.23 5.90 3.96 10.52 21100.89 CaixaBnk 4.39 -0.02 5.00 3.71 - 37.73 27098.95 John&John 100.28 0.18 109.49 95.10 2.63 18.39 278834.51 Wellpoint 128.71 0.94 129.96 81.84 1.36 14.31 34744.16
Enel 4.33 -0.07 4.49 3.36 3.23 13.40 43939.07 Aon Cp 98.26 0.94 107.08 78.26 0.90 22.02 27537.42
GasNatur 21.96 0.23 24.45 18.59 4.38 14.01 23708.95 JohnsonCn 50.30 0.09 52.00 38.60 1.75 23.70 32877.68 WellsFargo 54.06 0.04 56.29 46.44 2.39 13.78 278506.54
Denmark (kr) ENI 16.75 0.05 20.46 12.98 7.11 43.36 65690.33 AppldMat 22.27 0.29 25.71 18.27 1.78 23.72 27363.08
Iberdrola 6.06 -0.07 6.27 4.75 4.97 15.30 41798.89 JPMrgnCh 61.22 0.37 63.49 52.97 2.47 12.09 228228.65 WestrnDigl♦ 93.87 -0.25 114.69 80.78 1.53 15.16 21685.77
DanskeBk 187.70 -0.40 190.00 139.20 1.15 45.38 27342.48 Generali 18.44 -0.25 19.21 14.40 2.62 15.21 30980.88 Apple 125.69 -0.32 133.60 73.05 1.41 17.77 732112.58
Inditex 30.35 -0.19 30.77 19.29 1.31 36.38 102076.68 Kimb-Clark 107.21 0.25 119.01 99.20 3.00 28.65 39153.14 Williams Cos 50.28 -0.25 59.77 39.65 3.73 18.06 37604.23
MollerMrsk 14880 80.00 16450 11020 2.30 22.46 46365.16 IntSPaolo 3.19 -0.03 3.24 2.00 1.68 35.55 54618.14 ArcherDan 48.51 0.35 53.91 41.63 1.89 14.79 30506.54
Repsol 17.93 -0.13 21.07 14.26 2.29 22.58 26599.04 KinderM 42.23 0.24 43.18 32.10 3.85 49.58 89941.45 Yahoo 45.01 1.40 52.62 32.15 - 6.28 42134.8
NovoB 381.40 1.40 387.00 226.20 1.27 35.19 145973.02 Luxottica 59.10 -0.10 60.30 34.74 1.18 45.14 30728.95 AT&T♦ 32.65 -0.04 37.48 32.07 5.42 28.62 169458.98
Telefonica 13.11 -0.10 14.00 10.76 3.27 18.80 65888.17 Kraft♦ 87.59 -1.75 91.32 53.33 2.35 52.48 51514.03 Yum!Brnds♦ 78.16 0.28 83.58 65.81 1.86 35.21 33874.11
Finland (€) Unicred 6.38 -0.10 6.89 4.82 - -2.78 39885.62 AutomData 86.33 0.48 90.23 70.50 2.14 27.94 41019.88
Sweden (SKr) Avago Tech 127.07 1.42 136.28 57.27 0.96 68.00 32603.26 Kroger 76.53 0.17 77.74 43.69 0.85 23.00 37584.39
Nokia 7.14 -0.02 7.39 5.13 1.65 22.17 28320.58 Japan (¥) AtlasCpcoB 258.50 -3.40 263.20 165.20 2.25 24.41 36357.58 BakerHu 63.91 -0.42 75.64 47.51 0.96 17.06 27773.01 L Brands 94.10 0.31 95.78 53.03 1.44 27.09 27514.27 Closing prices and highs & lows are in traded currency (with variations for that
SampoA 48.62 0.34 48.73 34.77 3.64 16.48 29319.12 AstellasPh 1976 15.00 2047 1062 3.26 46.94 37221.05 Ericsson 110.70 -0.80 113.70 77.55 2.87 29.56 41437.58 BankAm 15.74 0.28 18.21 14.37 0.73 45.94 165538.43 LasVegasSd 56.61 0.60 81.25 49.82 3.38 16.83 45203.67 country indicated by stock), market capitalisation is in USD. Highs & lows are
France (€) Bridgestne 5031 -29.00 5104 3328 1.90 13.69 34097.84 H&M 354.40 1.80 368.50 261.00 2.69 27.94 67732.6 LibertyGbl 51.95 -0.10 55.86 38.16 - -42.09 13039.45 based on intraday trading over a rolling 52 week period.
Baxter 69.46 0.12 77.31 65.95 2.82 20.39 37753.68
Airbus Grpe 60.04 -0.36 64.00 39.64 1.35 26.28 50860.87 Canon 4470 10.00 4500 3093 3.21 20.38 49695.11 Investor 349.60 -0.40 352.70 219.30 2.42 4.97 30970.84 Lilly (E) 72.08 0.38 77.46 57.35 2.60 33.85 80081.24 ♦ ex-dividend
BB & T 39.04 -0.08 40.21 34.50 2.33 14.84 28142.1
AirLiquide 120.40 -0.90 123.55 87.17 2.07 23.21 44829.28 CntJpRwy 22580 -90.00 24800 11270 0.51 16.85 38772.03 Nordea Bk 108.00 -0.40 115.50 82.40 3.99 12.82 50221.13 LinkedIn 254.47 4.66 276.18 136.02 - -2073.82 27836.55 ■ ex-capital redistribution
BectonDick 141.26 0.55 149.98 111.07 1.51 25.34 27254.54
AXA 24.10 -0.08 24.44 16.43 3.61 10.87 63504.05 Denso 5529 62.00 5995 4223 1.45 17.90 40743.65 SEB 101.60 -1.00 111.50 82.30 4.17 10.99 25678.07 Lockheed 201.10 0.95 207.06 153.54 2.61 18.75 63602.64
BerkshHat 215999 499.00 229374 181785 - 18.67 184992.99 # price at time of suspension
BNP Parib 57.67 0.49 58.60 43.14 2.79-804.29 77541.25 EastJpRwy 10355 55.00 10680 7209 0.89 21.14 33964.26 SvnskaHn 393.90 -1.70 426.00 305.10 3.09 15.87 28914.03 Lowes 74.66 0.55 76.25 44.13 1.16 27.58 71054.27
Biogen 426.01 7.92 480.18 272.02 - 35.98 99948.11
Fanuc 27115 -110.00 28035 16800 0.84 30.23 54132.43 Swedbank 206.10 -3.20 223.90 165.70 5.19 12.94 26229

FT 500: TOP 20 FT 500: BOTTOM 20 BONDS: HIGH YIELD & EMERGING MARKET BONDS: GLOBAL INVESTMENT GRADE
Close Prev Day Week Month Close Prev Day Week Month Day's Mth's Spread Day's Mth's Spread
price price change change % change change % change % price price change change % change change % change % Red Ratings Bid Bid chge chge vs Red Ratings Bid Bid chge chge vs
TevaPha 250.40 250.00 0.40 0.16 247.92 10013.1 1.21 Naspers N 1880.00 1870.00 10.00 0.53 -186120.00 -99.0 12.24 Apr 08 date Coupon S* M* F* price yield yield yield US Apr 08 date Coupon S* M* F* price yield yield yield US
ChCommsCons 14.54 12.66 1.88 14.85 4.74 48.4 61.92 Firstrand 57.12 57.12 0.00 0.00 -5540.88 -99.0 3.91 High Yield US$ US$
ChinaRailCons 14.42 12.86 1.56 12.13 4.49 45.2 57.08 Sasol 417.62 417.98 -0.36 -0.09 -40414.38 -99.0 2.80 Windstream Services, LLC 11/17 7.88 B B1 BB 108.87 4.22 0.02 -0.47 3.70 Bear Stearns Cos, LLC 03/26 6.00 A WR A+ 100.00 6.12 0.00 0.00 4.21
ChinaRailGp 9.66 8.74 0.92 10.53 2.93 43.5 58.10 MTN Grp 222.35 222.10 0.25 0.11 -21477.65 -99.0 -0.09 High Yield Euro Citigroup Inc. 11/26 4.30 BBB+ Baa3 A- 103.63 3.95 -0.02 -0.22 2.03
BG 1153.00 910.40 242.60 26.65 301.60 35.4 29.52 Astra Int 7975.00 8150.00 -175.00 -2.15 -600.00 -7.0 -1.24 Kazkommerts Intl BV 02/17 6.88 B Caa1 B 99.50 - 0.00 0.00 - JPMorgan Chase & Co. 12/26 4.13 A- Baa1 A 102.27 3.92 -0.02 -0.08 2.00
HaitongSecs 23.75 19.96 3.79 18.99 6.11 34.6 37.76 ValeroEngy 59.05 58.59 0.46 0.79 -4.40 -6.9 0.37 Halliburton Company 02/27 6.75 A A2 A- 126.05 4.00 -0.02 -0.50 -
Citic Secs 34.15 29.90 4.25 14.21 7.75 29.4 29.60 SK Hynix 42600.00 43950.00 -1350.00 -3.07 -2950.00 -6.5 -7.79 Emerging US$ SouthTrust Bank 12/27 6.57 A+ A1 A+ 124.71 4.09 -0.02 -0.22 -
HK Exc&Clr 220.00 196.00 24.00 12.24 41.70 23.4 24.93 Utd Cntl Hldg 60.75 59.57 1.18 1.98 -3.26 -5.1 -9.16 Peru 05/16 8.38 BBB+ A3 BBB+ 121.00 1.23 0.00 0.00 0.70 Duke Energy Florida, Inc. 02/28 6.75 A- A3 A- 124.49 4.29 0.00 0.11 -
ChUncHK 13.56 12.90 0.66 5.12 2.02 17.5 11.51 KoreaElePwr 43700.00 45350.00 -1650.00 -3.64 -2300.00 -5.0 -2.24 Mexico 09/16 11.40 BBB+ A3 BBB+ 115.01 0.80 -0.03 -0.22 0.28
Brazil 01/18 8.00 BBB- Baa2 BBB 108.91 4.56 -0.14 -0.43 4.03 Euro
Ch Evrbrght 4.87 4.39 0.48 10.93 0.68 16.2 23.60 Zurich Fin 314.10 314.10 0.00 0.00 -13.40 -4.1 1.16 Goldman Sachs Group, Inc. (The) 06/26 2.88 A- Baa1 A 114.31 1.47 -0.01 0.05 -0.44
ChinaLife 37.35 34.95 2.40 6.87 5.05 15.6 20.48 BSkyB 850.50 862.50 -12.00 -1.39 -34.50 -3.9 -3.35 Russia 07/18 11.00 BB+ Ba1 BBB- 120.78 4.21 0.02 -0.84 3.68
Peru 03/19 7.13 BBB+ A3 BBB+ 119.42 2.02 0.02 -0.35 0.68 Citigroup Inc. 09/26 2.13 A- Baa2 A 106.98 1.46 -0.01 0.03 -0.46
ChMrchSecs 36.78 34.91 1.87 5.36 4.95 15.6 37.70 CME Grp 90.92 90.58 0.35 0.38 -3.58 -3.8 -4.83 Credit Agricole S.A. 03/27 2.63 BBB Baa3 A- 102.42 2.39 -0.01 1.13 -
Ch OSLnd&Inv 27.65 26.15 1.50 5.74 3.55 14.7 21.27 Kraft 87.59 89.34 -1.75 -1.96 -3.11 -3.4 41.26 Brazil 01/21 7.88 BBB- Baa2 BBB 105.85 3.77 0.01 -0.35 2.43
Turkey 03/21 5.63 - Baa3 BBB- 109.65 3.84 0.01 -0.41 2.50 Philip Morris Intl, Inc. 05/29 2.88 A A2 A 118.85 1.39 0.00 -0.05 -
PngAnBnk 17.92 16.81 1.11 6.60 2.17 13.8 33.33 Daimler 87.09 87.09 0.00 0.00 -3.06 -3.4 -4.68
Poland 04/21 5.13 A- A2 A- 118.00 2.63 0.00 0.00 1.28 Yen
ChinaPcIns 40.50 37.35 3.15 8.43 4.90 13.8 8.43 Phillips66 77.47 77.77 -0.30 -0.39 -2.47 -3.1 2.75
Colombia 07/21 4.38 BBB Baa2 BBB 106.38 3.27 0.01 -0.29 1.92 Wal-Mart Stores, Inc. 07/15 0.94 AA Aa2 AA 100.20 0.26 0.00 -0.01 -
SunPhrmInds 1150.45 1152.05 -1.60 -0.14 126.55 12.4 10.75 Qualcomm 67.32 67.32 0.01 0.01 -2.11 -3.0 -5.88
ChinaCitic 6.38 5.97 0.41 6.87 0.70 12.3 12.13 Marathon Ptl 98.82 98.24 0.58 0.59 -2.94 -2.9 0.20 Turkey 03/24 2.75 - Baa3 BBB- 111.71 4.21 -0.01 -0.39 2.30 £ Sterling
CNOOC 11.80 11.18 0.62 5.55 1.24 11.7 7.86 SaudiTelec 61.75 62.00 -0.25 -0.40 -1.75 -2.8 -1.59 Emerging Euro IPIC GMTN Limited 03/26 6.88 AA Aa2 AA 134.31 3.12 0.00 -0.19 1.20
PetroChina 9.32 8.75 0.57 6.51 0.97 11.6 10.82 AmerAir 49.05 47.50 1.56 3.27 -1.39 -2.8 2.09 Brazil 02/15 7.38 BBB- Baa2 BBB 111.75 0.73 0.00 0.00 0.09 Barclays Bank plc 09/26 5.75 BBB- Baa3 A- 118.03 3.78 0.02 -0.04 1.86
IndstrlBk 20.47 19.79 0.68 3.44 2.11 11.5 51.29 SouthwestAir 42.32 41.34 0.98 2.37 -1.13 -2.6 -2.45 Mexico 07/17 4.25 BBB+ A3 BBB+ 111.13 1.50 0.00 0.00 0.97 Data provided by SIX Financial Information. US $ denominated bonds NY close; all other London close. *S - Standard & Poor’s, M -
Mexico 02/20 5.50 BBB+ - BBB+ 112.76 2.66 -0.01 0.00 1.32 Moody’s, F - Fitch.
Based on the FT Global 500 companies in local currency Based on the FT Global 500 companies in local currency
Bulgaria 09/25 5.75 BB+ - BBB- 125.38 2.94 -0.01 0.04 1.02
Data provided by SIX Financial Information & Tullett Prebon Information. US $ denominated bonds NY close; all other
London close. *S - Standard & Poor’s, M - Moody’s, F - Fitch.

INTEREST RATES: OFFICIAL BOND INDICES VOLATILITY INDICES GILTS: UK CASH MARKET
Apr 08 Rate Current Since Last Mnth Ago Year Ago Day's Month's Year Return Return Apr 08 Day Chng Prev 52 wk high 52 wk low Red Change in Yield 52 Week Amnt
US Fed Funds 0.00-0.12 16-12-2008 0.12 0.00-0.25 0.00-0.25 Index change change change 1 month 1 year VIX 14.23 -0.55 14.78 31.06 10.28 Apr 08 Price £ Yield Day Week Month Year High Low £m
US Prime 3.25 16-12-2008 3.25 3.25 3.25 Markit IBoxx VXD 14.54 -0.25 14.79 23.19 7.04 Tr 2pc '16 101.26 0.40 2.56 11.11 0.00 -39.39 102.46 101.26 0.32
US Discount 0.75 18-02-2010 0.75 0.75 0.75 ABF Pan-Asia unhedged 180.90 -0.11 1.25 1.47 1.12 4.03 VXN 15.77 -0.62 16.39 31.17 9.66 Tr 1.75pc '17 102.33 0.44 2.33 12.82 -30.16 -58.10 102.68 101.07 0.29
Euro Repo 0.05 10-09-2014 0.15 0.05 0.25 Corporates( £) 303.19 -0.06 -0.12 3.30 2.18 12.43 VDAX 15.81 -0.83 16.64 - - Tr 5pc '18 112.55 0.64 1.59 8.47 -31.91 -55.56 113.80 111.68 0.35
UK Repo 0.50 05-03-2009 0.50 0.50 0.50 Corporates($) 256.69 0.00 0.26 2.48 0.26 2.48 † CBOE. VIX: S&P 500 index Options Volatility, VXD: DJIA Index Options Volatility, VXN: NASDAQ Index Options Volatility. Tr 4.5pc '19 113.87 0.88 0.00 4.76 -27.27 -50.00 115.07 111.17 0.36
Japan O'night Call 0.00-0.31 05-10-2010 0.03 0.00-0.10 0.00-0.10 Corporates(€) 215.87 0.07 0.11 1.49 0.11 7.08 ‡ Deutsche Borse. VDAX: DAX Index Options Volatility. Tr 4.75pc '20 117.51 1.08 0.00 3.85 -23.40 -46.00 119.04 113.53 0.33
Switzeland Libor Target 0.00-0.25 03-08-2011 0.00-0.75 0.00-0.25 0.00-0.25 Eurozone Sov(€) 231.24 0.13 0.03 4.31 1.37 13.27 Tr 8pc '21 140.14 1.22 0.00 3.39 -22.29 -45.29 142.92 135.65 0.24
Gilts( £) 291.64 -0.11 -0.20 2.10 4.05 13.77 BONDS: BENCHMARK GOVERNMENT Tr 4pc '22 117.76 1.30 -0.76 3.17 -22.16 -45.83 119.85 110.38 0.38
INTEREST RATES: MARKET Global Inflation-Lkd 250.00 0.42 1.00 -0.34 3.41 0.79 Red Bid Bid Day chg Wk chg Month Year Tr 5pc '25 131.27 1.58 -0.63 2.60 -19.39 -43.57 134.70 119.37 0.35
Over Change One Three Six One Markit iBoxx £ Non-Gilts 302.49 -0.07 -0.13 3.07 2.41 12.17 Date Coupon Price Yield yield yield chg yld chg yld Tr 4.25pc '27 127.81 1.79 -0.56 2.29 -17.13 -41.31 131.90 112.61 0.31
Apr 08 (Libor: Apr 07) night Day Week Month month month month year Overall ($) 228.72 0.02 0.19 2.03 0.19 2.03 Australia 10/18 3.25 105.04 1.77 -0.01 0.06 -0.14 -1.60 Tr 4.25pc '32 131.54 2.06 -0.96 1.98 -15.23 -37.20 136.85 112.95 0.35
US$ Libor 0.12200 0.001 0.002 0.000 0.18015 0.27375 0.39840 0.68560 Overall( £) 292.15 -0.10 -0.18 2.40 3.54 13.26 04/25 3.25 108.10 2.34 -0.03 0.05 -0.26 -1.82 Tr 4.25pc '36 134.35 2.19 -0.90 1.86 -14.79 -35.40 140.37 113.08 0.26
Euro Libor -0.15714 0.004 0.006 -0.006 -0.02857 0.00857 0.06929 0.19500 Overall(€) 225.72 0.11 0.03 3.31 1.04 10.90 Austria 10/18 1.15 104.29 0.06 0.02 0.02 0.00 -0.68 Tr 4.5pc '42 145.53 2.27 -1.30 1.79 -14.34 -34.01 153.16 118.96 0.26
£ Libor 0.48063 0.003 0.001 0.000 0.50756 0.57025 0.68350 0.96963 Treasuries ($) 219.13 0.01 0.14 1.89 0.14 1.89 10/24 1.65 112.55 0.31 -0.02 -0.01 0.01 0.00 Tr 3.75pc '52 136.45 2.29 -0.87 1.78 -14.23 -33.62 145.21 106.18 0.22
Swiss Fr Libor -0.003 -0.85400 -0.81500 -0.72760 -0.61160 FTSE Belgium 06/18 0.75 102.03 0.10 -0.01 0.00 -0.01 -0.93 Tr 4pc '60 148.92 2.26 -0.88 1.80 -14.72 -33.72 159.23 113.50 0.21
Yen Libor -0.004 0.06929 0.10071 0.13500 0.25471 Sterling Corporate (£) 116.46 0.07 - - 2.12 7.57 06/25 0.80 103.62 0.44 -0.01 0.01 0.01 0.00 xd Ex dividend. Closing mid-prices are shown in pounds per £ 100 nominal of stock. Red yield: Gross redemption yield.
Euro Euribor -0.002 -0.02100 0.01600 0.08500 0.19500 Euro Corporate (€) 111.04 0.10 - - 0.03 5.33 Canada 05/17 0.25 99.42 0.54 0.01 0.04 -0.04 0.00 This table shows the gilts benchmarks & the non-rump undated stocks.
Sterling CDs 0.000 0.50000 0.55000 0.72500 Euro Emerging Mkts (€) 1104.92 6.43 - - 2.40 14.63 06/25 2.25 108.38 1.36 0.02 0.05 -0.14 0.00
US$ CDs
Euro CDs
0.000
0.000
0.17000
-0.15000
0.23000
-0.02500
0.32000
0.03500
Eurozone Govt Bond 119.10 0.00 - - 0.98 10.80 Denmark 11/16 2.50 104.79 -0.47 0.00 0.00 0.00 0.00 GILTS: UK FTSE ACTUARIES INDICES
CREDIT INDICES Day's Week's Month's Series Series 11/25 1.75 115.77 0.24 -0.03 -0.01 0.00 0.00
Price Indices Day's Total Return Return
Short 7 Days One Three Six One Index change change change high low Finland 09/18 1.13 104.35 0.14 0.02 0.03 0.00 -0.54
Fixed Coupon Apr 08 chg % Return 1 month 1 year Yield
Apr 08 term notice month month month year Markit iTraxx 07/25 4.00 137.25 0.30 -0.02 -0.02 -0.04 -1.69
1 Up to 5 Years 99.57 -0.02 2354.76 0.77 2.84 0.81
Euro -0.20 -0.05 -0.20 -0.05 -0.15 0.00 -0.10 0.05 -0.04 0.11 0.09 0.24 Crossover 5Y 252.78 -1.58 -8.25 - 274.02 250.82 France 11/16 0.25 100.70 -0.18 0.00 0.00 0.00 0.00
2 5 - 10 Years 182.65 0.06 3236.61 2.42 8.92 1.41
Sterling 0.40 0.55 0.40 0.55 0.45 0.55 0.50 0.60 0.65 0.80 0.95 1.10 Europe 5Y 55.81 0.38 -0.87 - 57.92 54.63 11/19 0.50 102.46 -0.03 0.00 0.00 0.00 0.00
3 10 - 15 Years 213.77 0.14 3837.49 3.83 15.60 1.78
Swiss Franc - - - - - - - - - - - - Japan 5Y 55.93 -0.88 -1.71 - 59.45 55.88 05/25 0.50 100.53 0.45 -0.02 -0.01 -0.02 0.00
4 5 - 15 Years 189.54 0.08 3378.31 2.68 10.68 1.51
Canadian Dollar - - - - - - - - - - - - Senior Financials 5Y 65.88 -0.57 -1.39 - 69.43 64.57 05/45 3.25 154.04 1.13 -0.01 0.05 0.04 -1.99
5 Over 15 Years 311.79 0.40 4416.56 7.01 26.27 2.23
US Dollar 0.12 0.22 0.12 0.22 0.13 0.23 0.20 0.30 0.29 0.39 0.55 0.65 Germany 06/16 0.25 100.61 -0.27 0.00 0.00 0.00 0.00
Markit CDX 7 All stocks 177.29 0.18 3252.71 3.77 13.46 1.98
Japanese Yen -0.10 0.00 -0.12 -0.02 -0.15 0.05 -0.05 0.15 -0.05 0.15 0.05 0.25 10/19 0.25 101.89 -0.17 0.00 0.00 0.00 0.00
Emerging Markets 5Y 302.02 3.32 -19.47 0.00 321.49 298.70 02/25 0.50 103.30 0.16 -0.03 -0.01 -0.05 0.00
Libor rates come from ICE (see www.theice.com) and are fixed at 11am UK time. Other data sources: US $, Euro & CDs: Day's Month Year's Total Return Return
Nth Amer High Yld 5Y 329.94 -3.73 -12.78 0.00 350.24 329.94 08/46 2.50 152.12 0.66 -0.02 0.05 -0.04 -1.82
Tullett Prebon; SDR, US Discount: IMF; EONIA: ECB; Swiss Libor: SNB; EURONIA, RONIA & SONIA: WMBA. Index Linked Apr 08 chg % chg % chg % Return 1 month 1 year
Nth Amer Inv Grade 5Y 60.22 -1.03 -3.47 0.00 64.60 60.22 Greece 07/17 3.38 70.71 20.82 0.06 -2.12 2.86 0.00
Nth AmerHiVol 5Y 0.00 0.00 0.00 0.00 100.00 100.00 1 Up to 5 Years 312.85 0.00 0.41 -2.41 2365.76 0.41 -0.70
02/25 3.00 54.24 11.37 -0.12 -0.29 0.85 5.23 2 Over 5 years 589.30 0.35 10.08 21.46 4327.65 10.20 22.50
Websites: markit.com, ftse.com. All indices shown are unhedged. Currencies are shown in brackets after the index names. Ireland 10/17 5.50 114.04 -0.06 0.00 0.00 0.00 0.00 3 5-15 years 439.33 0.12 3.10 6.21 3313.43 3.31 7.52
03/25 5.40 144.71 0.72 -0.02 -0.02 0.00 -2.44 4 Over 15 years 728.19 0.44 13.22 29.45 5253.49 13.30 30.33
COMMODITIES www.ft.com/commodities BONDS: INDEX-LINKED Italy 05/17 1.15 102.05 0.17 0.01 -0.01 -0.01 0.00 5 All stocks 543.95 0.31 9.00 18.69 4042.76 9.11 19.82
12/19 1.05 102.56 0.49 0.00 -0.04 0.05 0.00
Energy Price* Change Agricultural & Cattle Futures Price* Change Price Yield Month Value No of
06/25 1.50 102.39 1.25 0.01 -0.02 0.10 0.00 Yield Indices Apr 08 Apr 07 Yr ago Apr 08 Apr 07 Yr ago
Crude Oil† Apr 52.87 -1.08 Corn♦ May 383.75 0.50 Jul 04 Jul 04 Prev return stock Market stocks
09/46 3.25 125.77 2.13 0.04 0.04 0.10 0.00 5 Yrs 1.06 1.06 1.80 20 Yrs 2.21 2.23 3.37
Brent Crude Oil‡ 56.47 -2.05 Wheat♦ May 526.50 -0.50 Can 4.25%' 21 135.56 -0.924 -0.926 0.41 5.18 74184.05 7
Japan 04/17 0.10 100.16 0.02 0.00 -0.01 0.00 0.00 10 Yrs 1.67 1.68 2.76 45 Yrs 2.29 2.31 3.43
RBOB Gasoline† Apr 1.81 -0.05 Soybeans♦ May 972.00 0.25 Fr 2.25%' 20 118.71 -1.155 -1.129 0.58 19.98 225448.86 15
04/20 0.05 99.71 0.11 0.00 -0.03 -0.02 0.00 15 Yrs 2.02 2.04 3.19
Heating Oil† Apr 1.78 0.02 Soybeans Meal♦ May 320.80 1.10 Swe 0.25%' 22 111.60 -1.290 -1.286 -0.37 29.96 233743.46 6
03/25 0.40 100.38 0.36 0.00 -0.02 -0.05 0.00
Natural Gas† Apr 2.63 -0.03 Cocoa (ICE Liffe)X May 1944.00 2.00 UK 2.5%' 16 326.61 -1.703 -1.693 -0.03 7.90 502964.46 24
03/45 1.50 102.55 1.38 -0.01 0.03 -0.12 0.00 inflation 0% inflation 5%
Ethanol♦ - - Cocoa (ICE US)♥ May 2832.00 46.00 UK 2.5%' 24 346.77 -0.991 -0.980 0.02 6.82 502964.46 24
Netherlands 04/17 0.50 101.44 -0.21 0.00 0.00 0.00 0.00 Real yield Apr 08 Dur yrs Previous Yr ago Apr 08 Dur yrs Previous Yr ago
Uranium Apr 39.25 -0.20 Coffee(Robusta)X May 1789.00 -17.00 UK 2%' 35 238.05 -0.922 -0.922 0.35 9.08 502964.46 24
07/25 0.25 99.21 0.33 -0.03 -0.01 0.00 0.00 Up to 5 yrs -1.16 2.27 -1.15 -1.32 -1.80 2.29 -1.80 -1.94
Carbon Emissions - - Coffee (Arabica)♥ May 143.75 1.80 US 0.625%' 21 105.71 -0.277 -0.275 0.89 35.84 1118641.87 36
Diesel Jun 121.25 0.00 White SugarX 363.30 3.70 New Zealand - - - - - - - Over 5 yrs -0.93 22.92 -0.92 -0.04 -0.96 23.03 -0.95 -0.08
US 3.625%' 28 142.68 0.283 -0.275 1.14 16.78 1118641.87 36
Unleaded May - - Sugar 11♥ 12.93 0.15 12/17 6.00 107.43 3.09 0.01 0.01 -0.10 -1.05 5-15 yrs -0.96 8.96 -0.95 -0.22 -1.08 8.99 -1.07 -0.34
Representative stocks from each major market Source: Merill Lynch Global Bond Indices † Local currencies. ‡ Total market
Norway 05/17 4.25 107.19 0.79 -0.04 -0.06 0.01 -0.94 Over 15 yrs -0.93 28.60 -0.91 -0.01 -0.95 28.67 -0.93 -0.03
Base Metals (♠ LME 3 Months) Cotton♥ May 66.83 0.67 value. In line with market convention, for UK Gilts inflation factor is applied to price, for other markets it is applied to par
03/24 3.00 113.91 1.34 -0.02 -0.05 -0.12 -1.58 All stocks -0.94 20.81 -0.92 -0.06 -0.97 20.95 -0.96 -0.11
Aluminium 1772.00 -11.00 Orange Juice♥ May 118.35 -0.65 amount.
Aluminium Alloy 1800.00 15.00 Palm Oil♣ May 608.50 -7.25 Portugal 02/16 6.40 105.50 -0.09 0.00 0.00 0.00 0.00 See the FTSE website for more details: http://www.ftse.com/products/indices/gilts
Copper 6039.00 -16.00 Live Cattle♣ Apr 162.48 -0.30 BONDS: TEN YEAR GOVT SPREADS 10/25 2.88 112.09 1.62 -0.01 -0.08 0.01 0.00
Lead 1913.50 14.50 Spain 10/17 0.50 100.83 0.18 -0.01 -0.04 0.01 0.00 All data provided by Morningstar unless otherwise noted. All elements listed are indicative and believed accurate
Feeder Cattle♣ Apr 217.75 -2.23
Nickel 12800.00 150.00 Lean Hogs♣ May 68.75 5.35 Spread Spread Spread Spread 04/25 1.60 103.80 1.20 0.02 0.00 0.02 0.00 at the time of publication. No offer is made by Morningstar or the FT. The FT does not warrant nor guarantee
Tin 16780.00 40.00 Bid vs vs Bid vs vs Sweden 08/17 3.75 109.60 -0.33 0.00 0.00 0.00 0.00 that the information is reliable or complete. The FT does not accept responsibility and will not be liable for any
Zinc 2157.50 9.00 % Chg % Chg Yield Bund T-Bonds Yield Bund T-Bonds 05/25 2.50 120.94 0.38 -0.03 -0.03 -0.34 0.00 loss arising from the reliance on or use of the listed information. For all queries e-mail
Precious Metals (PM London Fix) Apr 07 Month Year Australia 2.34 2.18 0.42 Italy 1.25 1.09 -0.66 Switzerland 10/16 2.00 104.22 -0.77 0.00 0.00 0.00 0.00 ft.reader.enquiries@morningstar.com
Gold 1207.25 -3.75 S&P GSCI Spt 407.10 2.59 - Austria 0.31 0.15 -1.60 Japan 0.36 0.20 -1.56 07/25 1.50 115.97 -0.05 0.00 0.00 0.00 0.00
Silver (US cents) 1684.00 -2.00 DJ UBS Spot 99.57 1.44 - Belgium 0.44 0.27 -1.48 Netherlands 0.33 0.17 -1.59 United Kingdom 07/18 1.25 101.45 0.80 0.01 0.05 -0.22 -0.82 Data provided by Morningstar | www.morningstar.co.uk
Platinum 1169.00 2.00 R/J CRB TR 218.62 -0.94 -28.34 Canada 1.36 1.20 -0.55 Norway 1.34 1.17 -0.58 07/20 2.00 104.07 1.20 0.01 0.05 -0.22 0.00
Palladium 764.00 -11.00 Rogers RICIX TR 2655.84 - - Denmark 0.24 0.08 -1.67 Portugal 1.62 1.46 -0.30 09/25 2.00 102.81 1.70 0.00 0.04 0.00 0.00
Bulk Commodities M Lynch MLCX Ex. Rtn 313.14 0.30 -31.46 Finland 0.30 0.14 -1.62 Spain 1.20 1.03 -0.72 01/45 3.50 125.24 2.32 -0.01 0.04 -0.29 0.00
Iron Ore (Platts) 48.25 0.50 UBS Bberg CMCI TR 15.46 -1.40 -26.83 France 0.45 0.28 -1.47 Switzerland -0.05 -0.21 -1.96 United States 03/17 0.50 99.95 0.53 0.00 -0.02 0.00 0.00
Iron Ore (The Steel Index) 47.90 0.30 LEBA EUA Carbon 7.06 -5.74 23.00 Germany 0.16 0.00 -1.75 United Kingdom 1.70 1.54 -0.21 03/20 1.38 100.16 1.34 0.02 0.02 0.00 0.00
GlobalCOAL RB Index 58.00 0.00 LEBA CER Carbon 0.45 12.50 275.00 Greece 11.37 11.21 9.46 United States 1.92 1.75 0.00 02/25 2.00 100.76 1.92 0.03 0.05 -0.19 0.00
Baltic Dry Index 580.00 -3.00 LEBA UK Power 2028.00 -29.68 19.65 Ireland 0.72 0.55 -1.20 02/45 2.50 98.89 2.55 0.03 0.09 -0.13 0.00
Sources: † NYMEX, ‡ ECX/ICE, ♦ CBOT, X ICE Liffe, ♥ ICE Futures, ♣ CME, ♠ LME/London Metal Exchange.* Latest prices, $ Data provided by SIX Financial Information & Tullett Prebon Information Data provided by SIX Financial Information & Tullett Prebon Information
unless otherwise stated.
20 ★ FINANCIAL TIMES Thursday 9 April 2015

MANAGED FUNDS SERVICE

Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield

Asia Growth A GBP Inc H £ 50.01 - 0.57 0.00 Tem Emerging Markets $ 33.35 - -0.04 0.27 Golden Age (EUR) PA € 15.45 - 0.08 0.00

ACPI Global UCITS Funds Plc (IRL) Australia A GBP Inc £ 79.55 - 0.53 2.12 Cohen & Steers SICAV (LUX) Edinburgh Partners Limited (IRL) Tem Emg Mkts Balanced AQdis $ 7.85 - -0.01 2.90 Golden Age (USD) PA F $ 21.51 - 0.11 0.00
www.acpi.com Regulated 27-31 Melville Street, Edinburgh, Edinburgh, EH2 4DJ +353 1 434 5143
Regulated Baring China Bond Fund $ 10.18 - -0.01 0.00 Dealing - Fax only - +353 1 434 5230 Tem Emg Mkts Bd $ 16.79 - 0.04 6.92 Sh.T- Money Mkt EUR PA € 112.39 - -0.01 0.00
European Real Estate Securities € 23.8032 - 0.2862 1.11
ACPI Emerging Mkts FI UCITS Fund USD A $ 111.33 - 0.82 0.00 FCA Recognised
Baring Emerging Markets Corporate Debt Fund $ 9.47 - 0.04 0.00 Tem Global $ 35.92 - 0.14 0.45 Sh.T- Money Mkt CHF PA SFr 129.24 - -0.01 0.00
Europ.RealEstate Sec. IX € 31.3347 - 0.3767 0.00 Edinburgh Partners Opportunities Fund PLC
ACPI Global Credit UCITS Funds USD A $ 13.98 - 0.02 0.00 Baring European Opportunities Fund Class A EUR Acc € 13.33 - 0.07 0.00 Tem Global (Euro) € 20.68 - 0.31 0.33 Sh.T- Money Mkt GBP PA £ 10.26 - 0.00 0.00
Gbl RealEstate Sec. I $ 11.4028 - 0.0186 1.16 European Opportunities I EUR € 2.93 - 0.06 2.02
ACPI Global Fixed Income UCITS Fund USD A $ 152.14 - 0.15 0.00 Baring Global Mining Fund - Class A GBP Inc £ 5.27 - 0.04 0.72 Tem Global Balanced $ 23.51 - 0.07 0.62 Hermes Investment Funds Plc (IRL) Swiss & Global Asset Management (LUX) Sh.T- Money Mkt USD PA $ 10.30 - 0.00 0.00
Gbl RealEstate Sec. IX $ 13.3510 - 0.0218 0.00 European Opportunities I GBP £ 2.13 - 0.03 2.20
Hermes Investment Management Limited, 1 Portsoken Street, London E1 8HZ +44 (0) 207 680 2121 funds@swissglobal-am.com, www.jbfundnet.com
Q ACPI India Fixed Income UCITS Fund USD A $ 10.34 - 0.04 - Dynamic Emerging Markets A GBP Acc F £ 10.40 - 0.08 0.00 Tem Global Bond $ 21.08 - 0.06 2.23 Sw.Fr.Bd(For) PA SFr 24.02 - 0.02 0.00
European Opportunities I USD $ 3.20 - 0.06 1.85 FCA Recognised Regulated
ACPI India Fixed Income UCITS Fund USD A3 $ 88.18 - 0.32 0.00 Eastern Europe A GBP Inc £ 48.02 - 0.47 0.74 Tem Global Bond (Euro) € 10.30 - 0.02 2.91 Hermes Active UK Inflation Fund Class F Acc £ 1.32 1.32 0.00 0.00 JB BF ABS-EUR B € 105.49 - 0.01 0.00 Sw.Fr.Credit Bd(For) PA SFr 13.82 - 0.01 0.00
European Opportunities A EUR € 2.87 - 0.06 1.40
ACPI International Bond UCITS Fund USD A $ 18.27 - 0.01 0.00 Emerging Mkt Debt LC A GBP Hedged Inc £ 8.61 - 0.06 6.83 Tem Global Equity Income A(Mdis) $ 10.35 - 0.06 4.21 Hermes Asia Ex-Japan Equity Fund Class F Acc £ 1.72 1.72 0.01 0.00 JB BF Abs Ret Def-EUR B € 111.96 - 0.26 0.00 Tactical Alpha (CHF) PA SFr 10.34 - -0.03 0.00
Global Opportunities I USD $ 1.75 - 0.01 2.00
Emerging Opportunities A GBP Inc H £ 21.43 - 0.25 0.00 Tem Global High Yield Fd F $ 9.36 - 0.02 4.87 Hermes Asia Ex-Japan Equity Fund Class R Acc € 3.78 3.78 0.04 0.00 JB BF Abs Ret EM-USD B $ 118.83 - 0.38 0.00 Tactical Alpha (EUR) PA € 10.60 - -0.02 0.00
Global Opportunities I GBP £ 1.18 - 0.01 1.83
ACPI Select UCITS Funds PLC (IRL) Glb Emerging Markets A GBP Inc H £ 21.71 - 0.26 0.43 Tem Global Income $ 14.70 - 0.06 1.58 Hermes Global Emerging Markets Fund Class F Acc £ 1.32 1.32 0.00 0.00 JB BF Abs Ret-EUR B € 131.02 - 0.33 0.00 Tactical Alpha (USD) PA $ 15.20 - -0.04 0.00
Global Opportunities I EUR € 1.61 - 0.01 1.88
Regulated
Glb Resources A GBP Inc H £ 13.26 - 0.23 0.33 Tem Global Smaller Cos $ 35.09 - -0.17 0.00 Hermes Global Emerging Markets Fund Class R Acc € 3.37 3.37 0.02 0.00 JB BF Abs Ret Pl-EUR B € 129.08 - 0.42 0.00 Technology PA € 13.92 - 0.12 0.00
ACPI Balanced UCITS Fund USD Retail $ 14.32 - 0.09 0.00 Comgest SA (LUX) Global Opportunities A GBP £ 1.11 - 0.01 1.38
High Yield Bond A GBP Hedged Inc H £ 6.94 - 0.01 6.72 17 square Edouard VII - 75009 Paris, www.comgest.com Tem Global Total Return $ 17.78 - 0.04 3.55 Hermes Global Equity Fund Class F Acc £ 1.60 1.60 -0.01 0.00 JB BF EM Corporate-USD B $ 108.36 - 0.40 0.00 Technology PA $ 21.13 - 0.17 0.00
ACPI Balanced UCITS Fund EUR Retail € 10.84 - 0.08 0.00 Pan European Opportunities I EUR € 1.77 - 0.04 -
FCA Recognised
Hong Kong China A GBP Inc £ 708.73 - 33.88 0.55 Tem Latin America $ 50.23 - -0.21 0.91 Hermes Global Equity Fund Class R Acc € 4.25 4.25 0.01 0.00 JB BF EM Infl Link-USD B $ 94.30 - 1.04 0.00 Wld Gold Expertise PAF SFr 11.73 - 0.19 0.00
ACPI Balanced UCITS Fund GBP Retail £ 10.93 - 0.07 0.00 Comgest Asia F $ 4403.65 - 61.56 0.00
India Fund - Class A GBP Inc £ 16.09 - 0.02 0.00 Class A Acc Hermes Global ESG Equity Fund Class F Acc £ 1.23 1.23 0.00 - JB BF EM Inv Grade-USD B $ 103.55 - 0.34 0.00 Wld Gold Expertise PA € 9.31 - 0.15 0.00
ACPI Balanced UCITS Fund USD Institutional $ 10.00 - - - Comgest Europe F SFr 5946.95 - 63.73 0.00
Frk Biotech Discovery $ 35.41 - 0.20 0.00
Latin America A USD Inc H $ 35.36 - 0.45 1.29 Hermes Global High Yield Bond Fund Class F Acc £ 1.11 1.11 0.00 0.00 JB Emerging (EUR)-EUR B € 343.51 - 1.40 0.00 Wld Gold Expertise PA $ 12.27 - 0.20 0.00
ACPI Balanced UCITS Fund EUR Institutional € 10.00 - - -
Frk Brazil Opportunities Fd $ 10.23 - 0.02 0.00 LO Selection
Asset Management
MENA A GBP Inc F * £ 14.76 - 0.02 1.10 Hermes Global High Yield Bond Fund Class R Acc € 2.89 2.89 0.01 0.00 JB Emerging (USD)-USD B $ 417.06 - 2.20 0.00
ACPI Balanced UCITS Fund GBP Institutional £ 10.00 - - - Comgest SA (FRA)

ACPI Focused Equity UCITS Fund $ 13.34 - 0.12 0.00

Baring International Fd Mgrs (Ireland) (IRL)
17 square Edouard VII - 75009 Paris
FCA Recognised
Frk Euro S-Term Money Mkt Fd

Frk Euroland Fund

€ 1012.04

€ 21.38
-

-
-0.01 0.00

0.31 0.00
Hermes Multi Asset Inflation Fund Class F GBP Acc £ 1.04 1.04 0.01 - JB BF Local EM-USD B
Asset Management
$ 284.60 - 3.09 0.00
Balanced (CHF) PA F

Balanced (EUR) PA F
SFr 111.10

€ 131.78
-

-
0.92 0.00

1.06 0.00
Hermes Multi Strategy Credit Fund Class F Acc Hed £ 1.03 1.03 0.00 - JB BF Total Ret-EUR B € 99.05 - 0.24 0.00
Regulated Comgest Magellan € 22.85 - 0.30 0.00 EFG Hermes
DIFC, The Gate Building, West Wing Level 6, PO BOX 30727, Dubai UAE Frk European Growth € 16.43 - 0.28 0.00 Conservative (CHF) PA F SFr 106.43 - 0.44 0.00
Hermes Sourcecap EU Alpha Fund Class F Acc £ 1.36 1.36 0.00 0.00 JB EF Abs Ret Eur-EUR B € 119.58 - 0.49 0.00
China A-Share A GBP Inc £ 5.70 - 0.14 0.00 Contact: Telephone + 971 4 363 4029 Email AMsales@EFG-HERMES.com Frk European Sml Mid Cap Gth € 37.41 - 0.73 0.00 Conservative (EUR) PA F € 118.00 - 0.51 0.00
Other International Funds Hermes Sourcecap EU Alpha Fund Class F Dis £ 1.34 1.34 0.01 1.73 JB EF Euro Value-EUR B € 215.91 - 3.19 0.00
Comgest AM International Ltd (IRL)
Frk Gbl Equity Strategies Fd $ 11.77 - 0.02 0.00 Global Allocation (GBP) PA F £ 10.31 - 0.04 0.00
46 St Stephen's Green, Dublin 2, Ireland The EFG-Hermes Egypt Fund $ 29.93 - - 0.00 Hermes Sourcecap EU Alpha Fund Class R Acc € 3.33 3.33 0.02 0.00 JB EF Japan-JPY B ¥ 18221.00 - 101.00 0.00
Barings (Luxembourg) (LUX)
FCA Recognised
Asset Management
Frk Gbl Fundamental Strat Fd $ 13.42 - 0.02 0.00 Growth (CHF) PA F SFr 116.58 - 1.30 0.00
FCA Recognised
Russia A GBP Inc F £ 27.59
Asset Management
- 0.84 0.00
Comgest Gth Asia Pac ex Jap DIS F $ 8.34 - 0.07 0.30
Middle East & Developing Africa Fund (Final) $ 19.81 - - 0.00
Frk Global Conver.Securities $ 11.97 - -0.01 0.00
Hermes Sourcecap EX UK Fund Class F Acc £ 1.42 1.42 0.00 0.00 JB EF Luxury B-EUR B € 242.50 - 2.69 0.00
Growth (EUR) PA F
Managemen € 144.37 - 1.55 0.00

Asset Management Asset Management

Saudi Arabia Equity Fund SR 14.40 - -0.70 0.00 Hermes Sourcecap EX UK Fund Class R Acc € 3.37 3.37 0.00 0.00 JB Ms EF Special Val. EUR/A € 156.69 - 2.57 0.71
Alceda Fund Management S.A. Comgest Gth Emerging Mkt DIS F $ 34.65 - 0.38 0.29
Frk Global Growth $ 14.41 - 0.01 0.00 Vantage 1500 (EUR) MA € 10.54 - 0.03 0.00
www.alceda.lu Hermes UK Small & Mid Cap Fund Class F Acc £ 1.60 1.60 0.01 0.00 JB Strategy Balanced-CHF/B SFr 158.33 - 1.31 0.00
FCA Recognised Comgest Gth Europe DIS F € 21.21 - 0.25 0.00
BlackRock (JER) Frk Global Gth & Val $ 25.66 - 0.07 0.00 Vantage 3000 (EUR) MA € 10.97 - 0.07 0.00
Regulated
Ennismore Smaller Cos Plc (IRL) Hermes UK Small & Mid Cap Fund Class R Acc € 4.85 4.85 0.05 0.00 JB Strategy Balanced-EUR € 165.26 - 1.17 0.00
AC Opp - Aremus Fund EUR A € 111.17 - 0.01 0.00 Comgest Gth GEM PC DIS F € 13.91 - 0.21 0.00
5 Kensington Church St, London W8 4LD 020 7368 4220 Frk Global Sml Mid Cap Gth $ 30.86 - 0.16 0.00 PrivilEdge
BlackRock UK Property £ 39.42 - 0.00 3.70 Hermes US SMID Equity Fund Class F Acc £ 1.68 1.68 -0.01 0.00 JB Strategy Balanced-USD/B $ 136.49 - 0.83 0.00
AC Risk Parity 7 Fund EUR A € 124.18 - 0.29 0.00 FCA Recognised
Inc.Pt.RMB Dt.CNH PA CNH 99.89 - 0.04 -
Frk Gold and Precious Mtls Fd F $ 3.81 - -0.02 0.00
Blackrock UK Long Lease £ 1047.91 - 3.99 0.00 Ennismore European Smlr Cos NAV £ 89.27 - -0.21 0.00 Hermes US SMID Equity Fund Class R Acc € 3.62 3.62 -0.01 0.00 JB Strategy Growth-CHF/B SFr 98.88 - 1.07 0.00
AC Risk Parity 12 Fund EUR A € 151.91 - 0.78 0.00 Coupland Cardiff Funds Plc (IRL) Inc.Pt.RMB Dt.SH CHF PA SFr 9.97 - 0.01 -
31/32 St James's Street, London, SW1A 1HD Frk India $ 34.38 - -0.01 0.00
BLK Intl Gold & General $ 4.98 5.26 -0.04 0.00 Ennismore European Smlr Cos NAV € 122.25 - 0.31 0.00 JB Strategy Growth-EUR € 126.02 - 1.18 0.00
AC Risk Parity 17 Fund EUR A € 100.41 - 0.62 0.00 FCA Recognised Inc.Pt.RMB Dt.SH EUR PA € 10.00 - 0.01 -
Frk Japan Fd ¥ 912.00 - 10.49 0.00
Impax Asset Management (IRL) JB Strategy Inc-CHF/B SFr 124.37 - 0.66 0.00
ACQ Risk Parity Bond Fund EUR A € 102.29 102.29 0.07 0.00 CC Asia Alpha Fd - Cls A Euro € 12.63 12.63 0.01 0.00 Inc.Pt.RMB Dt.USD PA $ 10.04 - 0.00 -
Frk K2 Alt Strat Fd $ 10.60 - 0.02 - Norfolk House, 31 St James's Square, London, SW1Y 4JR
Ennismore European Smlr Cos Hedge Fd FCA Recognised JB Strategy Inc-EUR/B € 167.76 - 0.74 0.00
CC Asia Alpha Fd - Cls B USD $ 12.42 12.42 0.01 0.00 Jenn. US Eq.Opp. USD PA $ 10.26 - 0.05 -
Other International Funds Frk MENA Fund $ 6.73 - 0.09 0.00
Env Mkts (Ire) Stl A £ 2.34 - 0.01 0.00 JB Strategy Inc-USD/B $ 152.13 - 0.63 0.00
Amundi Funds (LUX) CC Asia Alpha Fd - Cls C GBP £ 12.27 12.27 0.01 0.00
NAV € 446.15 - -0.55 0.00 Neubrg.Berman US Core PA $ 14.66 - 0.05 0.00
Frk Mutual Beacon $ 73.24 - -0.04 0.00
5 Allee Scheffer L-2520 Luxembourg + 44 (0)20 7074 9332 Env Mkts (Ire) Euro A € 2.20 - 0.02 0.00
www.amundi-funds.com CC Asia Alpha Fd - Cls I USD $ 9.82 9.82 0.01 0.00 Sands US Growth PA € 14.09 - 0.09 0.00
Frk Mutual European EUR € 26.35 - 0.39 0.00
FCA Recognised Env Mkts (Ire) USD A $ 1.82 - 0.01 0.00
CC Asian Evolution Fd. Cls A USD $ 14.73 14.73 0.32 0.00 Sands US Growth PA $ 17.08 - 0.12 0.00
Equinox Fund Mgmt (Guernsey) Limited (GSY) Frk Mutual Gbl Disc $ 18.05 - 0.00 0.00
Bd. Euro Corporate AE Class - R - EUR € 19.21 - 0.02 0.00 BlueBay Asset Management LLP (LUX) Regulated
CC Asian Evolution Fd. Cls B GBP £ 13.85 13.85 0.30 0.00 Will.Blair Gbl. Ldrs PA € 16.91 - 0.13 0.00
Regulated Frk Natural Resources Fd F $ 7.82 - 0.02 0.00
Bd. Global AU Class - R - USD $ 26.72 - 0.01 0.00 Equinox Russian Opportunities Fund Limited $ 100.34 102.95 0.60 0.00 INDIA VALUE INVESTMENTS LIMITED (INVIL)
BlueBay EmMkt B-USD $ 297.55 - 0.97 0.00 CC Asian Evolution Fund - Cls C USD Acc $ 16.55 16.55 0.36 0.00 Will.Blair Gbl. Ldrs PA $ 13.70 - 0.08 0.00
Frk Real Return Fd F $ 10.48 - -0.01 0.00 www.invil.mu
Eq. Emerging Europe AE Class - R - EUR € 26.83 - -0.24 0.00
CC Japan Alpha Fd - Cls A Euro € 11.53 11.53 0.28 0.00 Other International Funds
BlueBay EmMktCrp B-USD $ 166.65 - 1.06 0.00 Frk Strategic Income Fd $ 14.82 - 0.02 0.00
Eq. Emerging World AU Class - R - USD $ 97.66 - 1.22 0.00 Euronova Asset Management UK LLP (CYM) NAV £ 8.00 - -0.03 0.00 Kames Capital VCIC (IRL)
BlueBay EmMktSel B-USD $ 156.40 - 0.90 0.00 CC Japan Alpha Fd - Cls B GBP £ 12.58 12.58 0.31 0.00 Regulated M & G (Guernsey) Ltd (GSY)
Frk Technology $ 11.14 - 0.02 0.00 1 North Wall Quay, Dublin 1, Ireland +35 3162 24493
Eq. Greater China AU Class - R - USD $ 644.24 - 1.32 0.00 Regulated
CC Japan Alpha Fd - Cls C JPY ¥ 1232.35 1232.35 30.76 0.00 Smaller Cos Cls One Shares (Est) € 33.98 - -0.08 0.00 FCA Recognised
BlueBay EmMkLocCy B-USD $ 149.14 - 1.20 0.00 Frk U.S. Focus Fund $ 17.12 - -0.04 0.00 The M&G Offshore Fund Range
Eq. Latin America AU Class - R - USD $ 435.88 - 8.29 0.00 Intrinsic Value Investors (IVI) LLP (IRL) Absolute Return Bond B GBP Acc 1079.26 - 0.42 -
CC Japan Inc & Grwth Fd - Cls Acc USD $ 17.93 17.93 0.39 0.00 Smaller Cos Cls Two Shares (Est) € 23.91 - -0.04 0.00
BlueBay GlblConv I-USD $ 192.09 - 1.11 0.00 Frk US Equity $ 25.07 - -0.06 0.00 1 Hat & Mitre Court, 88 St John Street, London EC1M 4EL +44 (0)20 7566 1210 American Fund 168.19 175.20 -1.07 0.00
Gl. Macro Bds & Curr Low Vol AHG - GBP £ 99.07 - 0.03 0.00 Eq Market Neutral B Acc 1009.65 - -1.04 -
CC Japan Inc & Grwth Fd - GBP Founder Acc £ 18.51 18.51 0.42 0.00 Smaller Cos Cls Three Shares (Est) € 12.03 - -0.03 - FCA Recognised
BlueBay GlblHgYd B-USD $ 133.40 - 0.85 0.00 Frk US Opportunities $ 12.41 - 0.01 0.00 Corporate Bond 1356.92 1398.88 2.67 2.98
IVI European Fund EUR € 18.51 - 0.28 0.00 Eq Market Neutral Plus B Acc 1016.39 - -2.78 -
CC Japan Inc & Grwth Fd - GBP Founder Inc £ 17.39 17.39 0.39 0.00 Smaller Cos Cls Four Shares (Est) € 15.48 - -0.03 0.00
BlueBay HgYield B-EUR € 338.81 - 0.89 0.00 Frk US Sml Mid Cap Gth F $ 20.52 - -0.01 0.00 Global Basics 2564.06 2643.36 11.43 0.00
The Antares European Fund Limited IVI European Fund GBP £ 18.29 - 0.15 1.01 High Yield Global Bond A GBP Inc 551.99 - 1.32 3.55
BlueBay HgYieldCp B-EUR € 143.34 - 0.35 0.00 CC Japan Inc & Grwth Fd - JPY Founder Acc ¥ 1871.20 1871.20 42.27 0.00
Other International Frk Wrld Perspective Fd $ 19.92 - 0.03 0.00 Global Leaders 3554.82 3702.94 -3.49 1.18
High Yield Global Bond B GBP Inc 1147.43 - 2.76 4.07
AEF Ltd Usd (Est) $ 634.25 - 4.09 - BlueBay InvGr B-EUR € 176.71 - 0.21 0.00 CC Japan Inc & Grwth Fd - JPY Founder Inc ¥ 1746.32 1746.32 39.45 0.00
Tem Africa $ 10.87 - -0.10 0.00 Global High Yield Bond 1007.70 1038.87 -6.09 4.58
Investment Grade Global Bd A GBP Inc 578.23 - 1.08 2.38
AEF Ltd Eur (Est) € 636.83 - 3.61 0.00 BlueBay InvGEurGv B-EUR € 155.17 - 0.39 0.00 CC Japan Inc & Grwth Fd - USD Founder Acc $ 18.41 18.41 0.42 0.00
Tem Asian Sml Comp Fd $ 40.83 - 0.10 0.00 Global Macro Bond Fund 11544.13 11901.16 -25.45 0.69
Kames Global Equity Income B GBP Acc 1194.73 - -0.23 -
BlueBay InvGEurAg I-EUR € 154.64 - 0.36 0.00 CC Japan Inc & Grwth Fd - USD Founder Inc $ 17.32 17.32 0.39 0.00
Tem BRIC $ 14.14 - 0.05 0.00 Optimal Income Fund 144.32 148.78 0.25 2.20
Kames Global Equity Income B GBP Inc 1164.54 - -0.23 -
Arbiter Fund Managers Limited (LUX) BlueBay InvGLibor B-EUR € 126.59 - 0.12 0.00 Tem China $ 24.02 - -0.01 0.00 Recovery Fund Limited 'A' Participating Shares 11167.35 11632.65 73.11 0.63
FCA Recognised Strategic Global Bond A GBP Inc 1137.13 - 1.88 1.58
HighIncomeLoan H-EUR € 193.51 - 0.66 0.00 Eurobank Fund Management Company (Luxembourg) S.A. Recovery Fund Limited 'I' Participating Shares 11198.68 11311.80 72.93 1.42
Arbiter Global Emerging Markets Fund Class A USD $ 111.74 - 0.77 0.00 Tem Eastern Europe € 20.01 - 0.27 0.00
Regulated Invesco (LUX) Strategic Global Bond B GBP Inc 645.21 - 1.08 2.06
(LF) Absolute Return € 1.32 - 0.00 0.00 Tem Emerging Mkts Sml Comp Fd $ 10.54 - -0.01 0.00 Dublin 00 353 1 439 8100 Hong Kong 00852 3191 8282 Strategic Corporate Bond Fund 137.32 143.04 0.22 2.79
Arbiter Global Emerging Markets Fund Class B GBP £ 106.20 - 0.42 -
FCA Recognised
BONHOTE (LF) Balanced - Active Fund (RON)RON 16.06 - -0.08 0.00 Tem Euroland € 21.36 - 0.36 0.00 UK Growth 1618.70 1686.15 28.81 1.04
Other International Funds Invesco Management SA Lloyds Investment Fund Managers Limited (1000)F (JER)
(LF) Cash Fund € € 1.32 - 0.00 0.00 Tem European EUR € 22.93 - 0.42 0.00 PO Box 311, 11-12 Esplanade, St Helier, Jersey, JE4 8ZU 01534 845555
Arisaig Partners Bonhôte Alternative - Multi-Arbitrage (USD) Classe (EUR) € 6858.00 - 48.00 2.45 Invesco Active Multi-Sector Credit Fund A € 2.98 - 0.01 -
Crèdit Andorrà Asset Management (LUX) Other International Funds
Other International Funds
(LF) Cash Fund (RON) RON 15.66 - 0.00 0.00 Tem Frontier Mkts Fund $ 18.33 - -0.01 0.00 Invesco Asia Balanced A dist $ 16.10 - 0.15 3.48
Bonhôte Alternative - Multi-Performance (USD) Classe (EUR) € 10349.00 - 117.00 0.82 www.creditandorra.com Lloydstrust Gilt £ 12.5700xd - 0.0500 2.42
Arisaig Africa Consumer Fund Limited $ 16.64 - -0.07 0.00 FCA Recognised (LF) Eq Emerging Europe € 0.88 - 0.02 0.00 Tem Growth (Euro) € 17.38 - 0.24 0.00 Invesco Asia Consumer Demand Fund A income $ 14.71 - 0.31 0.18 Lloyds Investment Funds Limited
Arisaig Asia Consumer Fund Limited $ 66.73 - 0.95 0.00 Crediinvest SICAV Money Market Eur I € 11.22 - 0.00 0.00
(LF) Eq Flexi Style Greece € 1.22 - 0.02 - Tem Korea $ 5.50 - -0.05 0.00 Invesco Asia Infrastructure (A) $ 14.30 - 0.38 1.44 Euro High Income € 1.7180xd - 0.0030 2.81
Braemar Group PCC Limited (GSY)
Arisaig Global Emerging Markets Consumer Fund $ 11.08 - 0.09 0.00 Crediinvest SICAV Money Market Usd A $ 10.02 - 0.00 0.00
Regulated (LF) Global Bond Fd € 12.54 - 0.02 0.00 Tem Thailand $ 21.71 - -0.02 0.00 European £ 8.4230 - 0.0300 0.92
Invesco Asia Opportunities Equity A $ 113.90 - 3.41 0.00
Arisaig Global Emerging Markets Consumer UCITS € 13.03 - 0.27 0.00 UK Agricultural Class A £ 1.26 - 0.00 0.00 Crediinvest SICAV Fixed Income Eur € 11.01 - 0.01 0.00
(LF) Global Equities € 1.25 - 0.01 0.00 Invesco Balanced Risk Allocation Fund A € 16.01 - 0.11 0.00 High Income £ 0.9083xd - 0.0029 4.90 MFS Investment Funds (LUX)
Arisaig Global Emerging Markets Consumer UCITS STG £ 12.21 - 0.20 0.00 Crediinvest SICAV Fixed Income Usd $ 10.72 - 0.00 0.00 FCA Recognised
UK Agricultural Class B £ 1.38 - 0.00 0.00
(LF) Eq Mena Fund € 15.65 - 0.11 0.00 Frontier Capital (Bermuda) Limited Invesco Capital Shield 90 (EUR) A € 12.33 - 0.02 0.00 International £ 4.6010 - 0.0080 0.93
Blend.Research Gb.Eq.Fd. € 108.21 - 1.14 -
Arisaig Latin America Consumer Fund $ 23.18 - -0.15 0.00 Student Accom Class B £ 0.72 - -0.28 0.00 Crediinvest SICAV Spanish Value € 290.71 - 4.40 0.00 Other International
(LF) Greek Government Bond € 14.30 - 0.36 0.00 Invesco Emerging Europe Equity Fund A $ 8.81 - 0.10 0.00 North American £ 16.8300 - -0.0500 0.03
Blend.Research Gb.Eq.Fd. £ 106.15 - 0.58 -
Crediinvest SICAV International Value € 257.53 - 4.69 0.00 Commercial Property-GBP Class £ 71.42 - -0.53 -
(LF) Income Plus $ $ 1.22 - 0.00 0.00 Invesco Emerging Local Currencies Debt A Inc $ 8.18 - 0.05 6.33 Sterling Bond £ 1.5320xd - 0.0050 3.45
Blend.Research U.S.Core Eq.Fd. ¥ 10379.00 - 96.00 -
Artemis Fund Managers Ltd (CYM) CG Asset Management Limited (IRL) Crediinvest SICAV Big Cap Value € 19.73 - 0.49 0.00 Global Real Estate-GBP C Class £ 45.26 - -0.50 -
Regulated (LF) Greek Corporate Bond € 10.59 - 0.05 0.00 Invesco Emerging Mkt Quant.Eq. A $ 11.43 - 0.21 0.00 UK £ 7.4460 - 0.1400 1.32
Northern Trust, George's Court, 54-62 Townsend Street, Dublin 2, Rep of Ireland Blend.Research Gb.Eq.Fd. $ 103.75 - 0.89 -
Crediinvest SICAV US American Value $ 18.59 - -0.03 0.00
Artemis Gbl Hedge Fd Ltd GBP £ 54.66 - -1.07 - 00 353 1 434 5098 (LF) FOF Balanced Blend € 1.49 - 0.00 0.00 Lloyds Gilt Fund Limited
Invesco Energy A $ 23.44 - 0.39 0.00 Em.Mk.Debt Fd.US Dollar $ 122.30 - 0.26 0.00
FCA Recognised Crediinvest SICAV Sustainability € 16.65 - 0.03 0.00 GAM Limited (IRL)
Lloyds Gilt Fund Quarterly Share £ 1.3050xd - 0.0040 1.98
Artemis Gbl Hedge Fd Ltd EUR € 50.84 - -1.06 - (LF) FOF Equity Blend € 1.40 - 0.01 0.00 FCA Recognised Invesco Euro Corporate Bond Fund (A) € 17.75 - 0.03 0.00
Capital Gearing Portfolio Fund Plc £ 27046.19 27046.19 43.49 0.61 Em.Mk.Debt Fd.Yen 1 ¥ 11722.00 - 16.00 0.00
GAM Fund Management Ltd Monthly Share £ 1.2590xd - 0.0050 1.98
Artemis Gbl Hedge Fd Ltd USD $ 54.93 - -1.13 - CG Portfolio Fund Plc (LF) FOF Glob. Emerging Mkts € 0.99 - 0.01 0.00 Invesco Euro Inflation Linked Bond A € 16.19 - 0.00 0.00
Georges Court, 54-62 Townsend Street, Dublin 2 + 353 1 6093927 Em.Mk.Debt Fd.Yen 2 ¥ 17114.00 - 23.00 0.00
Dantrust Management (Guernsey) Ltd (GSY) Lloyds Money Fund Limited
Artemis Pan-Euro Hdg EUR € 176.28 - -3.15 - Real Return Cls A £ 176.04 176.04 1.01 2.29 Regulated (LF) FOF Dynamic Fixed Inc € 12.36 - -0.01 0.00 GAM Star Fund Plc Invesco Euro Reserve A € 322.89 - 0.00 0.00 Em.Mk.Debt Fund Yen 3 ¥ 11751.00 - 15.00 0.00
Sterling Class £ 52.5530 - 0.0000 0.20
Artemis Pan-Euro Hdg GBP £ 199.00 - 2.97 - Dollar Fund Cls D £ 136.22 136.22 0.66 1.55 Dantrust II Limited kr 459.40 459.50 -1.10 0.00 (LF) FOF Real Estate € 17.81 - 0.01 0.00 GAM Star Asia-Pacific Eqty USD Acc F $ 12.84 - 0.03 0.73 Invesco European Bond A € 7.39 - 0.01 0.00
Lloyds Multi Strategy Fund Limited Em.Mk.Debt Fund Yen 4 ¥ 17114.00 - 23.00 0.00
Artemis Pan-Euro Hdg USD $ 187.83 - 2.86 - Capital Value Fund Cls V £ 131.29 131.29 0.19 0.27 GAM Star Asian Eqty USD Ord Acc F $ 14.92 - 0.11 0.00 Invesco European Growth Equity A € 25.14 - 0.10 0.00 Conservative Strategy £ 1.1640 - 0.0040 2.30 Em.Mk.Eq.Fund Euro € 128.01 - 1.54 0.00
DAVIS Funds SICAV (LUX) FIL Fund Management (LUX) GAM Star Balanced GBP Acc £ 10.89 - 0.05 0.00 Invesco Global Absolute Return Fund A Class € 11.66 - 0.01 0.00 Growth Strategy £ 1.5860 - 0.0130 1.64 Em.Mk.Eq.Fund Sterling £ 109.91 - 0.78 0.00
Regulated 2a, rur Albert Borschette, BP 2175, L-1021, Luxembourg
Artisan Partners Global Funds PLC (IRL) Cedar Rock Capital Limited (IRL) Phone: 800 22 089, 800 22 088 GAM Star Cap.Appr.US Eqty USD Inc F $ 18.49 - -0.02 0.00 Invesco Global Bond A Inc $ 5.58 - 0.01 0.97
Davis Value A $ 41.05 - 0.10 0.00 Aggressive Strategy £ 1.9360 - 0.0160 0.00 Em.Mk.Eq.Fd.US Dollar $ 106.18 - 1.07 0.00
Beaux Lane House, Mercer Street Lower, Dublin 2, Ireland Regulated Regulated
Tel: 44 (0) 207 766 7130 GAM Star Cat Bond USD Acc $ 12.42 - 0.01 0.00 Invesco Global Equity Income Fund A $ 61.99 - 0.16 0.00 Global USD Growth Strategy $ 1.4630 - 0.0110 0.00 Em.Mk.Loc.Ccy Debt Fd.FC ¥ 9190.00 - 92.00 6.34
Cedar Rock Capital Fd Plc $ 344.17 - 2.13 0.00 Davis Global A $ 30.61 - 0.46 0.00 China Consumer A-GBP £ 16.89 - 0.09 0.00
FCA Recognised
GAM Star Cautious GBP Acc £ 10.83 - 0.04 0.00 Invesco Global Inc Real Estate Sec A dist $ 9.80 - -0.02 2.15 Dealing Daily Em.Mk.Loc.Ccy Debt Fd.FD ¥ 11099.00 - 162.00 6.04
Artisan Partners Global Funds plc Cedar Rock Capital Fd Plc £ 363.98 - -0.03 0.00 China Focus A-GBP £ 4.90 - 0.04 0.23
GAM Star China Equity USD Acc F $ 25.19 - 0.44 0.45 Invesco Global Inv Grd Corp Bond A Dist $ 12.06 - 0.03 2.99 Em.Mk.Loc.Ccy Debt Fd II $ 86.37 - 0.00 0.00
Artisan Emerging Markets I USD Acc $ 7.90 - 0.11 0.00 Cedar Rock Capital Fd Plc € 333.59 - -4.82 0.00 Global Financial Services A-GBP £ 0.46 - 0.00 0.00
GAM Star Cont European Eqty GBP Acc F £ 3.71 - 0.01 0.00 Invesco Global Leisure A $ 37.26 - -0.20 0.00 Gb.Conc.Eq.Fd.Euro € 290.50 - 2.76 0.00
Artisan Global Equity Fund Class I USD Acc $ 15.18 - 0.02 0.00
Global Health Care A-GBP £ 0.59 - 0.00 0.00
GAM Star Cred Opportunities GBP Acc £ 12.89 - 0.00 4.03 Invesco Global Smaller Comp Eq Fd A $ 58.07 - 0.18 0.00 Gb.Conc.Eq.Fd.Sterl.UK T £ 177.12 - 0.78 0.00
Artisan Global Opportunities I USD Acc $ 12.12 - 0.07 0.00 Charles Schwab Worldwide Funds Plc (IRL)
Global Industrials A-GBP £ 0.72 - 0.01 0.00
Regulated GAM Star Discretionary FX USD Acc F $ 13.14 - 0.02 0.00 Invesco Global Structured Equity A $ 48.22 - 0.18 0.73
Artisan Global Value Fund Class I USD Acc $ 16.41 - 0.13 0.00 Gb.Conc.Eq.Fd.Sterling £ 268.59 - 1.20 0.00
Schwab USD Liquid Assets Fd $ 1.00 - 0.00 0.01 Global Inflation-Linked Bd A-GBP-Hdg £ 1.20 - 0.00 0.51
GAM Star Dynamic Gbl Bd USD Acc H $ 10.40 - -0.07 1.49 Invesco Global Total Ret.(EUR) Bond Fund A € 13.68 - 0.03 0.00 Gb.Conc.Eq.Fd.US $ 199.69 - 1.49 0.00
Artisan US Value Equity Fund Class I USD Acc $ 11.89 - 0.16 0.00 Dodge & Cox Worldwide Funds (IRL) Global Real Asset Securities £ 1.57 - 0.01 0.00
6 Duke Street,St.James,London SW1Y 6BN GAM Star Emerging Asia USD Class ACCU $ 13.13 - -0.01 0.48 Invesco Gold & Precious Metals A $ 4.66 - -0.05 0.00 Lombard Odier Funds (Europe) S.A (LUX)
Gb.Eq.Hdg Fd.Euro IRE T € 192.42 - 1.72 0.00
www.dodgeandcox.worldwide.com 020 3713 7664 Global Technology A-GBP £ 0.25 - 0.00 0.00 www.loim.com
Chartered Asset Management Pte Ltd
FCA Recognised GAM Star Emerg. Market Rates USD Acc F $ 11.57 - 0.03 0.00 Invesco Greater China Equity A $ 49.86 - 1.99 0.00 Regulated
Ashmore Sicav (LUX) Other International Funds Gb.Eq.Euro Hdg Fd. € 272.89 - 2.44 0.00
Global Telecomms A-GBP £ 0.30 - 0.00 1.00 Lombard Odier Funds
2 rue Albert Borschette L-1246 Luxembourg Dodge & Cox Worldwide Funds plc - Global Bond Fund GAM Star European Eqty USD Acc F $ 23.78 - -0.03 0.00
CAM-GTF Limited $ 327673.27 327673.27 1257.08 0.00 Invesco India Equity A $ 57.78 - 0.80 0.00 Gb.Eq.Fund Euro € 300.33 - 2.98 0.00
FCA Recognised India Focus A-GBP £ 5.01 - 0.03 0.00 Absolute Ret Bond (EUR) PA € 12.13 - -0.03 0.00
EUR Accumulating Class € 12.46 - 0.11 -
CAM GTi Limited $ 753.41 - -16.33 0.00 GAM Star Flexible Gbl Port GBP Ac £ 13.06 - 0.05 0.00 Invesco Japanese Equity Adv Fd A ¥ 3998.00 - 22.00 0.00 Gb.Eq. Fd Euro IRE T € 189.87 - 1.89 0.00
Ashmore SICAV Emerging Market Debt Fund $ 98.24 - 0.66 14.52
EUR Accumulating Class (H) € 9.67 - 0.03 - Latin America A-GBP £ 1.72 - 0.02 0.19 Absolute Ret Bond (USD) PA $ 17.78 - -0.04 0.00
Raffles-Asia Investment Company $ 1.89 1.89 -0.05 6.85 GAM Star GAMCO US Equity Acc F $ 14.20 - -0.09 0.00 Invesco Japanese Value Eq Fd A ¥ 1277.00 - 11.00 0.00 Gb.Eq.Fd.Sterling UK T £ 221.45 - 1.09 0.00
Ashmore SICAV Emerging Market Frontier Equity Fund $ 159.64 - 1.52 2.08
EUR Distributing Class € 12.15 - 0.11 - All Roads (CHF) PA SFr 18.49 - 0.13 0.00
GAM Star Global Conv Bond USD Acc F $ 11.61 - 0.01 0.00 Invesco Latin American Equity A $ 7.54 - 0.02 0.00 Gb.Eq.Fd.US Dollar $ 326.07 - 2.59 0.00
Ashmore SICAV Emerging Market Total Return Fund $ 86.81 - 0.61 11.09
EUR Distributing Class (H) € 9.43 - 0.03 - Findlay Park Funds Plc (IRL) All Roads (USD) PA $ 11.71 - 0.09 0.00
30 Herbert Street, Dublin 2, Ireland Tel: 020 7968 4900 GAM Star Global Rates USD Acc F $ 12.65 - -0.04 0.00 Invesco Nippon Small/Mid Cap Equity A ¥ 1085.00 - 4.00 0.00 Gb.Eq.Fund Sterling £ 219.27 - 1.08 0.00
Ashmore SICAV Global Small Cap Equity Fund $ 140.63 - 3.16 0.07
GBP Distributing Class £ 10.79 - 0.04 - FCA Recognised All Roads (GBP) PA £ 11.94 - 0.09 0.00
GAM Star Global Selector USD Acc F $ 14.31 - -0.09 0.00 Invesco Pan European Equity A EUR Cap NAV € 21.38 - 0.05 0.00 Gb.Val.Ex-Jap.Fd.USD $ 121.59 - 0.89 0.00
Ashmore SICAV Local Currency Fund $ 87.83 - 0.59 1.94
GBP Distributing Class (H) £ 9.47 - 0.03 - American Fund USD Class $ 80.65 - -0.22 0.00 All Roads (EUR) PA € 11.88 - 0.09 0.00
GAM Star Japan Eqty USD Acc F $ 13.13 - 0.04 0.36 Invesco Pan European High Income Fd A € 14.71 - 0.03 1.89 Gb.Val.Ex-Japan Fd.Yen ¥ 14384.00 - 173.00 0.00
EM Mkts Corp.Debt USD F $ 96.85 - 0.50 9.85
USD Accumulating Class $ 9.72 - 0.03 - American Fund GBP Hedged £ 43.92 - -0.11 0.00 Alpha Japan (EUR) PA F € 11.88 - 0.19 0.00
GAM Star Keynes Quant Strat USD Acc F $ 13.03 - 0.08 0.00 Invesco Pan European Small Cap Equity A € 22.29 - 0.16 0.00 Low Volatility Gb.Eq.Fd. € 107.33 - 0.61 -
EM Mkts Loc.Ccy Bd USD F $ 89.19 - 1.01 11.73
Dodge & Cox Worldwide Funds plc-Global Stock Fund Latin American Fund USD Class $ 15.20 - 0.00 0.00 Alpha Japan (CHF) PA F SFr 14.89 - 0.23 0.00
GAM Star Local EM Rates and FX USD Acc $ 11.88 - -0.02 0.00 Invesco Pan European Structured Equity A € 17.97 - 0.07 0.00
Cheyne Capital Management (UK) LLP (IRL) USD Accumulating Share Class $ 17.51 - 0.16 0.00
Low Volatility Gb.Eq.Fd. £ 105.29 - 0.07 -
Alpha Japan (JPY) PA F ¥ 1408.00 - 22.00 0.00
Regulated GAM Star North of South EM Equity Acc F $ 12.16 - 0.05 0.02 Invesco UK Eqty Income A £ 32.21 - 0.07 0.00 Low Volatility Gb.Eq.Fd. $ 102.90 - 0.38 -
Cheyne Convertibles Absolute Return Fund € 1388.15 - 4.45 0.00 GBP Accumulating Share Class £ 19.42 - 0.17 0.00 Alpha Japan (USD) PA F $ 17.05 - 0.27 0.00
GAM Star Technology USD Acc F $ 16.39 - 0.12 0.00 Invesco UK Investment Grade Bond A £ 1.02 - 0.00 2.86
Cheyne European Real Estate Bond Fund € 112.63 - -0.03 0.00 GBP Distributing Share class £ 14.22 - 0.12 0.72 Alternative Beta PA F SFr 120.15 - 0.32 0.00
GAM Star US All Cap Eqty USD Acc F $ 14.23 - -0.03 0.00 Invesco US Structured Equity A $ 22.20 - -0.10 0.00 MFS Meridian Funds SICAV (LUX)
Cheyne Global Credit Fund € 121.91 - 0.19 0.00 EUR Accumulating Share Class € 24.30 - 0.35 0.00 Alternative Beta PA F € 80.69 - 0.22 0.00 Regulated
GAM Star Worldwide Eqty USD Acc F $ 3431.54 - 1.96 0.35 Invesco US Value Eq Fd A $ 33.36 - -0.02 0.00
Dodge & Cox Worldwide Funds plc-International Stock Fund
Alternative Beta PA F $ 120.63 - 0.34 0.00 Absolute Return A1 € 20.84 - 0.07 0.00
USD Accumulating Share Class $ 16.03 - 0.19 0.00 Invesco USD Reserve A $ 87.02 - 0.00 0.00
Aspect Capital Ltd (UK)
Cheyne Capital Management (UK) LLP Fleming Financial Trust Investment Fund Limited (NZ) Commodities (CHF) PA SFr 6.04 - 0.06 0.00 Asia ex-Japan A1 $ 25.69 - 0.19 0.00
Other International Funds
EUR Accumulating Share Class € 17.44 - 0.30 0.00 Incorporated in New Zealand, Reg No 5141841 GYS Investment Management Ltd (GSY)
Other International Funds
Registered address: Level 5, 3 City Road, Graftn, Auckland, 1010, New Zealand Regulated Commodities (EUR) PA € 6.09 - 0.05 0.00 Bond A1 $ 10.68 - 0.02 0.00
Aspect Diversified USD $ 433.12 - -2.69 0.00
Cheyne European Event Driven Fund € 149.03 - 5.05 0.00 Dodge & Cox Worldwide Funds plc-U.S. Stock Fund Invesco Global Asset Management Ltd (IRL)
www.fftinvestmentfund.com Taurus Emerging Fund Ltd $ 213.65 218.01 -4.44 0.00
Dublin 00 353 1 439 8100 Hong Kong 00 852 2842 7200 Commodities (USD) PA $ 6.26 - 0.06 0.00 China Equity Fd A1 $ 10.76 - 0.07 0.00
Aspect Diversified EUR € 259.65 - -1.58 - USD Accumulating Share Class $ 18.56 - 0.11 0.00 info@fftinvestmentfund.com
Cheyne European High Yield Fund € 131.46 - 0.28 0.00 FCA Recognised
Other International Funds Convertible Bd P A € 17.63 - 0.09 0.00 Continental European Eqty A1 € 18.75 - 0.27 0.00
Aspect Diversified GBP £ 132.41 - -0.83 0.00 GBP Accumulating Share Class £ 19.48 - 0.12 0.00
Cheyne Malacca Asia Equity Fund Class A $ 1489.26 - -0.04 0.00 Fleming FT Investment Fund Invesco Stlg Bd A QD F £ 2.66 - 0.00 3.44
Generali International Limited Convertible Bd Asia PA F SFr 13.98 - 0.03 0.00 Emer Mkts Debt Lo Curr Fd A1 $ 12.73 - 0.10 0.00
Aspect Diversified CHF SFr 124.85 - -0.83 0.00 EUR Accumulating Share Class € 22.27 - 0.26 0.00 PO Box 613, Generali House, Hirzel Street, St Peter Port, Guernesy, GY1 4PA 01481 714108
Cheyne Multi Strategy Liquid Fund $ 127.73 - 2.64 - Fleming Fund $ 3.67 3.77 0.01 - Invesco Asian Equity A $ 7.10 - 0.12 0.48
International Insurances Convertible Bd Asia PA F € 14.85 - 0.04 0.00 Emerging Markets Debt A1 $ 33.98 - 0.11 0.00
Aspect Diversified Trends USD $ 127.02 - -1.30 0.00
Cheyne Real Estate Credit Holdings Fund £ 142.88 - 0.71 0.00 Invesco ASEAN Equity A $ 106.52 - -0.38 0.38
Global Multi-Strategy Managed $ 4.96 5.34 -0.03 0.00 Convertible Bd Asia PA F $ 14.94 - 0.03 0.00 Emerging Markets Eq.A1 $ 11.99 - 0.10 0.00
Aspect Diversified Trends EUR € 127.09 - -1.31 0.00
Cheyne Real Estate Debt Fund Class A1 £ 130.56 - 0.30 0.00 Foord Asset Mgt (Guernsey) Ltd (GSY) Invesco Bond A $ 27.90 - 0.06 2.32
Regulated UK Multi-Strategy Managed £ 4.92 5.30 -0.09 0.00 Emerg. Consumer (CHF) PA SFr 12.92 - 0.14 0.00 European Concentrated A1 € 18.79 - 0.27 0.00
Aspect Diversified Trends GBP £ 131.24 - -1.34 0.00
Cheyne Total Return Credit Fund - December 2017 Class $ 201.18 - 10.41 0.00 Invesco Continental Eurp Small Cap Eqty A $ 202.09 - 0.81 0.00
Foord International Trust $ 35.07 - 0.21 0.00 EU Multi-Strategy Managed € 3.10 3.35 0.00 0.00 Emerg. Consumer (EUR) PA € 13.01 - 0.15 0.00 European Core Eq A1 € 32.57 - 0.42 0.00
Cheyne Total Return Credit Fund December 2019 $ 133.38 - -1.32 - Invesco Emerging Markets Equity A $ 40.83 - 0.22 0.00
Global Bond USD $ 3.55 3.83 -0.01 0.00 Emerg. Consumer (USD) PA $ 13.01 - 0.15 0.00 European Res.A1 € 33.58 - 0.52 0.00
Atlantas Sicav (LUX)
Invesco Emerging Markets Bond A $ 21.79 - 0.03 4.69
Regulated Franklin Templeton International Services Sarl (IRL) Emerg.Eq. Risk Par.(EUR) PA € 9.59 - 0.17 0.00 European Smaller Companies A1 € 49.53 - 0.68 0.00
American Dynamic $ 3616.75 - -0.04 0.00 CMI Asset Mgmt (Luxembourg) SA (LUX) Dominion Fund Management Limited JPMorgan House - International Financial Services Centre,Dublin 1, Ireland Invesco Continental European Equity A € 9.50 - 0.02 0.19
23 route d'Arlon, L-8010 Strassen Lux 00 352 3178311 PO Box 660 Ground Floor, Tudor House Le Bordage St Peter Port Other International Funds Genesis Asset Managers LLP Emerg. Eq. Risk Par.(USD) PA $ 7.28 - 0.12 0.00 European Value A1 € 37.20 - 0.49 0.00
American One $ 3290.60 - -12.01 0.00 Guernsey - Channel Islands United Kingdom GY1 3PU Other International Funds Invesco Gilt A £ 15.37 - 0.04 1.50
FCA Recognised Franklin Emerging Market Debt Opportunities Fund Plc
+44(0)1481 734343 investorservices@dominion-funds.com www.dominion-funds.com Emerg. Loc.Cur.&Bds DH (CHF) PASFr 8.20 - -0.01 0.00 Global Conc.A1 $ 37.46 - 0.24 0.00
Bond Global € 1411.55 - -9.32 0.00 CMI Global Network Fund (u) Franklin Emg Mkts Debt Opp CHFSFr 17.93 - -0.07 6.25 Emerging Mkts NAV £ 6.24 - 0.06 0.00 Invesco Global Small Cap Equity A NAV $ 127.52 - 0.28 0.00
FCA Recognised Emerg.Loc.Cur.Bd.Fdt PA SFr 9.00 - 0.12 0.00 Global Credit Fund $ 10.67 - 0.01 0.00
Regional Equity Sub Funds
Eurocroissance € 902.42 - -4.31 0.00 DGT Luxury Consumer - £ I £ 139.90 - 0.27 0.00 Franklin Emg Mkts Debt Opp EUR € 12.71 - 0.02 5.92 Invesco Global High Income A NAV $ 13.09 - 0.04 5.22
CMI Continental Euro Equity € 32.05 - 0.03 0.83 Emerg.Loc.Cur.Bd.Fdt PA € 12.40 - 0.12 0.00 Global Energy Fund A1 $ 14.38 - 0.27 0.00
Far East $ 738.63 - 16.85 0.00 DGT Luxury Consumer - £ R £ 134.75 - 0.25 0.00 Franklin Emg Mkts Debt Opp GBP £ 10.56 - 0.04 5.99 HPB Assurance Ltd Invesco Gbl R/Est Secs A GBP F F £ 8.51 - -0.08 0.83
CMI Pacific Basin Enhanced Equity $ 46.76 - 0.72 2.32 Anglo Intl House, Bank Hill, Douglas, Isle of Man, IM1 4LN 01638 563490 Emerg.Loc.Cur.Bd.Fdt PA $ 9.36 - 0.08 0.00 Global Equity A1 $ 47.43 - 0.31 0.00
DGT Managed - £ I £ 1.18 - 0.00 0.00 Franklin Emg Mkts Debt Opp SGD S$ 22.93 - -0.13 5.99 Invesco Global Health Care A $ 137.45 - 0.47 0.00
International Insurances
Single Country Equity Sub Funds Euro BBB-BB Fdt PA SFr 16.03 - 0.01 0.00 Global Equity A1 € 27.74 - 0.21 0.00
BLME Asset Management (LUX) DGT Managed - £ R £ 1.20 - 0.00 0.00 Franklin Emg Mkts Debt Opp USD $ 17.71 - -0.14 6.07 Holiday Property Bond Ser 1 £ 0.50 - -0.01 0.00 Invesco Global Select Equity A $ 14.03 - 0.03 0.00
CMI Japan Enhanced Equity F ¥ 4574.19 - 26.71 0.78 Euro BBB-BB Fdt PA € 12.68 - 0.01 0.00 Global High Yield Fund $ 25.71 - 0.09 0.00
BLME Sharia'a Umbrella Fund SICAV SIF
Holiday Property Bond Ser 2 £ 0.60 - 0.00 0.00 Invesco Jap Eqty Core A $ 1.90 - 0.02 0.00
Regulated CMI UK Equity £ 12.79 - 0.12 2.08 Euro BBB-BB Fdt PA £ 11.17 - 0.01 0.00 Global High Yield Fund € 17.27 - 0.08 0.00
$ Income Fund - Share Class A Acc $ 1140.57 - -0.16 0.00 Dominion Fund Management Limited Franklin Templeton Investment Funds (LUX) Invesco Japanese Equity A $ 19.18 - 0.19 0.00
CMI US Enhanced Equity F $ 79.47 - -0.19 0.55 Euro BBB-BB Fdt PA $ 17.98 - 0.02 0.00 Global Multi-Asset A1 $ 16.59 - 0.13 0.00
Other International Funds 8A rue Albert Borschette / L-1246 Luxembourg
$ Income Fund - Share Class B Acc $ 1160.23 - -0.16 0.00 Hamon Investment Group Invesco Korean Equity A $ 31.19 - -0.08 0.00
Index Tracking Sub Funds DX EVOLUTION PCC LIIMITED - DXE (€) FUND € 120.19 120.19 2.91 0.00 www.franklintempleton.co.uk UK freephone 0 800 305 306
Other International Funds Euro Credit Bd PA F € 13.27 - 0.02 0.00 Global Res.A1 $ 26.97 - 0.21 0.00
$ Income Fund - Share Class C Acc $ 1009.51 - -0.15 0.00 FCA Recognised Invesco PRC Equity A $ 60.50 - 3.88 0.00
Euro Equity Index Tracking € 21.83 - -0.04 1.82
DX EVOLUTION PCC LIMITED - DXE (US$) FUND $ 111.85 111.85 1.30 0.00 Class A Dis Asian Market Leaders - USD $ 29.60 - 1.33 0.00 Euro Government Fdt PA € 12.98 - 0.01 0.00 Global Total Return A1 € 18.56 - 0.09 0.00
$ Income Fund - Share Class D Dis $ 1002.89 - -0.14 - Japan Index Tracking ¥ 840.96 - 4.76 0.86 Invesco Pacific Equity A $ 52.54 - 0.58 0.17
Frk Gbl R.Estate (USD) A Dis $ 10.37 - -0.09 2.21 Asian Market Leaders - GBP £ 15.56 - 0.68 0.00 Euro Inflation-Lk Fdt PA € 12.34 - 0.01 0.00 Inflation-Adjusted Bond A1 $ 14.43 - 0.06 0.00
$ Income Fund - Share Class G Acc £ 1078.82 - -0.12 0.00 UK Eqty Index Tracking £ 16.46 - 0.14 2.85 Invesco Global Technology A $ 15.87 - 0.04 0.00
Frk High Yield $ 6.82 - 0.02 5.29 Greater China - USD $ 12.90 - 0.91 0.00 Euro Resp.Corp. Fdt PA € 18.72 - 0.02 0.00 Japan Equity A1 $ 10.62 - 0.14 0.00
$ Income Fund - Share Class M Acc € 1017.48 - -0.17 0.00 US Eqty Index Tracking $ 58.42 - -0.12 0.78 Invesco UK Eqty A £ 8.66 - 0.12 1.31
Frk Euro Gov. Bond € 11.85 - 0.02 0.99 Greater China - GBP £ 5.48 - 0.39 0.00 Europe High Conviction PA € 11.96 - 0.15 0.00 Latin American Equity Fd A1 $ 15.13 - 0.23 0.00
$ Income Fund - Share Class W DisA$ 1030.55 - -0.40 - Managed Sub Funds
Frk Euro High Yield € 6.74 - 0.01 4.49 Selected Asian P'folio $ 52.97 52.98 0.41 0.00 Eurozone Small&Mid Caps PA € 51.24 - 0.30 0.00 Limited Maturity A1 $ 14.08 - 0.00 0.00
Gl Sukuk Fund - Share Class A Acc $ 1222.76 - 1.48 0.00 Global Bond £ 1.52 - -0.01 0.84
Frk Euro Liquid Reserve € 4.37 - 0.00 0.00 Fdmt.Eq.L/S SH Sd EUR PA € 10.71 - -0.04 - Prudent Wealth Fd A1 $ 14.59 - 0.07 0.00
Gl Sukuk Fund - Share class B Acc £ 1088.76 1088.76 1.35 0.00 Global Network Mgd Global Mxd £ 2.44 - 0.00 0.19
Dragon Capital Group Frk Euro Short Dur Bond Fd € 10.25 - 0.01 0.00 Haussmann Fdmt.Eq.L/S SH Sd USD PA $ 10.71 - -0.04 - Research Bond A1 $ 16.92 - 0.02 0.00
Global Equity £ 2.70 - -0.01 0.01 c/o 1901 Me Linh Point, 2 Ngo Duc Ke, District 1, Ho Chi Minh City, Vietnam Other International Funds
Frk Europ Corp Bond Fd € 11.68 - 0.01 1.63 Gl Aggregate High Conv PA $ 19.00 - 0.00 0.00 UK Equity A1 £ 8.41 - 0.11 0.00
Bond Sub Funds Fund information, dealing and administration: funds@dragoncapital.com
Bank of America Cap Mgmt (Ireland) Ltd (IRL) Haussmann Cls A $ 2825.46 - 17.02 0.00
Other International Funds Frk European Total Return € 10.63 - 0.02 1.35 Gbl.Gvt.Fdmt PA € 11.12 - 0.04 0.00 US Conc.Growth A1 $ 15.65 - 0.09 0.00
Regulated CMI Euro Bond F € 48.47 - 0.01 1.75
Vietnam Enterprise Inv. (VEIL) NAV $ 3.34 - -0.03 0.00 Haussmann Cls C € 2483.62 - 20.44 0.00 Invest AD
Global Liquidity USD $ 1.00 - 0.00 0.22 CMI UK Bond £ 8.26 - 0.02 2.06 Frk Global Aggr.Inv.Grd Bond Fd $ 10.73 - -0.01 0.00 Client services: +971 2 692 6101 clientservices@InvestAD.com Gbl.Gvt.Fdmt.(CHF) PA SFr 23.30 - 0.16 0.00 US Government Bond A1 $ 17.24 - 0.00 0.00
Vietnam Growth Fund (VGF) NAV $ 21.45 - -0.19 0.00 Haussmann Cls D SFr 1322.43 - 9.14 0.00 Other International Funds
CMI US Bond $ 13.52 - 0.03 1.53 Frk Global Aggregate Bond Fd $ 10.17 - -0.01 1.15 Gbl.Gvt.Fdt.SH (CHF) PA SFr 27.44 - -0.01 0.00 Value A1 $ 22.33 - 0.10 0.00
Vietnam Property Fund (VPF) NAV $ 0.80 - 0.00 0.00 Invest AD - Iraq Opportunity Fund $ 62.70 - -0.57 0.00
Barclays Investment Funds (CI) Ltd (JER) Currency Reserve Sub Funds Frk Global Income Fd $ 10.25 - 0.03 5.41 Gbl.5B Fdmt (EUR) PA € 12.19 - 0.04 0.00
39/41 Broad Street, St Helier, Jersey, JE2 3RR Channel Islands 01534 812800 Heartwood Wealth Management Limited (IRL) Invest AD - Emerging Africa Fund $ 1134.06 - -20.31 0.00
CMI Euro Currency Reserve € 24.95 - 0.00 0.65 Frk Income $ 12.66 - 0.01 3.06 Gbl.5B Fdmt (CHF) PA SFr 10.42 - 0.07 0.00 MMIP Investment Management Limited (GSY)
FCA Recognised Regulated
DSM Capital Partners Funds (LUX) Invest AD - GCC Focus Fund $ 1668.55 - 13.27 0.00 Regulated
Bond Funds CMI Stlg Currency Reserve £ 4.93 - 0.00 0.96 Frk US Government $ 9.52 - -0.01 2.17 Heartwood Caut Multi Asset B Acc 144.88 - 0.61 0.00 Gbl.5B Fdmt SH (USD) PA $ 11.25 - 0.02 0.00
www.dsmsicav.com Multi-Manager Investment Programmes PCC Limited
Sterling Bond F £ 0.47 - 0.00 2.49 CMI US Dllr Currency Reserve $ 9.80 - 0.00 0.50 Regulated Frk US Liquid Reserve Inc $ 9.67 - 0.00 0.00 Generation Global (CHF) PA F SFr 13.40 - 0.16 0.00 European Equity Fd Cl A Initial Ser € 2530.62 2540.78 157.49 0.00
CMI Access 80% Gu F € 5.77 - 0.00 0.00 Global Growth I2 Acc € 137.80 - 1.28 0.00 Frk US Low Duration Fd $ 9.93 - 0.01 0.48 Generation Global (EUR) PA F € 21.13 - 0.19 0.00 Japanese Equity Fd Cl A Initial Ser ¥ 345070.00 346218.00 27076.00 0.00
Baring International Fd Mgrs (Ireland) (IRL)
Frk US Total Return $ 11.56 - 0.03 1.42 Generation Global (USD) PA F $ 15.63 - 0.10 0.00 MMIP - US EQUITY CLASS A 01 June 07 Series $ 1380.69 1384.77 79.12 0.00
Northern Trust, George Court 54-62 Townsend Street, Dublin 2 Rep of Ireland 020 7214 1004
FCA Recognised Tem Asian Bond $ 13.47 - -0.02 2.97 Asset Management
Managemen
Asset Management
Global Energy (USD) PA F $ 9.03 - 0.28 0.00 Pacific Basin Fd Cl A Initial Ser $ 2394.32 2414.63 19.17 0.00
ASEAN Frontiers A GBP Inc £ 130.16 - -0.80 0.89
Tem Asian Growth
Asset Management
$ 33.33 - 0.11 0.29
Asset Management Golden Age (CHF) PA F SFr 22.85 - 0.12 0.00 UK Equity Fd Cl A Series 01 £ 2330.61 2353.31 91.20 0.00

Asset Management
 Thursday 9 April 2015 ★ FINANCIAL TIMES 21

MANAGED FUNDS SERVICE

Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield

Diversified Absolute Rtn Fd USD Cl AF2 $ 1645.07 - 21.86 0.00 European Equity Alpha A F € 48.86 - 0.67 0.00 Odey Allegra European GBP D £ 179.37 - 1.66 0.00 Pictet-European Equity Selection-I EUR F € 667.11 - 11.05 0.00 Japan I JPY ¥ 2114.75 - 16.93 0.00 Investments IV - European Private Eq. € 282.02 296.12 0.00 0.00

Diversified Absolute Return Stlg Cell AF2 £ 1663.06 - 21.72 0.00 European Property A F € 36.43 - 0.55 0.00 Odey Allegra International Euro Class € 187.03 - 1.65 0.00 Pictet-European Sust Eq-I EUR F € 257.99 - 3.73 0.00 North American I USD $ 17.78 17.78 0.06 0.00 Investments IV - Global Private Eq. € 428.48 449.91 0.00 0.00

Eurozone Equity Alpha A F € 12.89 - 0.15 0.00 Odey Allegra International GBP Class £ 213.38 - 0.82 0.00 Pictet-Generics-I USD F $ 305.74 - 2.90 0.00 UK Absolute Equity I GBP £ 10.69 10.69 -0.01 - Guide to Data
Manulife Global Fund (LUX) Global Bond A F $ 39.55 - -0.02 0.00 Odey Allegra International USD $ 159.80 - 1.08 0.00 Pictet-Global Bds Fundamental I USD $ 122.13 - 0.70 0.00 Value Partners Hong Kong Limited (IRL)
31 Z.A. Bourmicht, L-8070 Bertrange, Luxembourg www.valuepartners.com.hk / vpl@vp.com.hk
www.manulife.com.hk Global Brands A F $ 95.66 - 1.37 0.00 Odey Allegra International Euro I Class € 171.05 - 1.51 0.00 Pictet-Global Bonds-I EUR € 168.34 - -1.45 0.00 Polar Capital LLP (CYM) Regulated The fund prices quoted on these pages are supplied by
FCA Recognised Regulated the operator of the relevant fund. Details of funds
Global Convertible Bond A F $ 44.51 - 0.45 0.00 Odey Allegra International GBP D inc £ 193.31 - 0.74 0.00 Pictet-Global Emerging Currencies-I USD F $ 100.28 - 1.12 0.00 Stenham Asset Management Inc Value Partners Classic Equity USD Hedged $ 15.28 - 0.51 0.00 published on these pages, including prices, are for the
American Growth Fund Class A F $ 29.4863 - 0.0556 0.00 ALVA Convertible A USD $ 127.51 - 1.16 0.00
www.stenhamassetmanagement.com purpose of information only and should only be used as
Global Property A F $ 29.81 - 0.25 0.00 Odey Allegra International GBP A D £ 142.50 - 0.54 0.00 Pictet-Global Emerging Debt-I USD F $ 359.64 - 3.06 0.00 a guide. The Financial Times Limited makes no
European Conviction A EUR € 161.99 - 2.85 0.00 Other International Funds
American Growth Fund Class AA F $ 1.6760 - 0.0031 0.00 representation as to their accuracy or completeness and
Indian Equity A F $ 38.59 - 0.09 0.00 Odey Allegra Developed Markets Fund USD I $ 135.21 - 0.78 0.00 Pictet-Global Megatrend Selection-I USD F $ 236.89 - -0.29 0.00 Stenham Asia USD $ 134.92 - 2.39 - Veritas Asset Management LLP (IRL) they should not be relied upon when making an
American Growth Fund Class AA (HKD) FHK$ 10.4969 - 0.0177 - European Forager A EUR € 178.01 - 3.32 0.00 HSSI Ltd, 1 Grand Canal Sq, Grand Canal Harbour, Dublin 2, Ireland investment decision.
Latin American Equity A F $ 49.37 - 0.96 0.00 Odey Allegra Developed Markets Fund GBP I £ 141.03 - 0.39 0.00 Pictet-Greater China-I USD F $ 512.42 - 11.80 0.00 Stenham Credit Opportunities A Class USD $ 106.15 - 1.06 0.00 Veritas Funds Plc
Asian Equity Fund Class A F $ 3.4749 - 0.0846 0.39 www.veritas-asset.com The sale of interests in the funds listed on these pages
Short Maturity Euro Bond A F € 20.47 - 0.01 0.00 Odey Atlas Fund GBP I £ 103.09 - -0.79 - Pictet-High Dividend Sel I EUR F € 164.74 - 1.68 0.00 Stenham Emerging Markets USD B1 $ 110.25 - 1.94 0.00 may, in certain jurisdictions, be restricted by law and
Asian Equity Fund Class AA F $ 1.1188 - 0.0272 0.00 Polunin Capital Partners Ltd +353 1 635 6799
the funds will not necessarily be available to persons in
US Dollar Liquidity A F $ 13.03 - 0.00 0.00 Odey Atlas Fund GBP I S £ 1.23 - -0.01 0.00 Pictet-India Index I USD $ 111.81 - 0.23 0.00 Other International Funds Stenham Gold USD $ 164.30 - -7.41 0.00 FCA Recognised all jurisdictions in which the publication circulates.
Asian Small Cap Equity Fund Class AA F $ 2.4460 - 0.0354 0.00 Institutional Persons in any doubt should take appropriate
US Growth A F $ 66.81 - 0.97 0.00 Odey Atlas Fund GBP R S £ 1.05 - -0.01 0.00 Pictet-Indian Equities-I USD F $ 495.69 - 4.49 0.00 Emerging Markets Active $ 43.54 - 1.09 -
Stenham Growth USD $ 221.17 - 8.35 - professional advice. Data collated by Morningstar. For
Asian Small Cap Equity Fund Class AA (HKD)HK$ 9.8942 - 0.1414 - Veritas Asian Fund A USD H $ 334.44 - 5.89 0.65 other queries contact reader.enquiries@ft.com +44
US Growth AH F € 46.10 - 0.68 0.00 Odey Giano European Fund EUR R € 119.83 - -1.26 0.00 Pictet-Japan Index-I JPY F ¥ 16878.90 - 96.52 0.00 Luxcellence Em Mkts Tech $ 1030.67 - -2.90 0.00 (0)207 873 4211.
Stenham Healthcare USD $ 184.16 - 6.49 0.00
China Value Fund Class A F $ 9.7823 - 0.4861 0.67 Veritas Asian Fund A GBP H £ 414.89 - 6.56 0.46
US Growth AX F £ 44.85 - 0.45 0.00 Odey Giano European Fund GBP R £ 120.52 - -1.26 0.00 Pictet-Japanese Equities Opp-I JPY F ¥ 9954.23 - 76.09 0.00 Polunin Developing Countries $ 888.53 896.08 16.80 0.00
Stenham Helix USD $ 31.00 - -73.66 - The fund prices published in this edition along with
China Value Fund Class AA F $ 3.0656 - 0.1523 0.46 Veritas Asian Fund A EUR H € 358.00 - 6.84 0.38 additional information are also available on the
US Property A F $ 72.08 - 0.30 0.00 Odey Giano European Fund USD R $ 121.18 - -1.27 0.00 Pictet-Japanese Equity Selection-I JPY F ¥ 15180.38 - 94.12 0.00 Polunin Discovery - Frontier Markets $ 1397.60 - 9.10 -
Stenham Managed Fund USD $ 117.38 - 3.30 - Financial Times website, www.ft.com/funds. The
Dragon Growth Fund Class A F $ 2.2921 - 0.1306 0.60 Veritas China Fund A USD $ 146.97 - 2.12 0.00 funds published on these pages are grouped together by
Odey Naver Fund Euro I Class € 129.65 - -0.56 0.00 Pictet-LATAM Index I USD $ 65.88 - -0.46 0.00 Polunin Small Cap $ 1417.76 1435.48 -31.28 0.00
Stenham Multi Strategy USD $ 121.85 - 3.60 - fund management company.
Dragon Growth Fund Class AA HKDHK$ 11.0946 - 0.6301 0.57 Veritas China Fund A GBP £ 151.07 - 2.42 0.00
Morgens Waterfall Vintiadis.co Inc Odey Naver Fund GBP I Class £ 130.24 - -0.55 0.00 Pictet-LATAM Lc Ccy Dbt-I USD F $ 127.34 - 2.73 0.00 Stenham Quadrant USD A $ 397.81 - -0.42 - Prices are in pence unless otherwise indicated. The
Emerging Eastern Europe Fund Class AA F $ 1.4981 - 0.0162 0.49 Other International Funds Veritas China Fund A EUR € 146.07 - 2.31 0.00
Odey Odyssey USD I $ 167.91 - 0.79 0.00 Pictet-Pacific Ex Japan Index-I USD F $ 382.44 - 9.76 0.00 Private Fund Mgrs (Guernsey) Ltd (GSY) change, if shown, is the change on the previously
Stenham Trading Inc USD $ 115.20 - -0.11 - quoted figure (not all funds update prices daily). Those
Emerging Eastern Europe Fund Class A F $ 3.4876 - 0.0379 0.88 Phaeton Intl (BVI) Ltd (Est) $ 432.32 - -4.35 0.00 Regulated Veritas Global Equity Income Fund D USD $ 128.16 - 0.61 4.59 designated $ with no prefix refer to US dollars. Yield
Odey Odyssey Fund GBP I £ 167.51 - 0.78 0.00 Pictet-Premium Brands-I EUR F € 171.43 - 0.49 0.00 Stenham Universal USD $ 453.72 - 12.69 -
Monument Growth 31/03/2015 £ 476.38 481.92 -9.27 1.03 percentage figures (in Tuesday to Saturday papers)
European Growth Fund Class A F $ 11.1350 - 0.0457 1.21 Veritas Global Equity Income Fund D EUR € 228.95 - 0.80 3.71 allow for buying expenses. Prices of certain older
Odey Odyssey Fund GBP R £ 164.92 - 0.77 0.00 Pictet-Quality Global Equities I USD $ 137.80 - 2.10 0.00 Stenham Universal II USD $ 168.73 - 4.66 0.00 insurance linked plans might be subject to capital gains
European Growth Fund Class AA F $ 0.8060 - 0.0033 0.59 Veritas Global Equity Income Fund D GBP £ 166.62 - 0.19 4.32 tax on sales.
Odey Odyssey EUR I € 150.33 - 0.71 0.00 Pictet-Russia Index I USD $ 57.88 - 3.90 0.00
Prusik Investment Management LLP (IRL)
Veritas Global Focus Fund D USD $ 26.20 - 0.20 2.78
Global Contrarian Fund Class AA F $ 0.9631 - 0.0019 0.00
Odey Odyssey Fund EUR R € 125.05 - 0.60 0.00 Pictet-Russian Equities-I USD F $ 49.58 - 3.42 0.00 Enquiries - 0207 493 1331 Guide to pricing of Authorised Investment Funds
Stratton Street Capital (CI) Limited (GSY) (compiled with the assistance of the IMA. The
Global Property Fund Class AA F $ 1.0654 - 0.0009 0.72 Regulated Veritas Global Focus Fund D EUR € 24.27 - 0.15 2.48
Regulated Investment Management Association, 65 Kingsway,
Odey Odyssey Fund USD R $ 130.69 - 0.61 0.00 Pictet-Security-I USD F $ 202.40 - -0.26 0.00
Prusik Asian Equity Income B Dist $ 169.60 - 1.80 4.55 London WC2B 6TD. Tel: +44 (0)20 7831 0898.)
Global Resources Fund Class AA F $ 0.8224 - -0.0017 0.00 Japanese Synthetic Warrant ¥ 1409.59 - 4.13 0.00 Veritas Global Focus Fund D GBP £ 29.75 - 0.11 2.33
Odey Orion Fund Euro I Class € 127.41 - 1.29 0.00 Pictet-Select-Callisto I EUR € 106.82 - 0.05 0.00
Prusik Asia A $ 214.66 - 2.25 0.00
Greater China Opportunities Class AA $ 1.1392 - 0.0447 - Natixis International Funds (Lux) I SICAV (LUX) Japan Synthetic Warrant GBP Hedged Participating Shares £ 159.64 - 15.33 0.00 Veritas Global Focus Fund A GBP £ 28.70 - 0.11 2.12 OEIC: Open-Ended Investment Company. Similar to a
Odey Orion Fund USD I Class $ 127.42 - 1.29 0.00 Pictet-Small Cap Europe-I EUR F € 1105.07 - 14.69 0.00 unit trust but using a company rather than a trust
Cannon Bridge House, 25 Dowgate Hill, London, EC4R 2YA 0044 20 3216 9000 Prusik Asian Smaller Cos A $ 165.86 - 2.68 0.00 structure.
Healthcare Fund Class AA F $ 1.9705 - 0.0051 0.00 Japan Synthetic Warrant Fund USD Class $ 15.27 - -0.04 0.00 Veritas Global Focus Fund A EUR € 14.13 - 0.09 1.96
FCA Recognised
Odey Swan Fund Euro I Class € 105.91 - -3.24 0.00 Pictet-ST.MoneyMkt-I € 140.56 - 0.00 0.00
India Equity Fund Class AA F $ 1.5094 - 0.0109 0.00 Harris Global Equity R/A (USD) $ 280.52 280.52 1.79 0.00 Japan Synthetic Warrant US Dollar Hedged Participating Shares $ 158.21 - 15.18 0.00 Veritas Global Focus Fund A USD $ 25.26 - 0.19 2.34 Different share classes are issued to reflect a different
Odey Swan Fund Euro R Class € 104.85 - -3.22 0.00 Pictet-ST.MoneyMkt JPY I USD ¥ 101575.01 - -2.46 0.00 currency, charging structure or type of holder.
Purisima Investment Fds (CI) Ltd (JER)
Veritas Global Focus Fund C GBP £ 30.98 - 0.11 0.00
International Growth Fund Class A F $ 4.7842 - 0.0095 0.13 Harris Concentrated US Equity H-N/A (GBP) £ 149.74 149.74 0.65 0.00 Renminbi Bond Fund AUD Cls A A$ 121.54 - 0.61 3.89
Odey Swan Fund GBP I Class £ 105.90 - -3.22 0.00 Pictet-ST.MoneyMkt-ICHF SFr 124.99 - -0.01 0.00 Regulated
Selling price:Also called bid price. The price at which
International Growth Fund Class AA F $ 1.0990 - 0.0022 0.00 Harris Concentrated US Equity R/D (GBP) £ 109.53 109.53 0.14 32.05 PCG B 168.65 - 1.09 0.00 Renminbi Bond Fund AUD Cls B A$ 123.50 - 0.62 3.63 Veritas Global Focus Fund C EUR € 25.38 - 0.16 0.00 units in a unit trust are sold by investors.
Odey Swan Fund GBP R Class £ 110.02 - -3.35 0.00 Pictet-ST.MoneyMkt-IUSD $ 134.92 - 0.00 0.00
Japanese Growth Fund Class A F $ 3.4466 - 0.0273 0.61 Loomis Sayles Strategic Alpha Bond Fund H-N/D(GBP) £ 100.34 100.34 0.16 2.17 PCG C 166.49 - 1.07 0.00 Renminbi Bond Fund CHF Cls A SFr 120.47 - 0.56 3.89 Veritas Global Focus Fund C USD $ 27.34 - 0.21 0.00
Odey Swan Fund USD I Class $ 105.19 - -3.21 0.00 Pictet-Timber-I USD F $ 161.03 - -1.09 0.00 Buying price: Also called offer price. The price at
Veritas Global Equity Income Fund A GBP £ 159.95 - 0.18 4.34
which units in a unit trust are bought by investors.
Japanese Growth Fund Class AA F $ 0.8869 - 0.0070 0.00 Renminbi Bond Fund CHF Cls B SFr 120.38 - 0.56 3.64 Includes manager’s initial charge.
Odey Swan Fund USD IR Class $ 104.79 - -3.13 0.00 Pictet Total Ret-Agora I EUR € 110.71 - 0.13 -
Latin America Equity Fund Class AA F $ 0.9237 - 0.0150 1.53 Natixis International Funds (Dublin) I plc (IRL) Putnam Investments (Ireland) Ltd (IRL) Renminbi Bond Fund CNH Cls A CNH 123.97 - 0.56 3.48 Veritas Global Equity Income Fund A EUR € 222.80 - 0.78 3.73
Cannon Bridge House, 25 Dowgate Hill, London, EC4R 2YA +44 (0)20 3216 9000 Odey Swan Fund USD R Class $ 104.27 - -3.19 0.00 Pictet Total Ret-Corto Europe I EUR € 134.36 - -0.05 0.00 Regulated
Single price: Based on a mid-market valuation of the
Russia Equity Fund Class AA F $ 0.4660 - 0.0070 0.00 Renminbi Bond Fund CNH Cls B CNH 123.85 - 0.57 3.23 Veritas Global Equity Income Fund A USD $ 123.53 - 0.59 4.61 underlying investments. The buying and selling price
Regulated for shares of an OEIC and units of a single priced unit
Odey European Absolute Return Fund EUR I € 99.49 - -1.47 0.00 Pictet Total Ret-Divers Alpha I EUR € 104.73 - -0.06 - Putnam New Flag Euro High Yield Plc - E € 1049.46 - 2.11 4.73
Taiwan Equity Fund Class AA F $ 1.6422 - -0.0192 0.21 Loomis Sayles Global Opportunistic Bond R/D (GBP) £ 14.28 14.28 -0.04 0.97 Renminbi Bond Fund Euro Cls B € 121.51 - 0.58 3.65 Veritas Global Equity Income Fund C GBP £ 186.45 - 0.21 - trust are the same.
Odey European Absolute Return Fund GBP I £ 99.02 - -1.51 0.00 Pictet Total Ret-Kosmos I EUR € 109.00 - 0.00 0.00
Turkey Equity Fund Class AA F $ 0.8359 - 0.0029 0.00 Loomis Sayles High Income R/D (USD) $ 9.53 9.53 0.05 12.88 Renminbi Bond Fund GBP Cls B £ 123.13 - 0.59 3.45 Veritas Global Equity Income Fund C EUR € 258.96 - 0.90 - Treatment of manager’s periodic capital charge:
Odey European Absolute Return Fund USD I $ 99.88 - -1.31 0.00 Pictet Total Ret-Mandarin I USD $ 121.85 - 2.21 0.00 RECM Global Management Limited (GSY) The letter C denotes that the trust deducts all or part of
US Bond Fund Class AA F $ 1.2284 - 0.0018 3.89 Loomis Sayles Multisector Income R/D (GBP) £ 14.19 14.19 0.02 4.14 www.recmglobal.com Enquiries: info@recmglobal.com Renminbi Bond Fund SGD Cls B S$ 122.13 - 0.59 3.42 Veritas Global Equity Income Fund C USD $ 143.10 - 0.69 - the manager’s/operator’s periodic charge from capital,
Odey European Absolute Return Fund EUR R € 94.58 - -1.46 0.00 Pictet-US Equity Selection-I USD $ 194.62 - -0.09 0.00 Regulated
contact the manager/operator for full details of the
U.S. Bond Fund Class AA Inc F $ 1.0143 - 0.0015 - Renminbi Bond Fund USD Cls B $ 122.73 - 0.59 3.21 Veritas Global Real Return Fund A USD $ 21.13 - 0.05 2.01 effect of this course of action.
Odey European Absolute Return Fund GBP R £ 98.67 - -1.51 0.00 Pictet-US High Yield-I USD F $ 149.11 - 0.21 0.00 RECM Global Fund Limited - Class A $ 17.52 - 0.32 0.00
US Bond Fund Class AA (HKD) HK$ 10.0647 - 0.0127 - Renminbi Bond Fund YEN Cls B ¥ 13562.53 - 63.85 0.00 Veritas Global Real Return Fund A GBP £ 11.76 - 0.03 2.00 Exit Charges: The letter E denotes that an exit charge
Odey European Absolute Return Fund USD R $ 99.41 - -1.34 0.00 Pictet-USA Index-I USD F $ 181.96 - -0.37 0.00 RECM Global Equity Fund Limited - Class A $ 9.01 - 0.20 0.00 may be made when you sell units, contact the
U.S. Bond Fund Class AA (HKD) IncHK$ 10.0420 - 0.0130 - Renminbi Bond Fund USD Class $ 169.01 - 0.81 3.46 Veritas Global Real Return Fund A EUR € 12.44 - 0.03 0.16 manager/operator for full details.
Odey European Absolute Return Fund EUR S € 99.74 - -1.48 0.00 Pictet-USD Government Bonds-I F $ 641.75 - -0.87 0.00
U.S. Special Opportunities Fund Class AA F $ 0.9278 - 0.0025 7.07 Renminbi Bond Fund GBP Class £ 163.93 - 0.79 3.70 Retail
Time: Some funds give information about the timing of
Odey European Absolute Return Fund GBP S £ 100.53 - -1.29 0.00 Pictet-USD Short Mid-Term Bonds-I F $ 129.50 - 0.07 0.00
Veritas Asian Fund B USD $ 234.37 - 4.15 0.46 price quotes. The time shown alongside the fund
U.S. Special Opportunities Fund Class AA (HKD)HK$ 9.5885 - 0.0240 - Renminbi Bond Fund SGD Class S$ 161.59 - 0.79 3.66 manager’s/operator’s name is the valuation point for
Odey European Absolute Return Fund USD S $ 99.97 - -1.35 0.00 Pictet-USD Sov.ST.Mon.Mkt-I $ 102.52 - 0.00 0.00
Veritas Asian Fund B GBP £ 305.57 - 4.89 0.04 their unit trusts/OEICs, unless another time is indicated
U.S. Special Opportunities Fund Class AA Inc $ 0.9333 - 0.0025 - New Capital Fund Management Ltd (IRL) Renminbi Bond Fund YEN Class ¥ 20049.04 - 94.59 0.00 by the symbol alongside the individual unit trust/OEIC
Leconfield House, Curzon Street, London, W1J 5JB Pictet-Water-I EUR F € 288.02 - 2.04 0.00 name.
Veritas Asian Fund B EUR € 263.38 - 4.98 0.00
US Small Cap Equity Fund Class AA F $ 1.1730 - -0.0041 0.00 FCA Recognised Renminbi Bond Fund EUR Class € 111.62 - 0.53 3.90
Odey Wealth Management (CI) Ltd (IRL)
Veritas China Fund B GBP £ 145.43 - 2.24 0.00
New Capital UCITS Funds The symbols are as follows: ✠ 0001 to 1100 hours; ♦
US Treasury Inflation-Protected Securities Fund Class AA F $ 1.3101 - -0.0009 0.06 www.odey.com/prices Poland Geared Growth £ 0.51 - -0.02 0.00 1101 to 1400 hours; ▲1401 to 1700 hours; # 1701 to
FCA Recognised Pimco Fds: Global Investors Series Plc (IRL) Robeco Asset Management (LUX)
Veritas China Fund B EUR € 152.42 - 2.07 0.00
Asia Pac Bd USD Inst Inc $ 97.01 - 0.18 3.09 midnight. Daily dealing prices are set on the basis of
PIMCO Europe Ltd,11 Baker Street,London W1U 3AH Coolsingel 120, 3011 AG Rotterdam, The Netherlands. the valuation point, a short period of time may elapse
Odey Opportunity EUR I € 229.14 - 1.80 0.00 http://gisnav.pimco-funds.com/
Asia Pac Bd USD Ord Inc $ 98.97 - 0.17 2.38 www.robeco.com/contact Veritas Global Focus Fund B USD $ 18.23 - 0.14 1.69 before prices become available.Historic pricing: The
Manulife Global Fund Dealing: +44 20 3640 1000 FCA Recognised letter H denotes that the managers/operators will
Other International Funds Asia Pac Eq EUR Ord Inc € 103.38 - 0.40 2.84 Veritas Global Focus Fund B GBP £ 21.92 - 0.08 1.68 normally deal on the price set at the most recent
PIMCO Funds: +44 (0)20 3640 1407
Asia-Pacific Equities (EUR) € 150.09 - 2.96 0.00 valuation. The prices shown are the latest available
Asia Total Return Fund Class AA $ 1.0009 - 0.0014 - Omnia Fund Ltd FCA Recognised before publication and may not be the current dealing
Asia Pac Eq GBP Ord Inc £ 106.78 - 0.40 3.21 Veritas Global Focus Fund B EUR € 16.82 - 0.10 1.57
Other International Funds Asia Local Bond Fund - Inst Acc $ 10.16 - -0.02 0.00 Chinese Equities (EUR) € 92.95 - 3.77 0.00 levels because of an intervening portfolio revaluation or
Asia Total Return Fund Class AA (HKD) Inc FHK$ 10.0732 - 0.0123 - a switch to a forward pricing basis. The
Asia Pac Eq USD Ord Inc $ 107.62 - 0.40 2.63 Veritas Global Equity Income Fund B GBP £ 147.62 - 0.16 4.39
Estimated NAV $ 1025.22 - 46.07 0.00 Em Stars Equities (EUR) € 203.67 - 6.00 0.00 managers/operators must deal at a forward price on
Asia Total Return Fund Class AA Inc $ 0.9599 - 0.0014 3.24 Capital Securities Inst Acc $ 14.98 - 0.03 0.00 request, and may move to forward pricing at any time.
Asia Pac Eq USD Inst Acc $ 111.57 - 0.42 0.00 Veritas Global Equity Income Fund B EUR € 205.12 - 0.72 3.77
CommoditiesPLUS111sp Strategy - Inst Acc $ 7.52 - 0.03 0.00 Emerging Markets Equities (EUR) € 172.76 - 4.25 0.00 E.I. Sturdza Strategic Management Limited (GSY) Forward pricing: The letter F denotes that that
Asia Value Dividend Equity Fund Class AA F $ 1.7562 - 0.0389 0.00 Regulated
managers/operators deal at the price to be set at the
Asia Pac Eq USD Inst Inc $ 119.77 - 0.42 3.26 Veritas Global Equity Income Fund B USD $ 122.86 - 0.59 4.66 next valuation.
Credit Absolute Return Fund Inst Acc $ 11.49 - 0.03 0.00 Flex-o-Rente (EUR) € 108.47 - 0.04 0.00
Asia Value Dividend Equity Fund Class AA Inc $ 1.0811 - 0.0253 - Nippon Growth Fund Limited ¥ 104155.00 - -1051.00 0.00
Dyn Europ Eq EUR Ord Inc € 177.76 - -0.36 1.10 Veritas Global Real Return Fund B USD $ 20.48 - 0.04 1.58
Diversified Income - Inst Acc $ 19.94 - 0.06 0.00 Glob.Consumer Trends Equities (EUR) € 160.10 - 2.70 0.00 Investors can be given no definite price in advance of
Strategic Income Fund Class AA F $ 1.0997 - 0.0010 4.40 Strat Evarich Japan Fd Ltd JPY ¥ 93545.00 - 1607.00 0.00 the purchase or sale being carried out. The prices
Dyn Europ Eq GBP Ord Inc £ 189.23 - -0.39 1.65 Veritas Global Real Return Fund B GBP £ 11.54 - 0.03 1.59
Diversified Income Durat Hdg Fund Inst Acc $ 11.58 - 0.03 0.00 High Yield Bonds (EUR) € 127.12 - 0.35 0.00 appearing in the newspaper are the most recent
Strat Evarich Japan Fd Ltd USD $ 933.49 - 16.23 0.00 provided by the managers/operators. Scheme
Dyn Europ Eq USD Ord Inc $ 177.96 - -0.36 1.13 Veritas Global Real Return Fund B EUR € 13.32 - 0.03 1.40
Lux -O- Rente (EUR) € 140.43 - 0.04 0.00 particulars, prospectus, key features and reports: The
Marlborough International Management Limited (GSY) EM Fundam.Ind StocksPLUS Fund Inst Acc $ 10.93 - 0.04 0.00 most recent particulars and documents may be obtained
China Equity EUR Ord Acc € 160.47 - 0.04 0.00
Tudor House, Le Bordage, St Peter Port, Guernsey, CI, GY1 1DB +44 1481 71520 Optima Fund Management Emerging Asia Bond Fund Inst Acc $ 10.28 - -0.03 0.00 New World Financials (EUR) € 58.73 - 0.79 0.00 free of charge from fund managers/operators. *
FCA Recognised E.I. Sturdza Funds PLC (IRL) Indicates funds which do not price on Fridays.
China Equity GBP Ord Acc £ 165.87 - 0.07 0.00 Other International Funds Veritas Asset Management LLP
US Premium Equities (EUR) € 185.07 - -0.33 0.00 Regulated
Marlborough North American Fund Ltd £ 32.49 32.82 0.33 0.00 Emerging Multi-Asset Fund Inst Acc $ 8.96 - 0.08 0.00 www.veritas-asset.com
JENOP Global Healthcare Fund Ltd $ 16.59 - 0.47 0.00 Charges for this advertising service are based on the
China Equity USD Ord Acc $ 163.31 - 0.08 0.00 Nippon Growth (UCITS Fund Euro Hedged Class EUR) € 1140.92 - 14.03 0.00 Other International Funds
Emerging Local Bond - Inst Acc $ 12.34 - -0.06 0.00 US Premium Equities (USD) $ 207.49 - -0.33 0.00 number of lines published and the classification of the
Marlborough Tiger Fund Ltd F £ 28.07 28.35 0.47 0.00 Optima Fd NAV (Est) $ 93.35 - -0.74 0.00 fund. Please contact data@ft.com or call
China Equity USD Inst Acc $ 166.90 - 0.09 0.00 Nippon Growth (UCITS Fund Euro Hedged Institutional Class EUR) € 1337.93 - 16.56 0.00 Real Return Asian Fund USD (Est) € 293.89 - 6.21 0.00 +44 (0)20 7873 3132 for further information.
Emerging Markets Bond - Inst Acc $ 39.53 - 0.16 0.00
Optima Discretionary Macro Fund Limited $ 87.21 - -1.06 0.00
Global Val.Cr.Fd GBP Ord Inc £ 115.72 - 0.14 3.76 Nippon Growth (UCITS) Fund JPY Class A shares ¥ 104588.00 - 1299.00 0.00 Real Return Asian Fund GBP (Est) £ 312.35 - 6.60 0.00
Marwyn Asset Management Limited (CYM) Emerging Markets Corp.Bd Fund Inst Acc F $ 13.36 - 0.03 0.00
The Dorset Energy Fd Ltd NAV $ 41.51 - 0.32 0.00
Regulated Global Val.Cr.Fd USD Inst Acc $ 125.48 - -0.02 0.00 Nippon Growth (UCITS) Fund JPY Class B Acc shares ¥ 87729.00 - 1090.00 0.00 Real Return Asian Fund EUR (Est) $ 307.37 - 6.25 0.00
Emerging Markets Curr.Fd- Inst Acc $ 12.58 - -0.04 0.00
Platinum Fd Ltd (Est) $ 89.23 - 0.33 0.00
Marwyn Value Investors £ 496.20 - 30.60 0.00 Global Val.Cr.Fd GBP Ord Acc £ 181.22 - 0.23 0.00 Nippon Growth (UCITS) Fund JPY Class C Dis shares ¥ 85219.00 - 1059.00 0.00
Platinum Fd Ltd EUR (Est) € 17.41 - 0.06 0.00
Euro Bond - Inst Acc € 23.42 - 0.05 0.00
Asset Management
Meridian Fund Managers Ltd
Global Val.Cr.Fd USD Ord Acc

Global Val.Cr.Fd EUR Ord Acc

$ 170.46

€ 159.31
-

-
0.22 0.00

0.22 0.00
Platinum Japan Fd Ltd (Est) $ 53.86 - 0.18 0.00
Euro Credit - Inst Acc € 15.07 - 0.00 0.00
Nippon Growth (UCITS Fund Class D Institutional JPY) ¥ 56615.00

Strategic China Panda Fund USD $ 2434.63

-

-
708.00 0.00

25.02 0.00
waverton.investments@citi.com
FCA Recognised
Asset Management
Waverton Investment Funds Plc (1600)F (IRL)

Euro Income Bond - Inst Acc F € 13.21 - 0.02 0.00 S W Mitchell Capital LLP (CYM)
Other International Funds Optima Partners Global Fd $ 14.75 - -0.11 0.00
Swiss Select Equity Inst Acc SFr 116.38 - 0.00 0.00 Regulated Strategic China Panda Fund Hedged EURO € 2364.91 - 23.67 0.00 Waverton Asia Pacific A USD $ 20.47 - 0.20 1.04
Global Gold & Resources Fund $ 190.71 - -8.58 - Euro Long Average Duration - Inst Acc € 24.46 - -0.10 0.00
Optima Partners Focus Fund A $ 17.23 - -0.14 0.00 S W Mitchell European Fund Class A EUR € 336.82 - 20.48 -
Swiss Select Equity Ord Acc SFr 115.58 - -0.01 0.00 Strategic China Panda Fund Hedged Sterling £ 2400.28 - 24.68 0.00 Waverton European Fund A Eur € 19.08 - 0.01 0.31
Global Energy & Resources Fund $ 45.86 - 0.24 - Euro Low Duration Fund Inst Acc € 11.43 - 0.00 0.00
S W Mitchell Small Cap European Fund Class A EUR € 229.05 - 9.70 -
US Growth USD Ord Acc $ 206.54 - 0.49 0.00 Strategic Euro Bond Accumulating Class CHFSFr 1014.90 - 0.56 0.00 Waverton Global Bond Fund Cls A $ 9.31 - 0.01 5.11
Euro Real Return - Inst Acc € 13.77 - 0.01 0.00
US Growth EUR Ord Acc € 197.65 - 0.47 0.00
Orbis Investment Management Ltd (BMU) The Charlemagne Fund EUR € 333.22 - 22.97 -
Strategic Euro Bond Institutional Class EUR € 1032.09 - 0.81 0.00 Waverton Global Equity Fund A GBP £ 15.06 - -0.07 0.24
Metage Capital Regulated Euro Short-Term Inst Acc € 12.34 - 0.01 0.00
Other International Funds US Growth GBP Ord Acc £ 206.82 - 0.49 0.00 Orbis Global Equity $ 176.89 - 1.82 0.00 Strategic Euro Bond Fund Accumulating Class Shares € 1159.57 - 0.87 0.00 Waverton UK Fund A GBP £ 13.73 - 0.12 1.84
Euro Short-Term Inv Acc € 11.96 - 0.00 0.00
US Growth USD Inst Acc $ 189.34 - 0.99 0.00
S W Mitchell Capital LLP (IRL)
MGS -Master Series (Est) $ 226.61 - 2.15 - Orbis Optimal (US$) $ 73.90 - 0.24 0.00 Strategic Euro Bond Fund Distributing Class Shares € 1060.24 - 0.80 0.00 Waverton Equity Fund A GBP £ 15.97 - 0.07 0.00
Euro Ultra Long Duration - Inst Acc € 33.71 - -0.18 0.00 Regulated
MEMO - Master Series (Est) $ 493.90 - -0.78 0.00 Wealthy Nat Bd EUR Inst Inc € 113.26 - 0.24 3.87 Orbis Optimal (Euro) € 25.43 - 0.05 0.00 SWMC European Fund B EUR € 16756.32 - 206.46 0.00 Strategic Global Bond RMB Acc CNY 1106.99 - 1.78 0.00 Waverton Sterling Bond Fund A GBP £ 9.96 - 0.01 5.17
Global Advantage - Inst Acc $ 12.61 - -0.05 0.00
MEMO - MEMV Series (Est) $ 117.19 - -0.16 0.00 Wealthy Nat Bd GBP Inst Inc £ 117.01 - 0.23 3.73 Orbis Optimal (Yen) ¥ 1057.00 - 3.00 0.00 SWMC UK Fund B £ 11029.02 - 66.53 0.00 Strategic Global Bond USD Acc $ 1067.29 - 0.94 0.00
Global Advantage Real Return Fund Inst Acc $ 9.28 - -0.05 0.00
Wealthy Nat Bd EUR Ord Inc € 112.26 - 0.05 3.59 Orbis Japan Equity (US$) $ 44.91 - 0.32 0.00 SWMC Small Cap European Fund B EUR € 13748.48 - 150.24 0.00 Strategic US Momentum and Value Fund $ 853.84 - 1.98 0.00 WA Fixed Income Fund Plc (IRL)
Global Bond - Inst Acc $ 28.37 - 0.07 0.00 Regulated
Mirabaud Asset Management (LUX) Wealthy Nat Bd GBP Ord Inc £ 117.61 - 0.23 3.49 *Orbis Prices as of April 2nd SWMC Emerging European Fund B EUR € 9542.69 - 146.11 0.00 Strategic US Momentum and Value EUR Hedged Class EUR € 594.91 - 1.34 0.00
www.mirabaud.com, marketing@mirabaud.com Global Bond Ex-US - Inst Acc $ 19.91 - 0.04 0.00 European Multi-Sector € 123.25 - 0.28 0.00
Wealthy Nat Bd USD Ord Inc $ 114.44 - 0.08 3.45 Strategic US Momentum and Value CHF Hedged Class CHFSFr 590.15 - 1.25 0.00
Regulated
Global Fundam.Index StocksPLUSInst Acc $ 12.07 - 0.03 0.00
New Capital Alternative Strategies Orbis Sicav (LUX)
Mir. Conv. Bds Eur A EUR € 138.78 - 0.70 0.00
Regulated Global High Yield Bond - Inst Acc $ 20.41 - 0.05 0.00 Winton Capital Management
All Weather Fd USD Cls $ 121.10 - 1.24 0.00
Mir. Conv. Bds Glb A USD $ 117.27 - 0.27 0.00 Orbis Japan Equity (Yen) ¥ 4390.00 - 31.00 0.00 The Hartford International Funds (IRL) Other International Funds
Global Investment Grade Credit - Inst Income $ 12.63 - 0.03 3.47 Regulated
All Weather Fd EUR Cls € 109.20 - 1.09 0.00 Winton Futures USD Cls B $ 1049.65 - 2.16 0.00
Mir. - Eq Asia ex Jap A $ 199.12 - 2.91 0.00 Orbis Japan Equity (Euro) € 29.04 - 0.21 0.00
Global Investment Grade Credit Fund Inst Acc € € 12.07 - 0.17 0.00 Gbl Govt Bond (Ex Japan) Index (GBP) £ 1652.40 - -0.71 0.00
All Weather Fd GBP Cls £ 117.45 - 1.16 0.00 Winton Futures EUR Cls C € 294.58 - 0.52 0.00
Mir. - Eq Glb Emrg Mkt A USD $ 107.57 - 1.20 0.00 Orbis Asia ex-Japan - Investor Shares $ 22.61 - 0.51 0.00
Global Investment Grade Credit Fund Inst Acc $ $ 16.96 - 0.05 0.00 UK Corporate Bond £ 1607.23 - 2.37 0.00
Tactical Opps USD Cls $ 175.92 - -4.94 0.00 Winton Futures GBP Cls D £ 321.70 - 0.67 0.00
Mir. - Eq Global A USD $ 132.54 - 0.12 0.00 Orbis Global Equity - Investor Shares € 160.93 - -0.47 0.00 RobecoSAM (LUX)
Global Multi-Asset - Inst Acc $ 15.27 - 0.10 0.00 Gilt £ 1605.28 - 3.17 0.00
Tactical Opps EUR Cls € 147.57 - -4.44 0.00 Tel. +41 44 653 10 10 http://www.robecosam.com/ Winton Futures GBP Cls F £ 124.09 - 0.26 0.00
Mir. -Eq Spain A € 29.63 - 0.36 0.00
Global Real Return - Inst Acc $ 18.68 - 0.04 0.00 Regulated Global Eq (Ex Japan) Index Fund ¥ 1.43 - 0.01 0.00
Tactical Opps GBP Cls £ 166.09 - -4.07 0.00 Winton Evolution USD Cls F $ 1812.57 - 5.37 0.00
Mir. - Eq Swiss Sm/Mid A SFr 316.94 - 3.08 0.00 Oryx International Growth Fund Ltd RobecoSAM Sm.Energy/A £ 13.09 - 0.08 1.13
High Yield Bond - Inst Acc $ 28.40 - 0.08 0.00 Global Eq (ex Japan) Class HJ4 ¥ 1.48 - 0.00 0.00
Other International Funds Winton Evolution EUR Cls H € 1425.23 - 3.80 0.00
Mir. - Glb High Yield Bds A $ 111.33 - 0.13 - RobecoSAM Sm.Materials/A £ 139.33 - 0.97 1.79
NAV (Fully Diluted) £ 5.52 - 0.04 0.00 Income Fund Inst Acc $ 12.25 - 0.01 0.00 Global Eq (ex Japan) Class JP5 ¥ 1.60 - 0.02 0.00
Mir. - Glb Eq High Income A USD $ 106.72 - 0.24 0.00 Winton Evolution GBP Cls G £ 1447.12 - 4.33 0.00
RobecoSAM Gl.Small Cap Eq/A £ 86.53 - 0.24 1.59
Inflation Strategy Fund Inst Acc $ 9.80 - -0.01 0.00 Global Eq Ex Japan Index Fund (Hedge) ¥ 1.47 - 0.02 0.00
Mir. - Glb Strat. Bd A USD $ 107.73 - 0.10 0.00 Winton Futures JPY Cls E ¥ 20624.60 - 38.32 0.00
RobecoSAM Sustainable Gl.Eq/B € 190.56 - 2.51 0.00
Low Average Duration - Inst Acc $ 14.84 - 0.02 0.00 Gbl Govt Bond (Ex Japan) Index ¥ 1.35 - 0.01 0.00
RobecoSAM S.HealthyLiv/B € 195.77 - 1.11 0.00
PIMCO EqS Emerging Markets Fund Inst Acc $ 8.78 - 0.09 0.00 Gbl Govt Bond (ex Japan) Class JP4 ¥ 1.32 - 0.00 0.00
RobecoSAM S.Water/A £ 175.17 - 0.99 2.18
PIMCO EqS Pathfinder.Eur.Fd Inst Acc F € 16.69 - 0.24 0.00 Japan Equity Index Fund ¥ 1.09 - 0.01 0.00
Northwest Investment Management (HK) Ltd
11th Floor, Kinwick Centre, 32, Hollywood Road, Central Hong Kong +852 9084 4373 PIMCO EqS Pathfinder.Fd Inst Acc F $ 14.74 - 0.18 0.00 Japan Equity Class JP3 ¥ 1.32 - 0.01 0.00
Other International Funds
Permal Investment Mgmt Svcs Ltd Socially Resp.Emerg.Mkts Bd Fd Inst Acc F $ 13.28 - 0.03 0.00
Northwest $ class $ 2396.68 - 24.70 0.00
www.permal.com The National Investor (TNI)
StocksPLUS{TM} - Inst Acc $ 23.47 - -0.03 0.00
Northwest Warrant $ class $ 2280.68 - 304.87 0.00 Other International Funds
Montello Real Estate Opportunity Fund (LUX) www.tni.ae
101 New Cavendish Street,London W1W 6XH Offshore Fund Class A US $ Shares Total Return Bond - Inst Acc $ 27.61 - 0.09 0.00 Other International Funds
Regulated Investment Holdings N.V. $ 5529.01 - 127.18 0.00 UK Corporate Bond - Inst Acc £ 17.62 - -0.01 0.00 TNI Blue Chip UAE Fund * AED 10.80 - 0.11 0.00
Montello Real Estate Opportunity Fund II £ 1093.42 - 6.58 0.00 Schroder Property Managers (Jersey) Ltd Yuki International Limited (IRL)
Macro Holdings Ltd $ 4233.05 - -22.44 0.00 UK Long Term Corp. Bnd Inst-Inst Acc £ 19.85 - -0.04 0.00 TNI Funds Ltd (BMU)
Other International Funds Tel +44-20-7269-0207 www.yukifunds.com
Fixed Income Holdings N.V. $ 405.85 - 5.49 7.88 UK Real Return - Inst Acc £ 23.79 - 0.02 0.00 MENA Hedge Fund $ 1012.08 - 46.25 0.00 Regulated
Indirect Real Estate SIRE £ 126.51 131.62 0.50 3.22
Morant Wright Management Ltd (CYM) TNI Funds Plc (Ireland) Yuki Mizuho Umbrella Fund
Jubilee Absolute Return Fund $ 157.82 - -0.85 0.00 UK Sterling Long Average Duration - Inst Acc £ 22.85 - -0.06 0.00
Regulated
MENA UCITS Fund * $ 1297.00 - 1.25 0.00 Yuki Mizuho Japan Dynamic Growth ¥ 7225.00 - 43.00 0.00
MW Japan Fd Ltd A $ 24.95 - -0.20 0.00 UK Sterling Low Average Duration - Inst Acc £ 14.24 - 0.01 0.00
Oasis Crescent Management Company Ltd SIA (SIA Funds AG) (LUX) Yuki Mizuho Japan Large Cap ¥ 7496.00 - 18.00 0.00
MW Japan Fd Ltd B $ 25.24 - -0.21 0.00 Other International Funds Unconstrained Bond - Inst Acc $ 12.23 - 0.03 0.00 Regulated
LTIF Alpha € 173.90 - 1.94 0.00 Yuki Japan Low Price ¥ 26132.00 - 274.00 0.00
Oasis Crescent Equity Fund R 9.65 - 0.04 0.00 US Fundam.Index StocksPLUS Inst Inc $ 12.80 - 0.00 0.00
LTIF Classic € 371.41 - 5.34 0.00 Yuki Japan Value Select ¥ 12733.00 - 190.00 0.00
Morant Wright Funds (Ireland) PLC (IRL)
FCA Recognised YMR Umbrella Fund
LTIF Natural Resources € 84.63 - 1.41 0.00
Oasis Global Mgmt Co (Ireland) Ltd (IRL)
Morant Wright Fuji Yield CHF Acc HedgedSFr 11.54 - 0.07 - YMR N Growth ¥ 17498.00 - 102.00 0.00
Regulated

Morant Wright Fuji Yield EUR Acc Hedged € 11.34 - 0.07 -

Oasis Global Investment (Ireland) Plc Pictet Funds (Europe) SA (LUX)
Toscafund Asset Management Yuki Asia Umbrella Fund

set Management
15, Avenue J.F. Kennedy L-1855 Luxembourg SIA (SIA Funds AG) (CH) (CYM)
Oasis Global Equity $ 28.21 - 0.22 0.17 Yuki Japan Rebounding Growth Fund ¥ 23894.00 - 217.00 0.00

Asset Management Asset Management

Morant Wright Fuji Yield GBP Acc Hedged £ 11.56 - 0.06 - Tel: 0041 58 323 3000 Other International Fds Regulated
Oasis Crescent Global Investment Fund (Ireland) plc FCA Recognised
LTIF Stability Growth SFr 211.20 - 0.70 - Tosca $ 289.59 - 3.47 0.00
Morant Wright Fuji Yield USD Acc Hedged $ 11.27 - 0.07 -
Oasis Crescent Global Equity Fund $ 28.82 - 0.24 0.00 Pictet-Absl Rtn Fix Inc-HI EUR € 108.05 - 0.01 0.00
Platinum Capital Management Ltd LTIF Stability Inc Plus SFr 187.60 - 0.60 5.42 Tosca Mid Cap GBP £ 240.87 - 13.28 0.00 Zadig Gestion (Memnon Fund) (LUX)
Morant Wright Fuji Yield USD Dist Hedged $ 11.53 - 0.06 - FCA Recognised
OasisCresGl Income Class A $ 11.02 - 0.02 2.49 Pictet-Absl Rtn Glo Div-I EUR F € 130.88 - 0.74 0.00 Other International Funds
Tosca Opportunity B USD $ 313.41 - 20.23 0.00
Morant Wright Fuji Yield YEN Acc ¥ 1154.91 - 6.51 - Memnon European Fund I GBP £ 120.74 - 1.10 0.00
OasisCresGl LowBal D ($) Dist $ 12.19 - 0.06 0.00 Pictet-Agriculture-I EUR F € 207.02 - 1.53 0.00 Platinum All Star Fund - A (Est) $ 118.89 - - -
Morant Wright Fuji Yield YEN Dist ¥ 1154.91 - 6.51 - SMT Fund Services (Ireland) Limited
OasisCresGl Med Eq Bal A ($) Dist $ 12.38 - 0.07 0.04 Pictet-Asian Equities Ex Japan-I USD F $ 235.47 - 3.96 0.00 Platinum Global Dividend Fund - A (Est) $ 61.67 - - - Regulated
Morant Wright Sakura Fund Sterling Acc Hedged £ 14.01 - 0.12 0.00
Pictet-Asian Local Currency Debt-I USD F $ 157.22 - 0.74 0.00 Monthly Dividend High Yield $ 6.99 - 0.03 0.00
Zebedee Capital Partners LLP (CYM)
Oasis Crescent Gbl Property Eqty $ 9.89 - 0.02 1.56 Platinum Global Dividend UCITS Fund $ 73.59 73.59 0.27 8.46
Regulated
Morant Wright Sakura Fund Euro Acc Hedged € 13.97 - 0.12 0.00 Daiwa Gaika MMF
Pictet-Biotech-I USD F $ 861.79 - 7.17 0.00 Platinum Arbitrage Opportunities Fund Ltd Class A (Est) $ 83.13 - - - Zebedee Focus Fund Limited Class A EURO Shares € 169.78 - -0.96 0.00
Morant Wright Sakura Fund Yen Acc Unhedged ¥ 1423.58 - 12.40 0.00 AU$ Portfolio A$ 0.01 - 0.00 -
Pictet-Brazil Index I USD $ 53.56 - -0.57 0.00 Platinum Essential Resources UCITs Fund $ 6.71 6.71 0.16 - Zebedee Focus Fund Limited Class B USD Shares $ 197.30 - -1.19 0.00
Morant Wright Sakura Fund Dollar Acc Hedged $ 13.97 - 0.12 0.00 US$ Portfolio $ 0.01 - 0.00 -
Pictet-CHF Bonds I CHF SFr 504.47 - 0.34 0.00 Platinum Maverick Enhanced Fund Limited (Est) $ 99.21 - - 0.00 Zebedee Focus Fund Limited Class A USD $ 170.38 - -0.82 0.00
Morant Wright Sakura Fund Swiss Franc Acc HedgedSFr 13.94 - 0.12 0.00 Canadian Dllr Pfolio C$ 0.01 - 0.00 -
Pictet-China Index I USD $ 124.34 - 1.64 0.00 Platinum Navigator Fund Ltd Class A (Est) $ 93.60 - - -
New Zealand Dllr Pfolio NZ$ 0.01 - 0.00 -
Pictet-Clean Energy-I USD F $ 95.53 - -0.06 0.00
Daiwa Bond Series TreeTop Asset Management S.A. (LUX)
Odey Asset Management LLP (CYM) Pictet-Digital Communication-I USD F $ 255.44 - 0.53 0.00
Regulated
Data Provided by
Monthly Dividend AUD Bd A$ 10.57 - 0.01 0.00
Regulated Pictet-Eastern Europe-I EUR F € 329.42 - 14.02 0.00 TreeTop Convertible Sicav
OEI MAC Inc A £ 469.12 - -16.51 0.00 Monthly Dividend EUR Bd € 11.09 - 0.01 0.00
Pictet-Em Lcl Ccy Dbt-I USD F $ 172.86 - 3.73 0.00 International A € 313.71 - 2.80 0.00
OEI Mac Inc B £ 267.99 - -11.26 0.00 Monthly Dividend CAD Bd C$ 10.51 - -0.03 0.00
Pictet-Emerging Markets-I USD F $ 581.72 - 16.01 0.00 International B $ 403.91 - 3.12 0.00
OEI MAC Inc USD $ 2544.39 - -92.56 0.00 Mthly Div US Preferred Secs $ 8.04 - 0.01 0.00
Morgan Stanley Investment Funds (LUX) Pictet-Emerging Markets Index-I USD F $ 251.27 - 2.14 0.00 Polar Capital Funds Plc (IRL)
International C £ 139.97 - 1.13 0.00
6b Route de Trèves L-2633 Senningerberg Luxembourg (352) 34 64 61 Daiwa Equity Fund Series
Odey European Inc EUR € 1010.68 - 79.89 0.00 Regulated International D € 299.08 - 2.79 0.00
www.morganstanleyinvestmentfunds.com Pictet-Emerging Corporate Bonds I USD $ 107.13 - 0.53 0.00 New Major Economies $ 9.53 - 0.21 0.00
FCA Recognised Odey European Inc A GBP £ 371.70 - -14.74 -
Pictet-Emerging Markets High Dividend I USD $ 114.59 - 3.03 0.00
Asian Financials I USD $ 318.55 318.55 3.18 0.00
Pacific A € 303.62 - 8.66 0.00 www.morningstar.co.uk
US Advantage A F $ 57.26 - 0.40 0.00 Odey European Inc B GBP £ 210.97 - -8.40 0.00 Biotechnology I USD $ 18.24 18.24 0.10 0.00
Pictet-Emerging Markets Sust Eq I USD $ 99.38 - 0.28 0.00 Pacific B $ 385.48 - 10.29 0.00 Data as shown is for information purposes only. No
Asian Equity A F $ 47.28 - 0.13 0.00 European Income Acc EUR € 12.28 12.28 0.20 -
Standard Life Wealth (JER) offer is made by Morningstar or this publication.
Odey European Inc USD $ 450.96 - -18.27 0.00 PO Box 189, St Helier, Jersey, JE4 9RU 01534 709130 TreeTop Global Sicav
Pictet-Environmental Megatrend Sel I EUR € 169.65 - 2.74 0.00
Asian Property A F $ 19.94 - 0.09 0.00 Financial Opps I USD $ 12.77 - 0.07 1.91 FCA Recognised Global Opp.A € 154.56 - 1.09 0.00
Giano Capital EUR Inc € 4612.29 - -358.68 0.00
Pictet-EUR Bonds-I F € 571.97 - -0.16 0.00 Standard Life Offshore Strategy Fund Limited
Asian Property AX F £ 12.41 - 0.01 0.55 GEM Growth I USD $ 10.12 - 0.07 0.00 Global Opp.B $ 152.67 - 0.23 0.00
Pictet-EUR Corporate Bonds Ex Fin i EUR € 146.90 - 0.07 0.00 Bridge Fund £ 1.6967 - -0.0003 2.35
Diversified Alpha Plus A F € 33.43 - 0.23 0.00 Odey Asset Management LLP (IRL) GEM Income I USD $ 11.34 - 0.09 0.00 Global Opp.C £ 196.51 - 1.46 0.00
Pictet-EUR Corporate Bonds-I F € 203.55 - 0.09 0.00 Diversified Assets Fund £ 1.2201 - 0.0004 2.95
FCA Recognised
Emerg Europ, Mid-East & Africa Eq A F € 72.82 - 1.47 0.00 Global Alpha I USD $ 13.42 13.42 0.06 0.00 Sequoia Equity A € 150.06 - 1.38 0.00
Odey Pan European EUR R € 361.05 - 4.56 0.00 Pictet-EUR Government Bonds I EUR € 162.73 - -0.06 0.00 Global Equity Fund £ 1.9491 - -0.0052 1.25
Emerging Markets Debt A F $ 78.18 - 0.39 0.00 Global Convertible I USD $ 11.76 11.76 0.05 0.00 Sequoia Equity B $ 155.82 - 0.53 0.00
Odey Pan European GBP R £ 211.67 - 1.62 0.00 Pictet-EUR High Yield-I F € 247.04 - 0.63 0.00 Global Balanced Fund - Income Units £ 1.4199 - -0.0001 1.56
Emerging Markets Domestic Debt AX F £ 12.26 - 0.02 5.51 Global Insurance I GBP £ 4.00 - 0.00 0.00 Sequoia Equity C £ 179.29 - 1.72 3.41
Odey Allegra European EUR O € 284.51 - 4.05 0.00 Pictet-EUR Inflation Linked Bonds I EUR € 130.56 - 0.23 0.00 Global Balanced Fund - Accumulations Units £ 1.6275 - 0.0000 1.54
Emerging Markets Equity A F $ 38.65 - 0.41 0.00 Global Technology I USD $ 22.88 - 0.20 0.00
Odey Allegra European EUR A € 171.13 - 2.44 0.00 Pictet-EUR Short Mid-Term Bonds-I F € 137.03 - 0.06 0.00 Global Fixed Interest Fund £ 1.0506 - 0.0023 3.69
Euro Bond A F € 16.11 - -0.01 0.00 Healthcare Blue Chip Fund I USD Acc $ 11.07 11.07 0.05 -
Odey Allegra European GBP O £ 297.86 - 2.76 0.00 Pictet-EUR Short Term HY I EUR € 119.32 - 0.59 0.00 Sterling Fixed Interest Fund £ 0.8837 - 0.0018 3.15
Euro Corporate Bond AX F £ 22.46 - -0.12 1.92 Healthcare Opps I USD $ 40.21 - 0.16 0.00
Odey Allegra European USD O $ 237.60 - 2.92 0.00 Pictet-EUR Sov.Sht.Mon.Mkt EUR I € 103.17 - 0.00 0.00 UK Equity Fund £ 2.0503 - 0.0145 2.70
Euro Strategic Bond A F € 44.85 - 0.04 0.00 Income Opportunities B2 I GBP Acc £ 1.76 1.76 0.01 0.00
Odey Allegra European EUR I € 271.26 - 3.86 0.00 Pictet-Euroland Index IS EUR € 145.29 - 2.21 0.00
Unicapital Investments (LUX)
European Currencies High Yield Bd A F € 22.09 - 0.04 0.00 Japan Alpha I JPY ¥ 212.26 212.26 1.18 0.00 Regulated
Odey Allegra European EUR A I € 173.90 - 2.47 0.00 Pictet-Europe Index-I EUR F € 186.18 - 2.81 0.00 Investments III € 25.40 - -51.15 0.00
22 ★ FINANCIAL TIMES Thursday 9 April 2015

MARKETS & INVESTING

INSIGHT Commodities

Andrew
Balls Oil slides on ballooning US stockpiles
Record production levels
in Saudi Arabia also add to
Strong dollar reflects downwards price pressure
policy divergence, ANJLI RAVAL AND ERIC PLATT
Oil prices slid yesterday after data
Behind the increase was a rise in
imports of 869,000 barrels a day. Gaso-
line stocks recorded a pick-up of
817,000, even as analysts forecast a drop
of 1m barrels.
Crude stocks at the important Cush-
ing, Oklahoma delivery hub, where WTI
is priced, rose by 1.232m barrels. This
Although Ali Al Naimi did not give
any explanation for the jump in output,
oil market experts have said a combina-
tion of short and long-term factors were
behind it. Better refining margins have
prompted European buyers to take
more Saudi crude, while attractive price
differentials have encouraged more
10.9m brought in within a month and sus-
tained for at least 90 days.
Increase in US Mr Naimi said the kingdom’s produc-
crude stocks as
measured in barrels,
compared with
expectations of
tion was likely to continue at about 10m
b/d. Amrita Sen at consultancy Energy
Aspects said this is “becoming the new
3.4m rise norm” for Saudi Arabia.
The increase in output — rather than

not direct intervention showed US crude stockpiles ballooned

last week and Saudi Arabia announced
production hit a record high in March.
The US benchmark Nymex May West
Texas Intermediate dropped $2.97 a
was also more than analysts’ estimates.
The numbers follow American Petro-
leum Institute data on Tuesday that
showed inventories surged 12.2m bar-
rels during the week to Friday. The data
purchases from Asia and the US.
The kingdom also raises output ahead
of the summer months when the coun-
10.3 m
Monthly output in
barrels per day
cutting production alone to sustain
prices — reaffirms the country’s vow not
to cede market share to rival producers,
try burns more oil as air conditioning produced by Saudi from the US to Russia.
Arabia in March,
use rises. In addition, domestic demand a record
“The kingdom remains willing to par-

W
hat goes around comes around. In Septem-
ber 2010, Guido Mantega, then Brazil’s
finance minister, popularised the term
“currency wars”. He claimed that govern-
ments — led by the US — were engaging in
competitive devaluations, driven by mercantilist ambi-
tions and the desire to export deflationary risks. Brazil and
other emerging markets, which were doing better at the
time, suffered overvalued currencies as a result.
Fast forward to today and the US dollar has appreciated
on a trade-weighted basis faster for the past eight months
than during any similar period since the end of Bretton
Woods in 1971. This year, more than 20 central banks have
eased monetary policy, including the European Central
Bank, which at long last launched its quantitative easing
programme. Meanwhile, at the US Federal Reserve’s press
conference last month, chairwoman Janet Yellen acknowl-
edged that the US dollar’s strength was part of the reason
for downward revisions in the Fed’s growth and inflation
forecasts.
Is the US the victim in this continuing currency war? In
truth, while a catchy phrase, it is not altogether helpful.
The dollar’s strength reflects fundamental economic and
policy divergence versus the rest of the world, not direct
exchange rate interventions. The euro’s weakness, of
course, reflects the ECB’s QE, but this policy loosening is
not an act of trade war; it is a reaction to the risk of
entrenched deflation that the eurozone faces.
The US dollar aside, the main message from the Fed in
March was that interest rate increases will be on the table,
not in April, but at its June, September or December meet-
ings. This cyclical divergence in policy is not surprising.
The US is far more advanced in terms of its post-2008 crisis
rehabilitation compared with other developed countries,
and is a primary beneficiary of the decline in energy prices
compared with the overall net
negative impact on emerging
markets.
Is the US
Given that the low level of the victim
headline inflation and core
inflation, one of the Fed’s pre-
in this
ferred measures, is likely to continuing
remain below target this year
currency war?
and rise back to 2 per cent in
2016, the Fed has no need to
tighten policy sharply.
We expect the Fed to start tightening policy in June, Sep-
tember or December, and to proceed at a fairly slow pace,
with a rate rise only at every other meeting, at least at the
outset. By removing the language on “patience” at its
March meeting, the Fed has given itself the flexibility to act
without pre-committing on the date. Our framework sug-
gests the Fed is likely to move its target federal funds rate
to 2 per cent to 2.5 per cent over the next couple of years.
It will do less than that if there are downside data sur-
prises or an outsized market reaction to its tightening, and
more if inflation were to surprise on the upside.
Cyclical divergence on fundamentals and on policy is
likely to continue to support the US dollar. Conversely, low
and negative yields in Germany should encourage inves-
tors to look to higher-yielding eurozone assets and also to
rebalance their portfolios away from the eurozone, which
will be reflected in continuing euro depreciation. Of
course, a stronger US dollar contributes to tighter overall
financial conditions in the US. But, to the extent that they
reflect these global spillover effects, a lower level of yields
and a flatter US term structure work in the other direction.
Other factors, including US companies hedging euro
cash piles they do not want to repatriate and a decline in
the euro’s share of global central banks’ foreign exchange
reserves, are likely to reinforce the trend. The dollar was
appreciating at a rapid pace at the start of the year, before
Ms Yellen’s March intervention. It is likely to continue to
strengthen, especially as markets focus on the impending
Fed rate rise cycle, but at a more measured pace.
Emerging markets are likely to remain under pressure,
reflecting the combination of the prospective Fed rate rise
cycle, the US dollar’s strength, the lower level of commod-
ity prices and a range of idiosyncratic country risks in what
is a highly differentiated asset class. Reflecting myriad
challenges for the country, the Brazilian real has depreci-
ated by more than 40 per cent versus the US dollar since
Mr Mantega’s currency war complaint in 2010.
Sometimes you have to be careful what you wish for.
Andrew Balls is Pimco’s chief investment officer for global
fixed income
barrel to $51.01 by late afternoon, while
the international marker ICE May Brent
fell $2.55 a barrel to $56.53 a barrel.
US crude stocks recorded their big-
gest gain in 14 years, surging 10.9m bar-
rels according to the US Energy Infor-
mation Administration. Analysts sur-
veyed by Reuters had expected an
increase of 3.4m barrels.
Dust settles around Japan coal ritual
Australian miners are being
paid a bumper premium amid
signs of structural change
EMIKO TERAZONO AND NEIL HUME
Japan’s annual supply agreements,
which run from April, the start of the
country’s financial year, are one of the
most important events in the thermal
coal calendar. But trying to pick a win-
ner from this year’s negotiations is not
straightforward.
Is it the Japanese utilities, whose call
bill fell 17 per cent from last year? Or Rio
Tinto, which outmanoeuvred its bigger
coal rival Glencore to sign the first
agreement?
That deal, at $67.80 a tonne, was the
lowest in eight years, but the fall in the
Australian dollar means the miners are
getting slightly more than last year.
Moreover, looking at what the Japa-
nese are to pay over the market price,
the premium of almost $10 a tonne “is
bigger than any point in the past 15
years”, says Macquarie analyst Stefan
Ljubisavljevic, even though the market
is oversupplied.
“Over the past six years the contract
has been set at an average premium of
$7 and $4a tonne, to spot and the for-
ward market respectively. This year’s
settlement substantially exceeds these
levels,” he says.
For all the excitement around this
year’s negotiations, there is a sense in
the coal market that the importance of
this annual ritual its waning.
The Japanese are among the biggest
consumers of seaborne thermal coal,
which is burnt to generate electricity.
Japanese utilities and Australian min-
ers, their suppliers of choice, use the
April settlement to price their deals.
They also acted as a reference price for
contracts across the Asia-Pacific region.
Historically the April-March con-
tracts have accounted for about half
Japan’s annual coal imports of 140m
tonnes. That figure has fallen in recent
years as some buyers have switched to
quarterly supply agreements and short-
er-term deals that reference indices
such as GlobalCoal Newc.
These changes come against a back-
drop of oversupply and weak prices.
Coal shipped from the Australian port of
Newcastle has dropped 30 per cent in
the past year to $58 a tonne, and ther-
mal coal has become a buyers’ market.
Even the Japanese, who revere tradi-
tion and understand the need to secure
high-quality Australian coal for their
far surpassed market projections for a has been rising as Saudi refining capac- ticipate in restoring market stability
3.3m barrel build in the latest week. ity has grown. and improving prices in a reasonable
In earlier trading oil had reacted to Some observers add that the country and acceptable manner,” said Mr Naimi
comments late on Tuesday by Saudi is using its hefty balance sheet to take in Riyadh. But it will only do so in co-
Arabia’s veteran oil minister, who said advantage of lower drilling costs even as ordination with oil-producing countries
the country’s output had climbed to a crude prices have fallen. But the king- inside and outside Opec, he said.
record 10.3m barrels a day in March. dom could also be drilling more to main- “The burden cannot be borne by Saudi
The kingdom’s previous record peak tain, or even build on, its spare capacity Arabia, the GCC countries, or Opec coun-
was 10.2m b/d in August 2013. — the volume of production that can be tries,alone,”MrNaimiadded.
Analysis. Commodities
Asia-Pacific coal futures
ICE globalCOAL Newcastle index
trading volumes (m tonnes)
40
30
20
10
0
2011 12 13 14 15
Asia-Pacific coal price
globalCOAL NEWC index ($ per tonne)
200
150
100
50
0
2003 05 07 09 11 13 15
Sources: InterContinental Exchange; globalCOAL
Coals from boilers, will not necessarily fix all their It is still not clear how many tonnes Although still modest, these volumes
Newcastle: a needs through longer-term contracts, will reference this year’s first deal are increasing steadily, says Carlos Fern-
freighter waits given their strong negotiation position. between Rio and Tohoku Electric. It ández Alvarez, senior coal analyst at the
for a berth off Ted O’Brien, chief executive at Doyle could be 10m-20m tonnes, according to International Energy Agency.
New South Trading Consultants, says: “The Japa- traders and analysts. Most market participants say the
Wales. Half nese are cognisant of the quality needs, In addition to sluggish prices, struc- benchmark is not going to disappear
Japan’s annual but they will not pay a price above what tural changes in the coal market are immediately. Japanese utilities need to
coal imports of they think the market is worth just to eroding the importance of the April feel secure in their coal supplies. Given
140m tonnes lock in their volumes.” negotiations. the “nuclear phobia” that has gripped
historically This situation is expected to continue Contractual tonnage is still the main the country since Fukushima, most
comes from the until the glut is cleared and the market method of pricing coal into Japan, South nuclear power plants are unlikely to
April-March balances, which could take several Korea and Taiwan. However, for Chi- come back online soon.
contracts years. The producer reaction to the fall nese buyers spot market transactions Another factor that will push utilities
Ian Waldie/Bloomberg
in prices has been relatively slow have become more commonplace in the to spot or shorter contracts is the liber-
because of lower oil prices and falling past couple of years, says Matthew alisation of the retail electricity market
commodity currencies. The Australian Boyle, analyst at consultant CRU. in 2016. It is unclear how much immedi-
dollar has fallen 20 per cent in the past That is reflected in the rising volumes ate competition in retail prices there
year against the US currency. of swaps on the open market as buyers will be, but Japanese traders say it would
“There is too much capacity in the use derivatives to hedge physical coal be politically unacceptable for utilities
market,” says Andy Roberts, director of exposures. Data from Intercontinental to be seen to be buying coal at the same
international thermal coal at Wood Exchange show the volume of the New- benchmark price.
Mackenzie. “The fall in prices has not castle futures market represents 230m Once full liberalisation starts, utilities
resulted in rationalisation so far. We tonnes in 2014, up from 112m in 2011. In will compete by looking for low procure-
think it will be five-six years before you the first three months of this year vol- ment costs. One way to do that would be
see any turnround.” umes stand at almost 90m tonnes. to buy less on annual contracts.

Agriculture Capital markets

Argentina’s soyabean bubble set to burst
EMIKO TERAZONO
Argentina’s soyabean “stocks bubble”
is about to burst as the country’s farm-
ers are set to sell their crops to support
their dwindling incomes.
The country’s farmers have long used
their crop, which is priced in US dollars,
as a buffer against rising inflation and a
falling local currency. However, “cur-
rency devaluation pressure, farmer
indebtedness and surging industry
demand”, will lead to inventory sales,
said the latest report from the US
Department of Agriculture’s Buenos
Aires agricultural attache.
“Producers, crushers, and the govern-
ment can only play the game of chicken
so long before someone will have to
cave,” it added.
Argentina is the world’s third-largest
grower of the oilseed, producing 56m
tonnes, a little more than half of US out-
put, and over the past few years, the
“selling strike” by farmers has affected
global companies such as ADM, Bunge,
Cargill and Glencore.
The crop can be stored for several
years and inventories in Argentina have
soared. At the start of the 2014-15 crop
year, soyabean inventories totalled
18.6m tonnes, almost doubling from the
year before, according to USDA data.
Sales of the plastic silo bags Argentina’s
farmers use to store their soyabeans
have also rocketed.
The government, frustrated by the
fall in taxes from soyabean exports, has
tried to restrict the sale of the bags by
creating new reporting requirements
for silo bag manufacturers and vendors.
The AFIP, the taxation agency, is now
keeping a registry of how many silo bags
the industry is manufacturing and
selling, as well as who is buying how
many of the bags.
The AFIP has decried soyabean pro-
ducers’ “speculatory use of silo bags that
disrupts the market and keeps much-
needed funds from entering the coun-
try”, according to the USDA report.
Cases of vandalism against the soya-
bean farmers have risen during the past
few months. In the six months to Febru-
ary this year, there have been some 50
incidents of silo bags being deliberately
cut open by intruders and farmers
forced to sell their crops.
Selling by Argentina’s farmers will
bring more soyabeans on to an already
oversupplied market. CBOT soyabean
prices have fallen 4.5 per cent from the
start of the year and 36 per cent from a
year ago. Soya meal, used for livestock
feed, has declined 12 per cent in the year
to date and 35 per cent since April 2014.
Mexico sells first EM ‘century’ euro bond
ELAINE MOORE — LONDON
ROBIN WIGGLESWORTH — NEW YORK
Mexico has sold its first euro-denomi-
nated “century” bond, affirming its sta-
tus as one of the developing world’s
most favoured sovereign borrowers
and swelling the issuance of world
debt that will not be paid back for
generations.
The €1.5bn deal was priced at a yield of
just 4.2 per cent, down from initial pric-
ing talks of around 4.5 per cent. Mexico
has sold euro debt before but this is the
first ever 100-year emerging markets
bond sale in the common currency,
according to people close to the deal.
Investor appetite for emerging mar-
kets has soured in the past year as a
resurgent dollar has beaten down cur-
rencies in the developing world, China’s
economy has slowed sharply and the US
Federal Reserve prepares to raise its
benchmark interest rate for the first
time in almost a decade.
Mexico is one of the darlings of the
global investment community. Its previ-
ous 100-year bonds in sterling and the
US dollar have held up well despite tur-
moil in emerging markets.
A dollar-denominated century bond,
sold in 2010 at a yield of 6.1 per cent, was
trading at 5.3 per cent yesterday. A ster-
ling century bond was issued last year
with a yield of 5.75 per cent and is now
trading at 5.32 per cent.
The euro-denominated 100-year
bond was priced well below the existing
century bonds, reflecting the ravenous
appetite for debts denominated in the
common currency, as the European
Central Bank’s quantitative easing pro-
gramme pushes yields down to unprec-
edented levels across the continent.
“It’s a clear indication that the euro
market is highly attractive for high-
quality issuers such as Mexico,” said
Marik Narain, a strategist at UBS.
Across the world sales of sovereign
and corporate debt that will not mature
for more than 30 years are at a record
high. EDF, the French energy company,
recently issued 100-year bonds in dol-
lars and sterling. Canada and Spain have
sold 50-year debt for the first time.
Mr Narain said the rise in euro-
denominated issuance from emerging
markets was a “welcome trend” because
it showed governments were keen to
diversify away from dollars and corpo-
rates would follow suit.
“Around 75 per cent of EM external
debt is denominated in US dollars today.
A more diversified funding mix can help
reduce market sensitivity to dollar
strength.” said Mr Narain.
Thursday 9 April 2015 ★ FINANCIAL TIMES 23

MARKETS & INVESTING

Global overview
TRADING POST Markets update
Jamie
Chisholm
Stocks endure choppy session as S&P 500 index
Change on day 0.28%

markets await Fed policy outlook

Go short the Brazilian real says Daniel
Tenengauzer, head of EM & Global FX
strategy at RBC Capital Markets.
The bank has just entered a three-
week option position — priced when
the dollar rate was about R$l3.126 —
designed to benefit should the real
suffer from a fresh bout of nerves
related to some longstanding themes.
First problem, says Mr Tenengauzer,
is this weekend’s demonstrations
against President Dilma Rousseff.
“Assuming as many turn out to the
streets [as did in March] this Sunday
may imply a strong support to the
initiation of an impeachment process.
We continue to have a 20 per cent
probability to this scenario.”
Linked to this is the Petrobras
scandal. The deadline, April 30, for the
publication of the company’s audited
balance sheet and net income report is
approaching. Meanwhile, investor
lawsuits regarding the energy group’s
alleged corruption are proliferating.
Finally, the Brazilian central bank
(BCB) “has communicated that it is
comfortable with the present
exchange rate level”, RBC notes.
And though the BCB is likely to raise
rates at its policy meeting on April 29,
it is “highly likely to change the pace of
monetary tightening” by delivering
just a 25 basis point rise and ending
the cycle at 13 per cent.
Rate cuts could follow in the second
half of the year, pressuring the real.
It is also worth noting that the real’s
14-day relative strength index, which
had moved deep into oversold
territory in mid March, is now back on
neutral ground around the 50 mark.
jamie.chisholm@ft.com
Brazilian real
Against the dollar (real per $)
2.5
3.0
3.5
Oct 2014 2015 Apr
Source: Thomson Reuters Datastream
Asian exchanges put in
bullish performances
while demand for quality
pushes Swish bond yields
into negative territory
DAVE SHELLOCK
US and European stocks had a choppy
session as uncertainty about corporate
earnings and the outlook for Federal
Reserve policy, plus a steep fall for oil
prices, helped counter a fresh outburst
of “animal spirits” in the wake of further
takeover activity.
By midday in New York, the S&P 500
equity index was up less than 0.2 per
cent at 2,080, having earlier risen to
2,086.69.
Energy stocks lost ground as Brent
crude tumbled 3.7 per cent to $56.92 a
barrel after data showed a much larger
build-up of US crude inventories last
week than had been expected.
Alcoa was poised to kick off the first-
quarter US earnings season yesterday,
as it was due to report after the close of
trade. Analysts have sharply cut their
earnings per share forecasts for US com-
panies, and the markets will be watch-
ing closely for any commentary on the
impact of the strong dollar.
Across the Atlantic, the FTSE
Eurofirst 300 index gave back an early
advance to a seven-year high to finish
fractionally lower. The UK’s FTSE 100
fell 0.4 per cent, despite a 26 per cent
surge for BG Group shares after Royal
Dutch Shell agreed a £47bn takeover of
the company.
Asian markets put in more bullish
performances as Hong Kong’s Hang
Seng index leapt 3.8 per cent to a near
seven-year peak as trading resumed
after a five-day holiday break.
The Shanghai Composite index rose
0.9 per cent to its best level since March
2008 while the Nikkei 225 in Tokyo rose
Will QE help Italy grow? FT.com/video
ECB move should cheer Matteo Renzi, prime minister, but the
LSE’s Lorenzo Codogno predicts only modest growth for Italy
0.8 per cent to a 15-year high, in spite of
a rally for the yen after the Bank of Japan
kept its policy stance unchanged. The
dollar was down 0.3 per cent at Y119.93.
“The BoJ’s next monetary policy
meeting on April 30 will be watched
more closely by market participants
given that they will also release their lat-
est semi-annual outlook for economic
activity and prices report,” said Lee
Hardman, currency analyst at Bank of
Tokyo-Mitsubishi UFJ.
“A potential downgrade to the infla-
tion outlook would signal an increased
likelihood of further easing later this
year, especially if inflation fails to
rebound as currently expected by the
BoJ. We continue to believe that further
Tony Gentile/Reuters
BoJ easing is unlikely to provide a fresh
trigger for renewed yen weakness in the
near-term.”
US monetary policy will be back in
focus later in the session, when the min-
utes of the Fed’s Open Market Commit-
tee meeting last month will be released.
There were some nerves in the cur-
rency markets in the run-up to their
release, although the dollar clawed back
much of an early decline.
The dollar index, a gauge of the cur-
rency’s value against a basket of peers,
was down a fraction at 97.82, having ear-
lier dipped to 97.25, with the euro up just
0.1 per cent at $1.0822.
Sterling was up 0.7 per cent versus the
dollar at $1.4909 amid expectations for
2100
2080
2060
2040
Mar 2015 Apr
strong demand because of the Shell/BG US equities Energy stocks came under
deal. However, the dollar’s softer tone pressure from a sharp retreat for crude
offered little comfort to gold as the price prices although healthcare shares were
of the metal fell $5 to $1,203 an ounce. bolstered by further merger activity in
US government bond prices fell the sector
ahead of the release of the Fed minutes
and $21bn auction of 10-year paper. FTSE 100 index
The yield on the two-year Treasury Change on day 0.35%
was up 1 basis point at 0.53 per cent and 7000
that on the 10-year was 3bp higher at
1.92 per cent, taking both back to levels 6900
seen before last week’s very soft US jobs 6800
data prompted some in the markets to
6700
push back their expectations of when Mar 2015 Apr
the Fed might raise rates.
Indeed, a closer inspection of the UK equities Shares in BG Group leapt
report — and subsequent data releases 26 per cent after Royal Dutch Shell
— appears to have persuaded many that agreed a £47bn takeover of the
the weakness of the non-farm payrolls company, although Shell retreated
report was a one-off. 8.6 per cent
“With the February Job Openings and
Labor Turnover report [released on Eurofirst 300 index
Tuesday] we received yet more compel-
Change on day 0.04%
ling evidence that the softness in the 1620
March employment report is extremely
suspect,” said Tom Porcelli, chief US 1600
economist at RBC Capital Markets. 1580
“Recall that the sectors that witnessed
1560
the sharpest aggregate swing — leisure/
Mar 2015 Apr
hospitality and construction — are also
amongst the most weather-sensitive. European equities Hopes for further
The compelling piece of evidence from merger activity in the oil and gas
JOLTS that suggests the slowing in these sector helped support European
sectors was an aberration is the fact that energy stocks although the Eurofirst
job openings in these areas just hit a 300 index gave back an early rise
fresh cycle high.”
Meanwhile, German government
bonds remained in demand as the Euro- Nikkei 225 index
pean Central Bank’s quantitative easing (’000) Change on day 0.76%
20.0
programme continued and amid linger-
ing worries over Greece’s debt negotia- 19.5
tions. 19.0
The Bund yield fell 3bp to 0.16 per
cent — just a whisker away from its low- 18.5
Mar 2015 Apr
est ever — as German manufacturing
orders disappointed in February. Japanese equities The Nikkei rose to a
The strong demand for high-quality 15-year peak as Wall Street’s overnight
sovereign debt was underlined by the decline failed to curb strong demand
fact that Switzerland sold 10-year bonds from retail investors, traders said
yesterday at a negative yield.

ExxonMobil bank. Elsewhere, rising pharmacy sales

Wall Street
Exxon falls despite news
from Europe raising
prospects for M&A
Pan Kwan Yuk and
Mamta Badkar
A $70bn mega deal in the European oil
and gas sector failed to add sizzle to US
energy stocks yesterday.
Energy companies were in broad
retreat as oil prices tumbled after US
crude inventories posted their biggest
weekly jump in 14 years and Saudi
Arabia announced that production had
reached a record high in March.
ExxonMobil, the world’s biggest
publicly listed oil company, fell 1.2 per
cent to $84.75 even as analysts
speculated that Royal Dutch Shell’s
£47bn bid for rival BG Group could
herald a wave of activity in the sector.
Exxon, with its deep pockets, is seen
to be in pole position to lead the charge,
and chief executive Rex Tillerson said
last month it could be open to a big deal.
Chevron, another large US oil
helped perk up Rite Aid. Shares in the Trading Directory
Share price ($)
110 US chain, which sells medications along
with other food and household items,
100 rose 3 per cent to $8.95 after it said that
90 it expected same-store sales in the
80 current year to climb between 2.5 and
Apr 2014 2015 Apr
Source: Thomson Reuters Datastream
4.5 per cent from a year earlier, eclipsing
Wall Street forecasts of a 2.5 per cent
Day's gain. The Pennsylvania-based company
Indices
S & P 500
Close
2082.79
change
6.46
attributed the rise to prescription
benefits utilised by US consumers.
DJ Industrials
Nasdaq Comp
17917.26
4948.00
41.84
37.77
Dollar Tree advanced 2.8 per cent to
$82.85 after the US discount chain said
Russell 2000 1204.70 -8.35 that the Federal Trade Commission had
VIX 14.78 0.04
substantially completed its review of its
US 10 yr Treas Bd 1.92 0.03
planned acquisition of rival Family
US 2 yr Treas Bd 0.53 0.00
Dollar.
Shares of Lions Gate Entertainment,
the company behind hit films such as
producer, fell 1.3 per cent to $107.12 the Hunger Games series, fell more than
while the S&P 500 energy index fell 0.6 6 per cent to $31.51 after its largest
per cent, making it the day’s second shareholder, MHR Fund Management,
worst performing sector after telecoms. sold 10m shares.
The gloom failed to drag down the Lululemon Athletica received a boost
wider market, however. The S&P 500 from analysts at Sterne Agee.
rose 0.3 per cent to 2,082.07, led by gains The stock gained more than 3 per cent
in Perrigo. The pharmaceutical supplier to $68.55 after the stock brokerage firm
surged nearly 30 per cent to $214 after upgraded the athletic clothing company
US drugmaker Mylan offered to acquire to “buy” from “neutral” and nearly
it for $205 a share, valuing the business doubled its price target to $77 from $39.
at just under $29bn. Mylan shares Analysts said that new chief financial
jumped 10 per cent to $65.49. officer, Stuart Haselden, “has a strong
Netflix rose 3.4 per cent to $437.76 grasp of fundamentals of vertical
after analysts at Goldman Sachs revised retailing due to his experience at J Crew”
their outlook for the stock and upped and that the company’s investments
their target price by $50 to $510. should pay off sooner than expected.
“We raise our 12-month price The Dow Jones Industrial Average was
target . . . based on . . . a faster growth up 0.2 per cent to 17,908.35. The Nasdaq
trajectory post heavy international Composite gained 0.8 per cent to
expansion in 2015,” said the investment 4,947.22.

London
Cash return hopes
boost Experian shares
Neil Dennis
Experian, the consumer credit
reference agency, was endorsed by an
upgrade from Credit Suisse and only
missed out on the FTSE 100’s top spot
after M&A fever swept through the
energy sector.
Royal Dutch Shell’s £47bn bid for BG
Group ensured the FTSE’s highest
position was claimed by the target
company — up 26.6 per cent to £11.53.
In second place, Experian rose 2.7 per
cent to £11.81 after it was praised for its
“prodigious” cash generation, by Credit
Suisse, which lifted its rating on the
stock to “outperform” from “neutral”
and its target price to £13 from £11.
Analyst Andy Grobler said Experian’s
free cash flow yield was too high for a
company that can “sustainably generate
mid-single-digit organic growth with
cash returns, M&A opportunities and
rising margins”.
The FTSE 100 had earlier reached a
session high of 7,012, led by energy and
resource stocks, but a limp first couple
of hours of trade in the US, together with
falling oil prices, undermined the
merger boost, leaving the main index 24
points, or 0.4 per cent, lower at 6,937.41.
The largest negative weight was Shell,
down 8.6 per cent to £20.19, after it
announced its offer for BG.
BP, whose recent share price fall had
been suggested by some analysts could
put it on an attractive mark for a
takeover, gained 0.5 per cent to 457.3p.
Energy stocks were dominant on the
mid-cap index too. Tullow Oil, recently
relegated to the FTSE 250 after losing
two-thirds of its market cap since July,
gained 4.4 per cent to 313.6p, while
Ophir Energy added 7.3 per cent to 155p.
Kantar’s latest market share data in
the UK grocery sector showed the big
four’s market share dropped to its
lowest in two years.
J Sainsbury stood out as a positive,
claiming market share growth of 20bp
in the first quarter, following a 28bp
decline in the previous quarter.
“This should assure investors
concerned about whether Sainsbury is
investing enough in its proposition in
response to price cuts at Tesco,” said
Pradeep Pratti at Citi.
SharesinSainsburygained0.5percent
to270.7pwhileTesco,whichlost44bpin
marketshare,fell1.7percentto246.8p.
St James’s Place climbed 0.8 per cent
to 982.5p after Panmure Gordon raised
its target price on the asset manager to
£11.25 a share from £10.57 and
maintained its “buy” recommendation.
M&A rumour in the media sector said
France’s Vivendi was looking at buying
pay-TV operator Sky. In the absence of
comment from either side, Sky’s shares
advanced just 1.6 per cent to £10.39.
24 ★ Thursday 9 April 2015

SMART MONEY Analysis. Commodities

John
Authers
Kraft wheat case feeds trading uncertainty
CFTC complaint centres on Position probe
alleged use of futures other
Too many equity than for hedging purposes
US wheat prices
CBOT wheat futures spread CBOT wheat futures Dec 2011 contract

managers are failing

(Mar 2012 contract less Dec 2011 contract) Soft red winter wheat Toledo ‘on the river’ cash price
$ per bushel $ per bushel
GREGORY MEYER — NEW YORK Jul 1 2011 Oct 20 2011 Dec 7 2011

in their active duty Kraft Foods’ old mill in Toledo, Ohio,

grinds wheat into flour for Oreo cookies,
Ritz crackers and other mainstays of the
American larder.
Mar 2012 wheat futures reach
41 cents per bushel above
December 2011 contract,
Kraft approves strategy to build
‘enormous long position’ in Dec
2011 wheat futures to push
Kraft’s wheat position constitutes 87 per cent
of Dec 2011 wheat futures open interest, while
March premium shrinks towards zero
0.5
creating a strong incentive to down March contract premium
10
store grain and reduce wheat cost for
Toledo mill, CFTC alleges

A
s I have told readers of this column many But in late 2011, a US regulator says,
times, active equity managers are having a executives at the company tried out 0.4
9
horrible time. That is in part because the fresh grist for its mill: a big position in
whole game of trying to beat the market is wheat futures. The strategy netted Kraft
inherently difficult and expensive — which is $5.4m but drew the attention of the 0.3
why passive index-tracking has grown in popularity. Commodity Futures Trading Commis- 8
But there is also an argument that the conditions of the sion, which last week filed a civil com- 0.2
past few years have been especially bad for active manag- plaint alleging that the food group had
ers. In the strange world of the QE-driven rally, stocks have rigged wheat markets. 7
tended to rise in unison, and the dispersion of their returns The case will test how aggressively 0.1
— the extent to which their performance varies — has commercial companies can trade on
dropped ever lower. The lower the dispersion, the harder it commodity exchanges, where they Autumn 2011 6
0 CBOT’s monthly wheat storage rate peaks
is, even if you choose the winners, to beat the index. claim to be hedgers trying to shed risk
at 20 cents per bushel in response to
According to Standard & Poor’s Spiva team, which takes and enjoy special exemptions from posi- upward-sloping futures market
a lead in benchmarking active managers, dispersion last tion limits. -0.1 5
year hit the lowest level since it started measuring the con- Groups representing Cargill, the agri- Jun Jul Aug Sep Oct Nov Dec
cept. (And it has fallen even lower so far this year.) It is a cultural trading house, oil group BP, and Sources: Bloomberg; CFTC; CME; USDA 2011
relative measure. In 2009, it reached 15 per cent; over the Mondelez, the company that inherited
past 12 months it is down to 4.3 per cent. Kraft’s snacks business, have been fight-
That means that even critics of active management, ing to maintain the freedom to trade as usually requires a big position in physi- approved, a strategy to use its status as a time. “There wasn’t anything excessive
such as I, give active managers a pass. Long-only equity the CFTC separately considers a contro- cal commodities. Indeed Kraft was once commercial hedger to acquire a huge that I can remember,” says Neil Rupp,
fund managers, and also equity hedge fund managers versial rule that caps speculation in 28 embroiled in complaints that it pushed long position in December 2011 wheat president of Pettisville Grain in Ohio.
armed with the ability to leverage up and sell short, have commodities including wheat. down cheddar prices on the now-de- futures,” the complaint says. One piece of context is that the US
had a bad time of it for a while. But maybe this should be An industry adviser says the case funct National Cheese Exchange — an Mondelez says: “We don’t have any wheat market was in steep “contango”
seen as part of a long cycle, with anomalies building up that could have “knock-on effects” for pol- affair dubbed Velveeta-gate. comment other than we intend to vigor- that autumn, meaning contracts for
will lead to big dispersion and great opportunities to out- icy, including the scope of exemptions Kraft is a large commercial user of ously litigate this matter.” Kraft Foods future delivery cost more than nearby
perform, once the market returns to its senses. from position limits. wheat, consuming about 30m bushels Group, spun off from its parent in 2012, contracts. This created an incentive for
That at least was an attempt at a balanced view. Plenty of Scott Irwin, an agricultural economist (800,000 tonnes) per year, the CFTC declines comment on the litigation. farmers and merchants to store grain —
Wall Street sellside research at the University of Illinois, says the tim- complaint says. Historically most of By late November, Kraft had control and potentially keep it out of the hands
departments will support it. ing of the case may be coincidental but it those supplies came from farmers and of 15.75m bushels of December 2011 of customers such as Kraft.
But feedback I received from
There are ways raises eyebrows because the “pending merchants in the area around Toledo, wheat futures, the CFTC says. Several By narrowing the December 2011-
one reader shows I was too to provide a position limits” rule was justified by not through the futures market. days later its position equalled 87 per March 2012 futures spread, Kraft could
charitable. Even in a low-dis- saying it would prevent “types of deliv- But in autumn 2011, the CFTC says, cent of the open interest in the contract. have spurred the release of some wheat
persion year, a simple analysis
better chance ery manipulations like Kraft is being Kraft was concerned about the high Its moves lowered the cash price of stocks on to the market and helped push
of the main stock indices of beating accused of”. price of cash wheat around Toledo. So wheat relative to futures and shrank the down cash prices, according to one
shows there are ample oppor- Companies have often been targeted executives devised a new strategy. steep discount of the December 2011 industry adviser.
tunities to pick winners. Dis-
the market in CFTC price manipulation cases, such “Kraft deviated from its practice of wheat futures contract to March 2012 As it began the strategy, Kraft failed to
persion may have been low in as BP in propane and Sumitomo in cop- using the futures markets solely to futures, the CFTC says. renew its exemption from limits on
relative terms, but in absolute terms there was plenty of it. per. This is because to exert power over hedge its cash wheat purchases. Kraft Market watchers have been puzzling wheat positions, the CFTC says. At their
Take the Russell 1000 index of US large-cap stocks, and futures — contracts to buy or sell some- wheat procurement staff developed, over the reasons for the alleged trades. peak its December futures holdings rose
divide them into quintiles. The top 20 per cent of stocks by thing at a set price by a certain date — it and Kraft senior management Wheat prices did not make waves at the to 5.25 times the permissible limit.
performance, measured this way, averaged a return of
44.3 per cent (and a median of 38.2 per cent). The fifth
quintile (the 20 per cent with the worst returns) lost an
average of 16 per cent, with a median loss of 13.8 per cent. Equities
The Russell 1000 gained 11 per cent. This, remember, was
in a historically low-dispersion year.
So at any time, there is ample opportunity to beat the
market, and to make good returns.
HK-Shanghai link
We need to be reasonable here. Mistakes will happen.
They are more likely when managers go against the con-
reports activity surge
sensus — picking cheap stocks that turn out to be cheap for
a reason, or backing a company with good but risky growth
prospects that comes a cropper. Nobody could be expected JOSH NOBLE — HONG KONG pushed the Hang Seng index
to pick the top quintile stocks every year without fail. up 3.8 per cent while the
But would a more realistic target of being right slightly A huge jump in equities Hang Seng China Enterprises
more often than wrong allow you to beat the market? Very bought by Chinese investors index — a list of Chinese com-
much so. Using the medians, an investor who put 60 per has produced record trading panies trading in Hong Kong
cent of their portfolio into top quintile stocks last year, and volumes in Hong Kong, a — gained 5.8 per cent.
40 per cent into bottom quintile stocks, would have logged signal that the prolonged Total turnover on the
a return of 17.4 per cent. That is meaningfully ahead of the stock rally on the mainland Hong Kong market hit
index. is finally spilling over into HK$252bn, a record. That
Within the energy sector, which suffered a uniform bat- world markets. compared with average daily
tering in 2014 as the oil price tanked, there was again an Chinese use of the Stock Con- turnover of HK$69bn in
opportunity to make money. There were 13 US-based nect, which allows investors 2014. The previous record
energy companies whose share prices rose during the year, in Hong Kong and Shanghai was set in October 2007 at
six of which logged returns of more than 10 per cent. They to trade in each others’ mar- the height of China’s last
were led by Cheniere Energy but also included names like kets, has risen sharply since equity market bubble.
Tesoro and Kinder Morgan — certainly not obscure and mainland authorities gave Those tipped to benefit
well-known to investors. Remember this was an abnor- permission late last month from the increase in trading
mally bad year. Usually stocks are far more dispersed, for domestic mutual funds to were among the biggest gain-
offering a better chance to beat the benchmark. use the scheme. ers. Hong Kong Exchanges &
What does this tell us about active management? First, it Southbound turnover, Clearing rose 12 per cent
is difficult. Spotting top-quintile stocks 60 per cent of the which includes purchases while Haitong Securities, a
time is hard. Second, they are not making the contrarian and sales, through the Stock Chinese broker, surged 19
bets that need to be made, or using the kind of concen- Connect leapt to HK$21bn per cent.
trated portfolios that give the best chance of outperform- ($2.7bn) yesterday, more The move was partly a
ance. There are ways to run active managers better and than three times the previ- catch-up as Hong Kong reo-
provide a better chance of beating the market. ous record set on April 2. pened after a three-day pub-
But the bottom line remains. Why should we pay fees for Southbound turnover has lic holiday; Shanghai was
active management? Judged collectively (there are hon- already surpassed HK$30bn closed on Monday only. On
ourable exceptions), this analysis suggests the long-run- in the first three trading days Tuesday, the Shanghai Com-
ning poor results from active managers are indefensible. of April, up from HK$35bn posite rallied 2.5 per cent and
last month, and just closed at the highest level
john.authers@ft.com HK$10bn in February. since March 2008. Shanghai
“The moves to lower the shares have doubled since
barriers for money managers the start of last year and the
to trade Hong Kong stocks market’s gain of 23.5 per cent
have recently been a green during 2015 has outpaced
light for traders,” said Chris global rivals.
More comment and data on ft.com Weston, chief strategist at IG, Analysts said Chinese
the spread betting group. investors were looking to
Just after 2.30pm yester- capitalise on gaps between
Y Fast FT Our global more than 40 emerging day, the Hong Kong bourse onshore and offshore prices.
team gives you market- economies, headed announce d that the Yesterday’s moves took the
moving news and views, by Brazil, Russia, India Rmb10.5bn ($1.7bn) daily average premium of domes-
24 hours a day, five days and China. southbound quota, which tic over Hong Kong listings
a week. ft.com/fastft ft.com/beyondbrics restricts mainland purchases from 35 to 28 per cent.
Y Alphaville Our Y Podcast Each week of Hong Kong stocks, had International investors
irreverent financial blog. the FT banking team been used up for the first have been reallocating funds
Join Paul Murphy and discuss the biggest time since the launch of the to Hong Kong, as shown by
Bryce Elder for the daily banking stories of the trading link in November. net selling of Shanghai equi-
Markets Live session at week, bringing you Hong Kong stock exchange ties via Stock Connect. Yes-
11am. ft.com/alphaville global insight and chairman C K Chow said he terday, northbound sell
commentary on the was “very encouraged” by trades outnumbered buys by
Y beyondbrics News and top issues in the the increase in trading vol- nearly two to one. Mainland
comment from FT writers sector. umes, but urged investors to Chinese markets have out-
and outside experts on ft.com/bankingweekly tread carefully. performed all other global
The surge in buy orders bourses this year.