Jun 20, 2014
Click here for this week's charts.
Spencer McGowan interviews Director SMU O’Neill Center Dr. W. Michael Cox
What did the recent European Central Bank actions mean for investors?
Dr. W. Michael Cox
Director SMU O’Neill Center for
Global Markets and Freedom
Former Chief Economist Dallas Federal Reserve
Author “Myths of Rich and Poor”
ECB
Super Mario Dragi announces that European Banks will now be charged
for maintaining reserve deposits with the ECB, -0.1%, and then
lowers the interbank posted borrowing rate to 0.15%. The move
appears to be designed to motivate the banks to make loans to the
private sector. Unicredit (Italy) and Banco Santander, (Spain)
moved higher on the day of the announcement by over 1% and
contributed to a year to date gain for the Euro Stoxx index of over
5%. The implications for investors is a signal that the ECB is pro
growth and calling into question the long held convictions that
global interest rates would have to rise.
Be careful not to take on more risk in your portfolio than you are comfortable with. If you do, you may succumb to panic selling should a downturn happen.
Market Commentary
Investment Information
To receive the entire package, please call our office at (214) 720-4400 or click/touch here to Request a NetWorth Radio Package.
To schedule your 2014 planning session, call (214) 720-4400 or Set an Appointment. Complete our questionnaire to start your plan with specific insights and recommendations and performance tracking. For more information on our performance tracking software, visit Advent.
Thank you for taking the first steps to upgrading your investment plan!
Minimum consolidation is $500,000 during your first year of working with the McGowanGroup.
McGowanGroup Asset Management, Inc is a Federally Registered Investment Advisory Firm.
Securities
offered through independent firm, Spire Securities, LLC.,
a Registered Broker/Dealer and member FINRA/ SIPC.
McGowanGroup andSpire only transact business in states
where it is properly registered or notice filed, or excluded or
exempted from registration requirements. Follow-up and
individualized responses that involve either the effecting or
attempting to effect transactions in securities, or the rendering
of personalized investment advice for compensation, as the case may
be, will not be made absent compliance with state investment
adviser and investment adviser representative registration
requirements, or an applicable exemption or
exclusion.