FT Transact is an FT video series on the future of money. It explores in detail the technologies, people, companies and sectors behind transactional transformation, including the corporate innovators working to build the future of finance.
With insightful but accessible reporting and analysis from FT journalists who are specialists in their fields, FT Transact brings additional expert commentary from UBS in the form of paid posts on the future of capital.
Fake news is now a political weapon. Tech platforms have been used to manipulate elections and political outcomes, not just in the US but in Europe and developing countries too. Can new proposed regulation rein in of some of the largest IP-rich firms, which now control roughly 80 per cent of corporate wealth?
The fall of the US dollar has been a big market story in 2018, and despite a strong recovery in the second quarter of the year market commentators say this could be a long-term trend. A weak dollar helped American companies sell goods abroad, boosting demand for commodities, and it helped to tame inflation in emerging markets. But given the dollar’s recent fightback, how confident can investors be about these outcomes?
On paper, India is a demographic diamond in the rough. In the next decade, the ratio of its population at working age is set to surpass China’s. And in the next five years, the amount of Indians entering the labour market will be one-and-a-half times that of the rest of the Asia-Pacific region, the US and EU combined. But can India create enough quality jobs to meet the market's growth hopes? Gautam Chhaochharia, Head of India Research at UBS, investigates.
Former US vice-president Al Gore is on a mission to prove the business case for sustainable investment. In an illuminating exchange with the FT’s US managing editor, Gillian Tett, Gore outlines which market forces he believes are driving an inevitable sustainability revolution. But significant obstacles, including a risky $22tn carbon ‘bubble’, could potentially slow progress.
Switzerland has long been a global economic hub. Now it’s embracing the potential of cryptocurrencies and digital tokens. Last year, four of the biggest initial coin offerings - when start-ups sell tokens to investors – were based in Switzerland. But why is it such a popular place for crypto-pioneers, and what risks do the volatile currencies pose?
Following the financial crisis, central banks bought trillions of dollars worth of financial assets – mostly bonds - to pump up their economies. But if that quantitative easing got asset prices up, will the end of QE mean that asset prices will fall? It largely depends on a complex combination of growth, earnings, interest rates and inflation.
The US Federal Reserve is raising interest rates and wants inflation to get to its target, but not much above. The outlook’s changing fast though, and the risks of rising inflation increasing as 2020 approaches. UBS Chief Economist Seth Carpenter and his colleague, 15-year Fed veteran Alan Detmeister, deep dive on inflation, interest rates and unemployment, giving their predictions for the US economy in the short and mid-term.
In 2017 initial coin offerings, the latest tech craze, raised more than $6bn. But there is little regulation for these digital tokens, and they can be risky investments. So how do you judge if an ICO might be worth putting money into?
There’s a macro-micro divide in emerging markets. The IMF and BIS are warning against rising corporate debt, yet P/E ratios are soaring. Where does the debt lie, how long can this dichotomy last, and will the ultimate impact be on equities and government balance sheets? These and other key questions are answered by Bhanu Bhaweja, Head of EM Cross Asset Strategy at UBS Investment Bank.
