Chinese money update: losing momentum
June 17, 2025
Chinese monetary trends suggest a continuation of lacklustre economic growth with negligible inflation.
Unique investment philosophy
Profitability focuses stock selection
Securities expected to generate high/improving economic
profitability relative to the market should outperform
Liquidity analysis
Money supply leads economy, but excess money moves asset
markets earlier i.e. Money Moves Markets (Liquidity Theory of Asset Prices)
Peer review ensures discipline
Revalidate, test conviction continuously; ensure tight capital
discipline (Behavioral Finance Theory)
Bias towards companies that have:
Stable revenue
High return on invested capital (ROIC) across business cycle
Do not require leverage to generate returns
Strong brand and/or intellectual property
Resilience to change and technological innovation
Opportunities to deploy capital to grow
Organic growth rather than via large acquisitions
Low threat of regulatory risk
Simple and easy to understand business model
Investment process –
economic analysis
Fundamental macroeconomic liquidity analysis provides the framework for portfolio construction
Interpreting liquidity trends is paramount to country, sector and thematic views
Liquidity analysis dictates risk appetite at regional, sector and total portfolio level
NS Partners
Global Equity
A portfolio of global equities measured against the MSCI World Net Index.
NS Partners
Global Equity Focused
A focused portfolio of global equities measured against the MSCI World Net Index.
NS Partners
International Equity
A portfolio of non-North American equities measured against the MSCI EAFE Net Index.
NS Partners
International Equity Focused
A focused portfolio of non-North American equities measured against the MSCI EAFE Net Index.
NS Partners
US Equity
A portfolio of US equities measured against the S&P 500 Index.
NS Partners
ACWI ex-US
Focused Equity
A focused portfolio of non-US equities including exposure to emerging markets, measured against the MSCI ACWI ex-US Net Index.
NS Partners
European Equity
A portfolio of equities in Europe (including or excluding the UK) measured against the MSCI Europe Net Index.
Insights
Read More
Are EM equities great again?
June 16, 2025
In this month’s commentary we go under the hood of the recent rally in EM equities, and cover Mexico’s controversial judicial elections and their impact on the country’s institutional quality.
A “monetarist” perspective on UK medium-term inflation prospects
June 11, 2025
Historical lags and exchange rate appreciation suggest that disinflation has much further to run.
Disappointing Eurozone / UK money numbers
June 6, 2025
Eurozone / UK money growth has weakened despite rate cuts, suggesting that central banks have more work to do.
Global industrial momentum still weakening
June 5, 2025
Trade disruption and a monetary relapse suggest receding prospects for a H2 recovery in global manufacturing PMI new orders.
Global money update: renewed weakness
June 4, 2025
A hopeful signal from an earlier monetary pick-up has fizzled.
US money update: balance of payments drag
May 30, 2025
US money growth is slowing, suggesting less support for the economy and improving prospects for rate cuts.
UK inflation: underlying softening
May 28, 2025
UK April inflation numbers were much less bad than reported.
Implications of Asian currency tremors
May 16, 2025
This month’s commentary examines how the violent surge in the Taiwan dollar in early May could signal the start of a broader shift in global capital that could have big implications for which markets out- or underperform going forward.
Why is the UK an employment outlier?
May 16, 2025
UK monetary trends have been arguing for faster MPC easing. Labour market news is now reinforcing the message.
Inflation leading indicators still benign
May 9, 2025
Three indicators that signalled the 2021-22 global inflation spike and reversal continue to suggest a favourable outlook.
Are US monetary conditions about to tighten?
May 1, 2025
“Treasury QE” has supported US broad money growth but a lifting of the debt ceiling promises a reckoning.
Are Eurozone money trends inflecting weaker?
April 30, 2025
Eurozone March money numbers suggest that further ECB policy easing will be required to insulate the economy from global weakness.
Global money update: cavalry arriving?
April 24, 2025
A rise in money growth, if sustained, could offset US tariff damage.
‘Beautiful’ tariffs and the end of exceptionalism
April 22, 2025
This month’s commentary considers how America-First trade policy has exposed US money and credit imbalances, and how this may signal the beginning of a new regime in global financial markets.
For additional information on NS Partners Ltd, please contact:
Brent Wilkins
Senior Vice President,
Head of Institutional Sales, Canada
Eric Hasenauer
Senior Vice President,
Co-Head of Institutional Sales, USA,
John Ricketts
Senior Vice President,
Co-Head of Institutional Sales, USA
Anna Kirk
Chief Compliance Officer
& Head of Client Service
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