Ignore the Chinese market at your peril

We live in a time where there are many white elephants in the room. My latest encounter with this l...

We live in a time where there are many white elephants in the room. My latest encounter with this large creature was in conversation with a French fund manager who has just launched an innovative dividend swap markets-based fund that tracks futures on the Dow Jones EuroStoxx. We were trying to understand why this market was assuming that dividends for the big European blue chips were going to fall by more than a third over the next few years. Surely this was a little odd given the likelihood of some economic recovery this year or next and an eventual uptick in dividend payouts. In lil...