International Investments in Major Markets. An Update

by | Oct 10, 2007 | Archives

International Investments Major Market Value Analysis – September – October 2007

The best way to create long term international investment profits is to get good value in the shares you buy.

One way we keep track of international investment value is to follow the analysis of our friend, Michael Keppler. Michael continually researches international major stock markets and compares their value based on current book to price, cash flow

to price, earnings to price, average dividend yield, return on equity and cash flow return. He compares each major stock market’s history. From this he develops his Good Value International Investment Major Stock Market Strategy. His analysis is

rational, mathematical and does not worry about short ups and downs.

He is in my opinion one of the best international investment market statisticians in the world and numerous very large fund managers use his analysis to manage funds.  In January, his company, Keppler Asset Management, was, for the third

consecutive year, named Best Fund Company in the Fund Specialists’ category by Capital, a leading German business magazine. Keppler’s firm was one of only six out of 100 companies tested that received the highest five-star

rating based on an independent evaluation of fund quality, management, and customer service by Feri Rating & Research and Steria Mummert Consulting.

Once a month we share Michael’s analysis with you.

Here is a summary of Keppler’s current comments on recent developments & outlook in international major markets.

Recent Developments & Outlook

After three consecutive losing months, global equity markets bounced back last month. The Morgan Stanley Capital

International (MSCI) World Total Return Index  advanced 4.8 % in US dollars and 0.4 % in euros.

Year-to-date (through the end of September), the MSCI World Index gained 11.7 % in US dollars and 3.6 % in euros.

The US dollar lost 4.1 % versus the euro in September, 5 % during the third quarter and 7.3 % year to date. It now stands at 1.4222 USD/EUR, a new all-time low versus the euro. Had the euro existed in March

1995, at the official exchange rate versus the Deutsche mark of 1.95583, the dollar would have been lower still at that

time: 1.4292.

Fifteen markets provided positive returns and three markets declined in September. The biggest gainers last month

were Hong Kong (+14.9 %), Singapore (+8.9 %) and Australia (+5.6 %).

Austria (-3.7 %), Belgium (-1.8 %) and Italy (-0.6 %) declined.

All performance numbers are in local currencies, unless mentioned otherwise.

Year-to-date (through the end of September) we count fourteen rising and four falling markets. Hong Kong performed best with a 31.6 % gain, followed by Singapore (+28.5 %). Germany and Australia shared the third best year-to-date performance: 19.3 %.

The four losers so far this year have been Austria (-5.7 %), Belgium (-4.1 %), Italy (-2.2 %) and Japan (-1.6 %).

There are no changes in our performance ratings this month. The Top Value Model Portfolio contains Belgium ,

France, Germany , Italy , the Netherlands , Spain and the Untied Kingdom at equal weights.

Our current ratings suggest that these markets continue to offer the highest expectation of risk-adjusted returns.

SELL CANDIDATES (Low Value) Austria , Canada , Denmark , Hong Kong , Japan , Singapore , Switzerland , U.S.A.

NEUTRALLY RATED MARKETS Australia , Norway , Sweden .

For more details on Keppler’s analysis, contact Roderick Cameron at

1-212-245-4304 or email

You can get ideas on shares in these top value emerging stock markets from Thomas Fischer at Jyske Bank at

Jyske Bank is the second largest Danish bank with 450,000 domestic clients, 35,000 international clients, USD 23 Billion in total assets, and a Moody’s rating of AA1.  Jyske has over 35 years’ specialization in private banking

and Denmark is ranked by Moody’s as the safest country in the world to have a bank account in. 

Jyske Bank uses a good value system as well and their affiliated fund management company has been rated #1 by Morningstar. They use this value system to help us select shares for Multi-Currency Portfolio Educational

Tracking Service.  This has worked pretty well. In 2006 the mainly equity portfolios we tracked rose 42.93% (Emerging Market) and 114.16% (Asia Emerging Market) in a year.

This year the five portfolios we track are up in the past eleven months:

Portfolios 2007 Mar 27 June 28 July 20 Aug 17 Sept 28 Oct 5
Swiss Samba 16.15% 44.80% 45.84% 15.19% 44.40% 47.94%
Emerging Market 12.81% 54.31% 67.67% 30.50% 103.22% 105.22%
Dollar Short 20.12% 33.81% 40.31% 9.14% 42.71% 42.06%
Dollar Neutral 16.58% 37.64% 38.07% 13.56% 34.74% 37.10%
Green 86.86% 178.28% 214.15% 110.93% 220.22% 236.47%

You can learn why this performance has taken place in a sixteen page email report about how 13 economic forces now clash to shape investments markets ahead that show the rewards and the risks.  The report also outlines the

five Multi-Currency Portfolios we are tracking in our Borrow Low-Deposit High Multi-Currency Sandwich Educational Service. Details are at

Until next message, may all you global investments be good.


Join us at our Hotel Meson de las Flores for our next International Business & Investing Made EZ in Ecuador , November 9-10 and 11 where we will update our multi currency portfolios.

I will conduct most of the November 9-10 and 11, 2007 course in Cotacachi but have also invited Peter Conradsen and  Henrik Villumsen from Jyske Bank to speak and be available for private consultations (no added cost).   Jyske Bank is one of the leading international investing and currency managers in the world. Their trading room process $50 billion of business a day. So this next course makes a huge amount of global investing information available to you.

Join us in Ecuador for all three of our November courses and save $398. See

We hope to see you there.