Author Archives: Lindsay Sutton

At what point do we stop wondering what the crystal ball will show next?  Lately, every time I turn on the TV, the newscaster is announcing a new prediction for our economic future.  Sometimes two channels are simultaneously reporting completely different forecasts.  At this rate, how can one put faith in any of these hypotheses?  Will we eventually tire of these predictions (which are really nothing more than educated guesses) or will we just give up and roll with the punches?

Our favorite Irish economist Charlie Fell explores our "Prediction Addiction" in his latest blogpost.  Read the full article here.

 

Prediction Addiction

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Human beings are hard-wired to detect patterns and identify causal relationships amidst the constant stream of new information.  This behaviour can be traced to our ancestral past on the African savannah many millennia ago, where the ability to shape expectations from small samples of data, enabled our hunter-gatherer ancestors to successfully forage for edible fruits and seeds, stalk prey, avoid predators, find shelter, and seek mates. 

Scott Huettel, a neuroeconomist at Duke University, explains that, “The brain forms expectations about patterns because events in nature often do follow regular patterns:  When lightning flashes, thunder follows.  By rapidly identifying these regularities, the brain … can expect a reward even before it is delivered.

The ability to anticipate outcomes from regular patterns undoubtedly helped our ancestors to flourish but, Huettel warns that, “in our modern world, many events don’t follow the natural physical laws that our brains evolved to interpret.” The human brain is designed to conserve scarce neural resources, and so much so, that it requires only a single confirmation to anticipate a recurring pattern.  Huettel notes that as a result, “The patterns our modern brains identify are often illusory…

Pattern recognition and subsequent tactical buy or sell decisions are part and parcel of active investment management.  Investors however, often place too much emphasis on the recent past when forming expectations about the future – top-down analysts make tactical calls based on recent economic data, while technical analysts divine the future on historical patterns in stock prices.

Investors’ ‘prediction addiction,’ as the behaviour has been called by the financial columnist, Jason Zweig, is particularly relevant today.  Economists are busy shaving their economic growth forecasts for both this calendar year and next, following a string of disappointing data that fell well short of expectations.  Meanwhile, technical analysts are arguing for a reduction in equity allocations, given price action in the major stock market averages that confirms a change in the underlying trend.

Recession fears are afoot and investors are in need of guidance that will preserve capital and/or yield profits amid the uncertainty.  Indeed, anticipating turning points in the business cycle and, adjusting asset allocation accordingly, is central to successful top-down investing.

Unfortunately, economists have a patchy forecasting record at best, having failed to anticipate every one of the last five recessions.  Indeed, the monthly publication, Blue Chip Economic Indicators, noted in July 1990 that, “the year-ago consensus forecast of a soft landing in 1990 remains intact” – the economic expansion peaked that very month!

More than a decade later in March 2001, fewer than five per cent of economists anticipated that there would be a recession that year, even though a downturn was set to begin just days later.  More recently during the spring of 2008, the calls for a soft landing were almost deafening, despite the fact that the deepest recession since the 1930s was already underway.

Perhaps the study of historical price patterns performs better.  After all, stock price data is not reported with a lag and, unlike economic data, is not subject to revisions that continue several quarters after the fact.  As William Hamilton, the fourth editor of the Wall Street Journal wrote in his 1922 classic, ‘The Stock Market Barometer’ – “The market represents everything everybody knows, hopes, believes, anticipates, with all that knowledge sifted down to ... the bloodless verdict of the market place.”

The study of historical price patterns suggests that a further decline in the major market averages may lie in wait.  The 18 per cent fall in stock prices from their recent peak late-April, resulted in a bearish ‘Death Cross’ signal on August 12, as the stock market’s 50-day moving average of closing prices dropped below its 200-day moving average.

The ‘Death Cross’ is considered by technical analysts to be a portent of future weakness, but is the signal’s presumed ability to anticipate turning points and enhance investment performance supported by the historical record?  To find out, the ‘Death Cross’ and its converse, the ‘Golden Cross’, are employed as tactical sell and buy signals respectively, for a simple long/short strategy and, the investment results – excluding dividends – are compared with those generated from a straightforward buy-and-hold strategy.

The historical record shows that before the most recent ‘Death Cross,’ there had been 63 tactical signals since the summer of 1949 – 32 buy and 31 sell signals – which, gives weight to the late Paul Samuelson’s criticism in 1966, that ‘The stock market has predicted nine out of the last five recessions.

The buy and sell signals resulted in 33 winning trades and 30 losing trades, which is not much better than a coin toss.  More importantly, the price return generated by the long/short strategy saw an initial $10,000 investment compound to $537,000 over the period, as against $775,000 for the buy-and-hold strategy.

The historical evidence suggests that the ‘Death Cross’ adds no value to the investment process.  However, a more complete examination of its credentials reveals that it subtracts from investment performance during secular bull markets, which are characterised by powerful up-trends with only the briefest of interruptions; it adds to performance during secular bear markets, which are characterised by a protracted sideways pattern that is punctuated by violent downward price swings.

The bearish indicator provided ample warning to investors of impending danger, close to a market top in both the autumn of 2000 and the winter of 2007.  Has the ‘Death Cross’ sounded an early warning bell once again?  Time will tell.

 

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

Charlie Fell may be Irish, but he draws upon our very own Massachusetts history to explain the misfortune that has fallen upon Wall St.--witchcraft!  Well, not exactly, but he does use historical data to explain why a double-dip recession may not be in the cards.  Let's hope this bad spell ends before the situation gets even scarier!  Read his full blog-post here.

 

 

A Double-Dip is Not Reflected in Stock Prices

On this day in 1692, John Proctor along with fours others, including the Reverend George Burroughs, were executed by hanging at Gallows Hill in the village of Salem, Massachusetts, having being pronounced guilty of witchcraft and sentenced to death two weeks previously.  More than three centuries later and, the ‘black arts’ are clearly being practiced on Wall Street, as a coven of investment soothsayers has consulted their Ouija boards, amid the extreme volatility on financial markets, and divined that stock prices have already discounted the dreaded double-dip recession.

The diehard bulls on Wall Street stand accused of misplaced optimism that appears to be based on wishful thinking rather than hard facts.  The notion that an economic downturn is already reflected in stock prices at current levels is simply not supported by the historical evidence.

There have been nine recession-induced declines in the major stock market averages since the mid-1950s.  The mean and median drop in stock prices across these bearish episodes was 32 per cent and 28 per cent respectively, as compared with the 18 per cent fall from the recent cyclical high registered in late-April.

Furthermore, stock prices bottomed early last week on valuations – based on cyclically-adjusted earnings – that are several multiple points above the average recorded at the trough of previous recession-induced declines.  For current valuations to contract to the typical price/earnings multiple seen at previous cycle lows, the major indices would have to fall by a further 17 to 31 per cent, based on operating and reported numbers respectively.

The verdict of history is clear – the recent decline in stock prices and the resulting valuation multiples do not incorporate an economic downturn.  The historical evidence suggests that, given a recession-scenario, the S&P 500 could easily drop to 925 and, perhaps even further to below 775, as compared with a recent high of 1364.  In this regard, it is important to stress that the lesser of the two outcomes is more probable, should a downturn materialise, for a number of reasons.

First, a ‘true’ double-dip recession, where the level of real GDP during the up-cycle fails to exceed the previous business peak, has never before occurred in the post-WWII era.  The annual revision of the national income and product accounts, published by the Bureau of Economic Analysis (BEA) last month, revealed that the contraction in economic activity from the winter of 2007 to the summer of 2009 was greater than originally thought – at more than five per cent or half-way to a depression – while the subsequent recovery was not as robust as initially reported.

The lacklustre economic momentum since activity bottomed more than two years ago, means that slack in factor markets remains considerable – most notably in the market for labour.  The civilian unemployment rate has been north of 8 ½ per cent for 31 consecutive months – the longest stretch since the 1930s – and the current reading of 9.3 per cent is four percentage points above the average of the rate recorded at the previous nine business peaks.  Not surprisingly, real personal income, excluding transfer payments such as unemployment benefits, is still more than five per cent below the cycle peak, which suggests that households are decidedly short of firepower, even absent an economic downturn.

Second, the growth rate in nominal output – both year-on-year and quarter-on-quarter – has rarely been lower when the economy stood on the verge of recession.  The current pace of year-on-year growth is roughly half the typical level registered at previous business peaks, while the annual rate of quarter-on-quarter growth is more than two percentage points below its comparable number.

It cannot be stressed enough that a low growth rate in nominal output, combined with debt levels that are close to record highs relative to GDP, means that the economy is vulnerable to a vicious debt-deflation cycle, whereby demand-side constraints lead to falling nominal GDP, soaring unemployment and a catastrophic decline in corporate profits.

The household debt-to-GDP ratio has declined by more than eight percentage points from its peak to below ninety per cent, but the current figure remains high by historical standards, while declining tax revenues relative to GDP, combined with automatic stabilisers and various fiscal stimulus programmes, means that consumers’ deleveraging efforts have been more than offset by the increase in both federal and state debt-to-GDP ratios.  The bottom line is that the non-financial sector debt-to-GDP ratio has jumped from 226 per cent in 2007 to more than 245 per cent today.

Third, the prolonged ‘soft patch’ in the U.S. economy has already been transmitted to Europe.  Eurostat revealed earlier in the week that growth slowed to just 0.2 per cent in the euro-zone during the second quarter, as compared with the previous three-month period.

Should a recession in the U.S. materialise, the negative impact on the economic environment in Europe would surface relatively quickly via financial markets, and exacerbate the stress in sovereign debt markets that has already moved beyond the ‘soft’ periphery to Italy and Spain.  It is not unreasonable to argue that a full-blown recession in the euro-zone, at this juncture, would shut Italy out of the bond market, precipitate more than one sovereign default and a banking crisis that could bring an end to monetary union.

The notion that stock prices have already incorporated a double-dip recession is nothing less than bunkum.  The downside risk to stock prices from current levels, should the developed world succumb to recession, is material and cannot be dismissed out-of-hand, given that both governments and central banks lack the firepower to push the economy forward.  Tail-risk is high and caution is warranted.


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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

Throughout the past few months, 200 of Massachusetts’ best and brightest technology companies have been competing for the prestigious Mass Tech Leadership Council awards.  Submissions were judged by a panel of Council trustees and local thought leaders who narrowed the contest down to 15 star-studded companies. We were totally psyched to learn that we made it to the finalist list!

Our fellow finalists could not be a more eclectic bunch of public and private companies. They have a wide array of products, ranging from Gemvara’s design-your-own jewelry to iWalk’s electronic limbs. The competition was stiff and we’re proud to be the only financial services tech company who made the cut.

On October 6th, all fifteen finalists will duel it out for the Product of the Year title at the Massachusetts Technology Awards Gala.  Throughout the cocktail reception, the CEO of each company will present their product and the winner will be judged by a live audience vote.   We’re counting on Currensee CEO, Dave Lemont, to dazzle the crowd and bring home our first Product of the Year Award!

Check out our competition (and their blogs) below:

AisleBuyer- http://blog.aislebuyer.com/

Apperian- http://blog.apperian.com/

Digital Lumens- http://www.digitallumens.com/company/blog/

Gazelle- http://blog.gazelle.com/

Gemvara- http://blog.gemvara.com/

GrabCAD- http://blog.grabcad.com/

iWalk

KangoGift- http://blog.kangogift.com/

Myomo

Peer Transfer

SpaceClaim- http://www.myspaceclaim.com/blog/sc/default.aspx

Strohl Medical

TripAdvisor- http://tripadvisor.wordpress.com/

Vecna Technologies

If you’re interested in attending the event, visit the Mass TLC page here.  We’d love to have your support!

 

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

As promised here is Part 2 of our interview with PIIGS panelist Charlie Fell. Charlie will be joining us on Thursday for our live webinar discussing the Eurozone debt crisis.

What country would a Greek default affect the most and why?

Contagion would be immediate to Portugal and Ireland, as investors would immediately speculate that the two troubled nations would follow suit.  If the default was disorderly, it could prove impossible to prevent Spain and Italy from being dragged into the quagmire.  Loan losses would also be an issue – the write-downs would bankrupt the Greek banking system and blow a large hole in the balance sheets of French, German and Portuguese banks.  A full-scale financial crisis across the euro-zone and the globe could erupt.  The fear that a Lehman-style meltdown lies in wait is very real.

The Eurozone is typically painted in a bad light, in terms of the USA - how do they measure up?

Public debt has increased at a faster pace in the U.S. than the euro-zone in aggregate and the debt-to-GDP ratio is ten percentage points higher in the former than the latter.  However, unlike the U.S., the euro-zone is not a fiscal union and thus, an individual country with large external debt in euros is much the same as an Asian country that fixes its exchange rate to the greenback and borrows in dollars.  Just as several East Asian countries collapsed in the late-90s when external financing stopped, the same would have happened to Portugal, Ireland and Greece, but for the support of the ECB who have kept the respective banking systems afloat.

Can you explain the relationship between Greece and Spain and how supporting one may mean no funds for the other?

The further support of Greece reduces the available lending capacity of the EFSF, which currently stands at about €320 billion.  This is not sufficient to cover Spain’s financing needs over the next two years, so European leadership must take credible action to contain the crisis, before it spills out of control.

What would happen if one of the PIIGS countries dropped out of the Euro?

Such an outcome is still unthinkable at this juncture, as it would almost certainly precipitate a financial crisis.  It is important to remember that euro membership is effectively irreversible, as exit would unleash the ‘mother of all financial crises’ on the seceding country.

Do you think Italy should be part of the PIIGS?

Italy has, from the euro’s inception, has been the so-called ‘elephant in the room’ given its high level of public debt, which is approaching 120 per cent of GDP, and is low trend growth at just one per cent.  However, the Italian economy does not possess the large macroeconomic imbalances evident in the periphery.  Private sector debt is low as too is the level external financing, the current account deficit is relatively modest at 3.3 per cent of GDP, and the fiscal position is moving in the right direction.  The primary fiscal deficit was close to balance last year and the Italians are expected to have the largest surplus across the euro-zone this year.  Furthermore, its banking sector has relatively little exposure to problem assets abroad.  Italy does not belong to the PIIGS, but unfortunately the markets may think otherwise.

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

This Thursday join Currensee and an all-star panel for a no-holds-barred discussion of what the Eurozone debt crisis means for the Euro and all who invest in it around the world. Of our panelists we are lucky enough to have Charlie Fell. Below Charlie tells us a little bit about himself, and a lot about his stance on the Eurozone debt crisis- This is just Part 1. Part 2 will be posted on Wednesday. Enjoy.

Tell us a little bit about yourself.

I have been involved in the financial markets since the late-80s.  I managed funds for a leading Irish investment manager for more than a decade, before venturing out on my own.  I have lectured finance and investment across the globe and currently write a well-known column on market matters entitled ‘Serious Money’ for the Irish Times.  I set up my own advisory firm a number of years ago that provides investment advice and training to corporate clients.

What is your overall take on the financial state of the PIIGS countries?

Portugal, Ireland, Greece and Spain all benefitted from massive capital inflows priced at ridiculously low interest rates during the early years of monetary union.  The availability of cheap financing contributed to massive macroeconomic imbalances as reflected in large current account deficits that were brutally exposed once the financial crisis struck.

Portugal, Ireland and Greece all required financial assistance and the question now is whether the three sovereigns can stabilise their public finances and return to sustainable growth without some form of debt restructuring.

Low savings rates, a low degree of trade openness, inflexible product and labour markets alongside a lack of political unity means that the Greek situation is virtually hopeless.  The Portuguese face the same negative factors and are also crippled by large private sector debts, which means they are unlikely to generate the growth necessary to reverse the unstable public debt dynamics, even though their government debt burden doesn’t look particularly large versus Greece or Italy.  Ireland possesses several positive factors that may save the day including high private savings rates and a balanced current account, but the dysfunctional banking sector may prove too big a burden.

Why do you think Greece has decided to do little to help with its debt, while countries like Ireland and Portugal have been aggressive?

It is unfair to say that the Greeks have done little to help themselves.  The scale of the task is simply too great to begin with.  Greece reduced its fiscal deficit from 15.4 to 10.5 per cent of GDP last year – a remarkable achievement given that the economy shrank by 4.5 per cent.  The cyclically-adjusted tightening amounted to 8 per cent of GDP – the largest one-year consolidation in recent history for any advanced country.  However, the tough austerity programme is self-defeating, as low savings rates and a relatively closed economy have lessened the economy’s ability to absorb the fiscal tightening.  Fatigue has now set in, as reflected in increasing social unrest, and a default is all but inevitable.

When people refer to how quickly Greece’s economy needs to grow in order to steer away from default - how rapidly are we talking? What would it take?

Assuming the Greeks can return the primary fiscal deficit i.e. before interest costs, to balance this year and assuming no further improvement in the budget balance, the Greek economy would need to record nominal growth of roughly seven per cent per annum simply to stabilise the public debt at roughly 165 per cent of GDP.  Greece did manage growth rates of this magnitude during the ‘good’ times, but primarily as a result of abundant cheap financing and relatively high inflation rates.  The capital markets are now closed to the Hellenic Republic and low inflation rates are required to restore competitiveness.  In a nutshell, the best that can be hoped for is three per cent nominal growth and the fiscal adjustment required thereof is simply too large to be considered realistic.  The government needs to produce primary surpluses of about six per cent of GDP consistently in the years ahead as against a previous best of less than five per cent in 1998.

 

Stay tuned for Part 2, posting on Wednesday!

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

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And the winner is ... Well, we haven't got that far yet but we are one of 15 finalists for the Mass Technology Leadership Council, Inc's Technology Leadership Awards. Last night, in a room full of fantastic CEO's, accomplished private and public companies, and truly innovative CIO's - we realized we have quite the competition in the Product/Service of the Year category. Luckily, we are in our CEO, Dave Lemont's capable hands. On October 6th we'll present alongside the other finalists - everyone is welcome to attend the Awards Gala, and your attendance is encouraged as the company/person with the most votes will be the winner in each category.

Check us out!

MassTLC names awards finalists - Mass High Tech Business News

Mass Technology Leadership Council Announces 2011 Awards Finalists - BostInnovation

 

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

Looks like the Fed is considering untested means of stimulating growth...it'll be interesting to see how this one plays out.  Read more about Bernanke's new plans here.

 

Bernanke lays out easing options

WASHINGTON (MarketWatch) - While the Federal Reserve believes that the temporary shocks holding down economic activity will pass, the central bank is examining several untested means to stimulate growth if conditions deteriorate, including another round of asset purchases, dubbed QE3, Fed chairman Ben Bernanke said Wednesday in remarks prepared for the House Financial Services Committee. Bernanke discussed three approaches to further easing in his prepared remarks. One option, Bernanke said, would be for the Fed to provide more "explicit guidance" to the pledge that rates will stay low for "an extended period." Another approach would be another round of asset purchases, or quantitative easing, or for the Fed to "increase the average maturity of our holdings." Finally, the Fed could also reduce the quarter percentage point rate of interest that it pays to banks on their reserves, "thereby putting downward pressure on short-term rates more generally." Bernanke was clear to stress that easing was not the only option under consideration and that the next Fed move could well be to tighten. At the moment, Fed officials see a recovery that "will likely remain moderate," Bernanke said, with the unemployment rate falling "only gradually." Inflation is expected to subside in coming months, he said.

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

Despite the tumultuous Eurozone debt crisis, Alan Young has found some good trading opportunities.  Check out which bank stocks he has identified as "rare bargains" here.

On a similar note, to learn more about how the PIIGS crisis can affect your trades, sign up here for our free webinar on 7/21 at 12PM EST featuring panelists Charlie Fell, Jamie Coleman, and Bob Iaccino.

Buying Eurozone Banks

This week has seen yet another crisis of confidence in European banks, as increased risk has suddenly (and unreasonably) been attributed to Italy’s bonds. When prices are driven by “news” that is really just new spin on information that has already been known, there is a good opportunity to trade.

In this case, the spin has driven valuation of European banking stocks down to very attractive levels. Two banks in particular have attracted my attention.

I’ve written previously about the National Bank of Greece (NBG), arguing that so much negativity had been priced into the stock that there was much more potential upside than down. I still think this is true, probably even more so, since the market has continued to drive the stock price down. But there’s a new opportunity here as well. The bank suspended the dividend on its preferred shares, NBG-A, which had been scheduled for payment on June 1. Before the announcement, the shares were trading around $15, for a yield of 15%. But investors drawn to this yield fled when the dividends were cancelled, and the price is now less than half of that.

The cancellation of the dividends were not a big surprise, but I think the price is attractive again. Sooner or later, the dividend will be reinstated, so holders of the shares who buy at the current price will be earning a 30% return, plus whatever capital gain is realized when the shares are sold or called. The only question is how long one will have to wait.

The other bank I’ve nibbled on is Spain's Banco Santander (STD). This is thought to be the best-capitalized and best-diversified bank in the euro-zone, and it is still paying regular dividends. Yet in the current panic, common shares are trading at a 30% discount to the bank’s cash holdings, with a dividend yield of 8.5%.

STD also has several series of preferred shares, most yielding in the area of 8-9%. In other words, they are priced as junk, even though S&P rated them A- just 3 weeks ago.

There is always some risk. If the euro-zone completely disintegrates over its current debt disputes, Euro-denominated bank stocks will suffer catastrophically. But I don’t think it’s likely. In any other scenario, these seem like a rare bargain.

Disclosure: I am long NBG, STD. Also long NBG-A and STD-B.

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

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Thanks for the awesome coverage from The Wall Street Journal and Dow Jones. Read the full article here or read the press release here.

Currensee Hints At Rude Health In Retail Forex

LONDON (Dow Jones)--Undeterred by surprise shifts in the currencies market, more retail traders appear to be having a go.
Currensee, a social networking site for these accounts, reported a four-fold increase in user assets under management in the last four months, taking the total to $12 million.

The site lets users mimic the strategies of other traders using the network. It has attracted some $6 billion in flows since it was launched in October, the firm said Thursday.

Whether this reflects growth in the retail market as a whole is tough to tell. The Boston-based company now has more than 400 users with average accounts of more than $25,000.

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.

This May, Currensee presented at Finovate 2011 in San Francisco, California. Currensee's CEO, Dave Lemont knocked it out of the park with a killer presentation and a packed house. Watch the video below or click here to view it on our website. Thank you for having us Finovate!

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Be sure to read the full risk disclosure before trading Forex. Please note that Forex trading involves significant risk of loss. It is not suitable for all investors and you should make sure you understand the risks involved before trading. Performance, strategies and charts shown are not necessarily predictive of any particular result. And, as always, past performance is no indication of future results. Investor returns may vary from Trade Leader returns based on slippage, fees, broker spreads, volatility or other market conditions.