Research and consultancy, Tabbush Report

Daniel Tabbush

Research and consultancy

Tabbush Report

We provide research and consultancy on Asian banks. Our focus is on what we call “Asian bank research, without the noise.” We are interested in the most critical swing-factors for banks, the NPL and credit cycle, and where we believe there is a gap between perception and reality. We often focus on the less studied components of bank financial statements.  Our research is highly thematic, sometimes examining unlisted banks and companies as a window on mainstream banks. 

Being independent allows us to look at smaller banks, often overlooked by others. Analysis of BIS bank guidelines in the context of Asia, is also a focal point, while we also analyze global banks operating in the region. We use what we believe is the most comprehensive, reliable financials database, SNL Financial. S&P Capital IQ augments our database, with corporate data and CEIC, with economics. 

Asian bank research, without the noise.

Thematic (Sector/Industry)

There is plenty of corporate risk out there. We have seen this across several large economies in the way of meaningful corporate stress. In South Korea, the Hanjin Shipping bankruptcy has negative implications not only for Korean banks, but certainly other banks lending into this space. This will not be an isolated shipping stress; there will be more.  In China, Bohai Steel is in trouble, which reportedly has US$28.9 billion in overdue loans. The steel sector has hit several banks in Thailand…

There is plenty of corporate risk out there. We have seen this across several large economies in the way of meaningful corporate stress. In South Korea, the Hanjin Shipping bankruptcy has negative implications not only for Korean banks, but certainly other banks lending into this space. This will not be an isolated shipping stress; there will be more.  In China, Bohai Steel is in trouble, which reportedly has US$28.9 billion in overdue loans. The steel sector has hit several banks in Thailand…

Consumer Banks in Asia May Fare Better at a Time when Large Corporate Stresses Are Evident

APAC Investment Strategy, Animal Spirits Report, Quiddity Advisors

Paul M. Kitney, PhD

APAC Investment Strategy, Animal Spirits Report

Quiddity Advisors

Pan-Asia Catalysts/Events

<h2>Executive Summary</h2><ul>
<li>This week, the Fed has behaved consistently with our macro roadmap by not raising rates yet but running the US economy "hot". Two implications: 1. Bullish for Emerging Markets. Our top pick is China; 2. JPY should remain flat to strong near term holding back an earnings recovery. We are constructive but near term: "Neutral" in DM and "Underweight" in APAC.</li>
<li>Our BOJ call (see below) was correct. Three implications: 1. Targeting of the yield curve is positive for financials. We like…</li>
</ul>

Executive Summary
This week, the Fed has behaved consistently with our macro roadmap by not raising rates yet but running the US economy "hot". Two implications: 1. Bullish for Emerging Markets. Our top pick is China; 2. JPY should remain flat to strong near term holding back an earnings recovery. We are constructive but near term: "Neutral" in DM and "Underweight" in APAC.
Our BOJ call (see below) was correct. Three implications: 1. Targeting of the yield curve is positive for financials. We like…


ANIMAL SPIRITS™ UPDATE: Japan Equity Market Outlook - BOJ, Fed & The Value Trap

Leading Independent Investment Research, Morningstar, Inc.

Morningstar

Leading Independent Investment Research

Morningstar, Inc.

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. We offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors. 

Morningstar provides data on more than 500,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 16 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries, with more than $180 billion in assets under advisement or management as of June 30, 2015. We have operations in 27 countries.

Download the Morningstar Fact Sheet : http://corporate.morningstar.com/US/documents/MarketingFactSheets/AboutMorningstarFactsheet.pdf

Equity Bottom-Up

United Overseas Bank, or UOB's, corporate day highlighted the bank's IT capabilities and future initiatives, along with its financial technology, or FinTech, investments under their accelerator program, FinLab. After completing the integration of all its regional banks onto a single platform, the bank is maintaining its technology spending to focus on payments, data, and security and compliance. Technology-related expense averaged 2.7% of total operating income over the past five years, and we expect the firm to maintain this.Our view on the narrow-moat bank is unchanged, and the technological spend should reaffirm the bank's competitive position in the Singapore market and the wider region. This is supported by a large Singapore deposit base, providing the bank with low-cost funding advantage. The bank is slightly undervalued, trading at a 14% discount to our fair value estimate.Analyst: Michael Wu, CAIA

United Overseas Bank, or UOB's, corporate day highlighted the bank's IT capabilities and future initiatives, along with its financial technology, or FinTech, investments under their accelerator program, FinLab. After completing the integration of all its regional banks onto a single platform, the bank is maintaining its technology spending to focus on payments, data, and security and compliance. Technology-related expense averaged 2.7% of total operating income over the past five years, and we expect the firm to maintain this.Our view on the narrow-moat bank is unchanged, and the technological spend should reaffirm the bank's competitive position in the Singapore market and the wider region. This is supported by a large Singapore deposit base, providing the bank with low-cost funding advantage. The bank is slightly undervalued, trading at a 14% discount to our fair value estimate.Analyst: Michael Wu, CAIA

UOB's Corporate Day Highlights the Bank's FinTech Investments and IT Capabilities

Deciphering real estate markets globally., Rems Advisors

TAN Kok Keong

Deciphering real estate markets globally.

Rems Advisors

A key issue facing many Government across the globe is how to keep home affordable while maintaining an environment attractive for foreign investments.  This issue runs deep whether you are in developed countries like United Kingdom, Australia, Singapore or emerging markets like Myanmar, Cambodia, Vietnam, etc.The huge disparity in prices of luxury homes vs what middle to lower income groups can afford has been largely caused by the relative strong purchasing powers of foreign participants in…

A key issue facing many Government across the globe is how to keep home affordable while maintaining an environment attractive for foreign investments.  This issue runs deep whether you are in developed countries like United Kingdom, Australia, Singapore or emerging markets like Myanmar, Cambodia, Vietnam, etc.The huge disparity in prices of luxury homes vs what middle to lower income groups can afford has been largely caused by the relative strong purchasing powers of foreign participants in…

With worsening credit quality overseas, considerable risk remaining with oil and gas service companies, and relatively high exposure to off-balances sheet and market risk, the two capital raisings by DBS and UOB should come as no surprise.  DBS announced a US$750m perpetual capital securities issue late in August. UOB announced a US$600m subordinated note in early September. Both issues include a conversion clause. In the case of DBS this should be no surprise, as the capital is Tier 1. For UOB…

With worsening credit quality overseas, considerable risk remaining with oil and gas service companies, and relatively high exposure to off-balances sheet and market risk, the two capital raisings by DBS and UOB should come as no surprise.  DBS announced a US$750m perpetual capital securities issue late in August. UOB announced a US$600m subordinated note in early September. Both issues include a conversion clause. In the case of DBS this should be no surprise, as the capital is Tier 1. For UOB…

DBS and UOB Tier 1 and Tier 2 Capital Raising - Perhaps More Will Follow?

Singapore

United Overseas Bank Limited provides a wide range of financial services including personal financial services, wealth management, private banking, commercial and corporate banking, transaction banking, investment banking, corporate finance, capital market activities, treasury services, futures broking, asset management, venture capital management and insurance.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

UOB (UOB SP)

Consumer Banks in Asia May Fare Better at a Time when Large Corporate Stresses Are Evident

There is plenty of corporate risk out there. We have seen this across several large economies in the way of meaningful corporate stress. In South...

Daniel Tabbush

ANIMAL SPIRITS™ UPDATE: Japan Equity Market Outlook - BOJ, Fed & The Value Trap

Executive Summary This week, the Fed has behaved consistently with our macro roadmap by not raising rates yet but running the US economy "hot". Two...

Paul M. Kitney, PhD

UOB's Corporate Day Highlights the Bank's FinTech Investments and IT Capabilities

United Overseas Bank, or UOB's, corporate day highlighted the bank's IT capabilities and future initiatives, along with its financial technology,...

Morningstar, Inc.

Helping People Own a Home

A key issue facing many Government across the globe is how to keep home affordable while maintaining an environment attractive for foreign...

TAN Kok Keong

DBS and UOB Tier 1 and Tier 2 Capital Raising - Perhaps More Will Follow?

With worsening credit quality overseas, considerable risk remaining with oil and gas service companies, and relatively high exposure to...

Daniel Tabbush

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)