Delivering Global Macro Investment Insights

DeSaque Macro Research

DeSaque Macro Research Limited was formed by Said DeSaque in April 2012 with the view to delivering global macro investment insights aimed at providing new ideas to clients.

Said DeSaque has over 26 years of experience working as a professional economist in financial services. Prior to establishing DeSaque Macro Research, Said held positions as Senior Economist at Robert W Baird and William Blair. He began his career as a graduate at PaineWebber in 1986, where he eventually became Head of the London Economics Department.

Said takes a very keen interest in international relations, along with their implications for economic development. His research interests include the economic transformation of China and its implications for global capital markets, particularly in the United States. He is a member of Chatham House in London.

The US economy and capital markets have historically been Said’s main focus of attention. He frequently presents his views to institutional investors in diverse geographic locations. In recent years, Said has also been carefully monitoring economic developments in Asia, particularly China and Japan.

Japan: Is the Balance Sheet Recession Over?

JPY Movement Under Fed Rate Cut and BOJ Rate Rise

Global Economist, DeSaque Macro Research

Said Desaque

Global Economist

Cross Asset Strategy

<ul>
<li>Despite Abenomics, Japan's non-financial corporations have continued to hoard cash since 2005 to its current level of 44% of GDP.  Overseas investment has increased since 2005, indicating higher profitability.</li>
<li>Although share buybacks have surged in recent years, they remain significantly below US levels, but are arguably more sustainable due to high cash balances.</li>
<li>Japanese equities are cheap on a cross-border basis, but corporations' shift to focus on shareholder value under Abenomics has not produced richer valuations.</li>
</ul>


Despite Abenomics, Japan's non-financial corporations have continued to hoard cash since 2005 to its current level of 44% of GDP.  Overseas investment has increased since 2005, indicating higher profitability.
Although share buybacks have surged in recent years, they remain significantly below US levels, but are arguably more sustainable due to high cash balances.
Japanese equities are cheap on a cross-border basis, but corporations' shift to focus on shareholder value under Abenomics has not produced richer valuations.


Japan’s Corporate Balance Sheet Recession: Still Impacting Attitudes Towards Risk-Taking