Getting the “Vibe” about the worlds broad market and sector indexes

Posted by Chris Kesting on 12 July 2016 | Comments

Getting the “Vibe” about the worlds broad market and sector indexes

This site from Star capital, a German based company, is only updated quarterly so the information dates quickly (in esp. in 2016) So here it is while it is still fresh.

If you are interested in investing overseas index funds, it offers a map of how the worlds different country’s markets are performing. A useful ranking chart follows. It then divides each country’s sectors up according to CAPE performance.

Each market is scored on the following parameters

PE (Price-Earnings-Ratio),

PC (Price-Cash flow-Ratio),

PS (Price-Sales-Ratio) and

DY (Dividend-Yield) are based on trailing 12 month values.

PB (Price-Book-Ratio) is based on the most recent company financial statements.

The rounded RS(Relative-Strength)-Indicators (following Levy) divide the current market price by the average price of the previous 26/52 weeks.

The Star Capital “final score” is based on their summation of these ratios

Some Caveats

Different countries will often have different: Inflation levels, interest rates, currency fluctuations, sovereign risks, debt burdens, economic headwinds or could be experiencing rapidly declining or recovering economies.

(And that is just off the top of my head) To quote that famous lawyer Dennis Denuto

“It's the vibe of the thing, your Honour.”

unless of course you intend to do an awful lot of research .


Mike H

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