Articles by Ofelia Marín Lozano

About the Author

Ofelia Marín Lozano
Ofelia Marín-Lozano is as financial analyst and CEO at 1962 Capital SICAV. She holds a Ph.D. in Economics and is Professor of Global Business Environment and Financial Analysis in Madrid's Icade Business School.
stock markets indices

The Risk Inherent In multiples On Stock Markets Indices

Making judgements on “whether a market is expensive or cheap,” using aggregates of prices and earnings, is a very risky simplification. To begin with, there are companies which don’t make money or even lose it, and quite a lot of it. Responsible, professional investors don’t buy  stock markets indices, they buy shares. They don’t invest “top-down” but rather “bottom-up”.


US stock

European Or US Stock Market?

From a conservative standpoint, given the current dividend, the European bourse offers a higher return than the US stock market. At current prices, and taking into account the dividend paid against 2016 results, the Euro Stoxx 50 offers a dividend yield of 3.4% versus the 2.0% offered by the S&P 500. If we take as a reference the dividends estimated against 2017 or 2018 results, the outlook doesn’t vary much, maintaining a differential close to 1.5% of annual return, in favour of the European bourse.


Bonds linked to inflation

Inflation-Linked Bonds Are Back Against A Backdrop Of Rising Prices

Ofelia Marín-Lozano | As inflation increases, the TIPS (treasury inflaction protected securities) are the asset which offer the best peformance, ahead of commodities and equities (….)much better than traditional bonds in the case of rising inflation, very similar in the case of a decline in activity and worse in the case of falling inflation.


Spain's competitiveness

Spain’s Competitiveness Improves As Economic Growth Strengthens

Ofelia Marín- Lozano | The productive model of the future should focus on boosting the country’s competitiveness (where education, the family, discipline and the incentive to do a good job are a necessary start). But sectors like construction should also be encouraged to recover their lost protagonism.


Bayer's M&A deal with Monsanto

Low Interest Rates Fuel Record M&A Deals

Ofelia Marín-Lozano | The exceptionally low interest rate scenario, with short-term rates even in negative territory, are undoubtedly an incentive for major corporate transactions. Being able to get 20-year funding at a fixed annual rate of below 2% is fuelling a slew of M&A deals which, in another scenario, would be prohibitive.


USA stock exchange

Dividends Yields Rise As Returns On Corporate Debt Dwindle

Ofelia Marín-Lozano | In the US stock market, the big companies offer a dividend yield of around 2% and the rate of return on their debt with an average maturity of 5 years is also about 2%. In the European stock market, on the other hand, while the dividend yields of the big companies in the eurozone are at record highs (on average over 4%), what they pay on their debt is at minimum levels.