“If you can’t explain it simply, you don’t understand it.” And so it is with complex machine learning (ML). ML now measures environmental, social, and governance (ESG) risk, executes trades, and can drive stock selection and portfolio construction, yet the most powerful models remain black boxes. ML’s accelerating expansion across the investment industry creates completely novel concerns about reduced transparency and how to explain investment decisions. Frankly, “unexplainable ML algorithms [ . . . ] expose the firm to unacceptable levels of legal and regulatory risk.” In plain English, that means if you can’t explain your investment decision making, you,…
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Bank of Japan (BoJ) Governor Kazuo Ueda said on Friday that “from a long-term perspective, rising interest rates will help improve financial institutions’ profits.” Additional quotes BoJ’s massive monetary easing, including yield curve control (YCC), was a necessary process towards achieving our price target. We acknowledge the BoJ’s massive stimulus has caused various side effects. The rise in long-term interest rates will push up corporate funding costs but they also need to take into account how improving the economy will underpin their profits. Survey, data on bank lending, firms’ funding conditions show they are in good shape. Accommodative monetary environment…
Goettingen, Germany – February 20, 2025 – Climate Forest, a global leader in climate forest development and carbon credit generation, has officially launched its operations in North America. This strategic expansion marks a significant step in the company’s mission to integrate sustainable forestry with economic value, providing businesses with impactful investment opportunities while enabling forest owners to generate long-term revenue.By leveraging its expertise in transforming traditional forests into climate forests, Climate Forest enhances biodiversity, promotes resilient mixed forests, and strengthens vital ecosystem services. The company’s approach aligns with global climate goals, ensuring corporate sustainability efforts translate into tangible environmental impact.Bridging…
Governments worldwide continue to set ambitious renewable energy targets, reinforcing the global shift toward sustainable power solutions. Recent climate policies include extended tax credits for residential solar installations and increased commitments to expanding solar capacity. Against this backdrop, Enphase Energy (ENPH) emerges as a key player poised to capitalize on the surging demand for residential solar and energy storage solutions. Enphase, a leader in microinverter technology and home energy management, is strategically positioned within the booming solar sector. Its niche in high-efficiency solar technology and smart energy solutions has made it a preferred choice for homeowners looking to maximize energy…
Electric vehicle (EV) adoption is accelerating worldwide, and lithium remains the critical element powering this transformation. Global EV sales grew by 25% year-over-year to 17.1 million in 2024, with China leading the charge. Battery costs have also dropped by 20%, making EVs more affordable and reinforcing demand. The rapid rise in battery storage technology for renewable energy solutions further adds to the demand for lithium as countries seek to enhance their energy storage capabilities. This expansion directly impacts lithium prices and supply chains. Governments worldwide are implementing policies to localize battery material supply, ensuring stable access to lithium. The Inflation…
New futures contract from CME to fuel Aussie carbon market ACCU futures add transparency, depth Futures could help Australia meet our 2050 targets As Australia races towards its ambitious goal of net-zero emissions by 2050, new mechanisms are emerging to help businesses navigate the changing landscape. One such tool is the Australian Carbon Credit Unit, or ACCU. These carbon credits are designed to incentivise projects that reduce or remove greenhouse gas emissions. But as the market grows, so does the need for a more liquid trading market. To meet this demand, the CME Group, alongside Xpansiv, has launched the…
Tokyo, Japan skyline with the Tokyo TowerChunyip Wong | E+ | Getty ImagesHong Kong shares hit a three-year high Friday, leading gains in the region as investors weighed inflation data from Japan against tariff threats from U.S. President Donald Trump.Hong Kong’s Hang Seng Index rose 2.95% to its highest level since February 2022, according to data from LSEG. The Hang Seng Tech index added 4.67%. Shares of Hong Kong listed Alibaba rose 11% following a significant profit increase for the company in the December quarter, driven by growth in its Cloud Intelligence division and e-commerce sector. Mainland China’s CSI 300…
Rare earth elements (REEs) are indispensable in modern technologies, from electric vehicles (EVs) to military defense systems and renewable energy. However, global supply chains remain highly concentrated, with China controlling nearly 70% of global REE mining and over 85% of processing capacity. Recent trade restrictions and U.S.-China tensions have heightened concerns over supply security. In July 2023, China imposed export controls on gallium and germanium, elements crucial to semiconductor production. Such moves raise fears that Beijing could extend these measures to REEs, a market where China wields overwhelming dominance. With the U.S. Department of Defense and domestic industries pushing for…
As digital threats intensify, enterprises worldwide are ramping up cybersecurity budgets. The global cybersecurity market is projected to register a CAGR of 12.9% to reach $500.7 billion by 2030, fueled by escalating cyberattacks and regulatory pressures. High-profile breaches, such as the MOVEit and Okta incidents in 2024, have underscored the vulnerabilities of corporate networks, pushing businesses to adopt more robust security solutions. CrowdStrike Holdings, Inc. (CRWD) has positioned itself as a key beneficiary of this trend. Its AI-powered Falcon platform provides advanced endpoint, cloud, and identity protection, catering to enterprises’ growing security needs. Notably, the company surpassed $4 billion in…
Wang Yi, China’s foreign minister, at the G20 meeting in South Africa on Feb. 20, 2025.Per-anders Pettersson | Getty Images News | Getty ImagesChina came out in support of U.S. President Donald Trump’s bid to strike a deal with Russia to end the war in Ukraine, at a G20 meeting in South Africa on Thursday, while U.S. allies rallied around Ukrainian President Volodymyr Zelenskyy.Less than a month into his presidency, Trump has upended U.S. policy on the war, scrapping a campaign to isolate Moscow with a phone call to Russian President Vladimir Putin and talks between senior U.S. and Russian officials that have…