Is There a Recession Coming?

Ken Ward Business Trends, Economy

On Friday, the United States Bureau of Economic Analysis released its revised economic report for the first quarter of 2015 – and in a “surprising” and “unexpected” twist (surprising and unexpected only because Barack Obama is president and the media are constantly surprised that the Sun God cannot rain gold from the heavens), the GDP dropped -0.7%. As Zero Hedge …

Sustainability Platforms Yield Hidden Profits

Ken Ward Business Trends, Economy

Ownerships and Asset Managers may be overlooking short term added asset value by not employing sustainability platforms to their assets. Often, added asset value occurs over a period of time when upward trending occupancy, ADR and Rev Par adjustments are realized. The time line may take 2-5 years and only so in an up trending market place. The application of …

2015 Strategy for Corporate Real Estate

Ken Ward Economy

What does your CFO think about your CRE strategy? That’s what 150 corporate real estate executives were asked at CoreNet Global Summit in Washington, D.C. What emerged was the need to align CRE goals with the overall corporate objectives to fuel the revenue growth engine, and that starts with collaboration between the CFO and CRE executive. As companies are busy …

Comparing Real Estate Finance Between the U.S. and Europe

Ken Ward Economy

For all of the geographical, economic and political differences that have always existed between the real estate finance markets in the U.S. and Europe, current conditions in both share a common catalyst. The collapse of Lehman Brothers, the U.S. investment bank, directly and indirectly unleashed a tidal wave of events that would profoundly impact the global economy and cause the …

Global Market Navigation in 2015

Ken Ward Economy

The global economy is on a sustainable growth trajectory that will provide a catalyst to financial markets and a source of strength for corporate profits. Though periods of volatility may challenge investor resolve over the course of 2015, resilience will prevail thanks to a global growth story buoyed by tectonic shifts in the real economy, continued improvements in global consumer …

The Growing Reliance on Bond Markets to Fund Firms – Good and Bad

Ken Ward Economy

BANKS may be frail and dangerous things, but most economists see them as essential to growth. According to the centuries-old circular-flow model, which tries to explain how money moves between firms and households, it is their job to recycle private savings into business loans. That helps firms invest and grow. Places where spare cash is routinely stuffed under mattresses, in …

2015 Forecast

Ken Ward Economy

The actual level of interest rates of 0%-0.25% are key to understanding the outlook for markets in 2015. The Federal Reserve has kept rates so low because it frets that a premature tightening of policy may damage an economy that is still bearing the scars of the financial crisis of 2007-08. Perhaps 2015 will see the first rate increase, but …

Mid 2015 Interest Rate Increase is Likely

Ken Ward Economy

In a speech that expressed optimism about the economic outlook, Federal Reserve Bank of Atlanta President Dennis Lockhart said Monday that he is sticking for now with his long-held view that the U.S. central bank should hold off on raising rates until the middle of next year or later. “The momentum I perceive in the economy gives me confidence that …

United States Factory Acceleration

Ken Ward Economy

U.S. manufacturing activity unexpectedly accelerated in October and automobile sales were strong, easing concerns of a significant moderation in economic growth in the fourth quarter. The pick-up in manufacturing, which was driven by robust growth in new orders and production, suggested the economy was weathering a slowing of demand in major markets such as China and the euro zone. Factory …

United States Economy on the Rise

Ken Ward Economy

America’s economy is finally beginning to feel like it is picking up pace. According to figures published today by the Bureau of Labor Statistics, total employment in America increased by 248,000 in September, driven by big jumps in professional services, retail and healthcare. The unemployment rate dropped below 6% for the first time since 2008. Jobs growth figures for August …