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Thursday, 15 November 2018

What we’re tracking on 16 November, 2018

We’ve done this 1,000 times now: You’re reading the 1000th issue of Enterprise this morning. We’re not going to make a lot of hoopla over it, but want each and every one of you to know how deeply we value your trust and the fact that you choose to begin your business day with us every morning. We hope you all enjoy what we have in the pipeline over the course of our next 1,000 issues.

It’s interest rate day: The central bank’s Monetary Policy Committee (MPC) meets today to decide on interest rates. All 10 analysts and economists in our poll see the CBE keeping interest rates on hold as it attempts to stem the tide of portfolio outflows in a turbulent emerging markets climate. Foreign holdings in Egypt’s treasuries fell to USD 13.1 bn by the end of September, from a high of USD 21.5 bn in March, said Pharos Holding head of research Radwa El Swaify.

The House discussion of the proposed E-commerce Act originally scheduled for today has been postponed, Rep. Youssef El Shazly told Al Mal. The act is a “top priority” for the House CIT Committee, he said.

EBRD’s conference on opportunities for consultancies in digitalization ends today at the Marriott Mena House Hotel.

The US embassy and Injaz Egypt have kicked off this year’s round of Startup Egypt, the embassy said in a statement yesterday. The program has graduated 65 startups since its 2011 launch, and provides seed funding of up to EGP 120k. Startups looking to join the program can apply here.

The UN Biodiversity Conference headlined “investing in biodiversity for people and the planet” kicked off yesterday, through to Thursday, 29 November in Sharm El Sheikh. We have more on the conference in Diplomacy + Foreign Trade, below.

Active fund managers, take heart: You can still beat the passive funds if you can get your head around the notion of secular risk. Set aside for a moment the fact that nobody knows how the market will cope (or what glitches will appear) when exchange-traded funds sell some USD 7.4 tn in securities during the next downturn, as JPMorgan predicts. Passive strategies are here to stay, in one form or another, whether we like it or not. But human fund managers can get ahead by embracing secular risk as “new competitive forces, technological advances and changing consumer habits” re-shape industries across the map and present “powerful challenges to passive investing over the next 5-10 years,” says T. Rowe Price. Get the rundown at Business Insider.

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