The Alternative Investments Channel

Don’t Wait for Rough Markets to Take a Look at Alternatives

Volatility is remarkably low today, but it’s not likely to stay that way. Alternatives have the potential to provide diversification and reduce risk when markets get stormy again. But what’s the best way to design an alternatives allocation?

Why Liquid Alternatives Now

K2 Advisors’ Founding Managing Director David Saunders is speaking at the prestigious SALT conference this month in Las Vegas, where he’ll discuss the liquid alternatives landscape and why he thinks now’s the time for investors to consider this asset class.

NewsLetter - May 2017

Harold Evensky's newsletter to his readers.

America Is Great. Home Country Bias Ain’t.

Investors have a tendency to prefer home cooking when it comes to their stock portfolios. In the latest GMO Asset Allocation Insights, Rick Friedman writes that US-based investors are paying steep prices for domestic equities. but straying from their home market presents more attractive prices.

Don’t Wait for Rough Markets to Build an Alternatives Allocation

Volatility is remarkably low today, but it’s not likely to stay that way. Alternatives have the potential to provide diversification and reduce risk when markets get stormy again. But what’s the best way to design an alternatives allocation?

An Unexpected Change In Gold’s Seasonal Trade Pattern

As you can see in the chart below, based on data provided by Moore Research Center, the five-year pattern, represented by the orange line, is diverging from the longer-term trends. Note that the index on the left measures the greatest tendency for the asset to make a seasonal high (100) or low (0) at a given time.

Charitable Planning Opportunity for Executives: Donate Private Business Interests

Clients can donate appreciated, non-cash assets to charity as a more efficient, tax smart way to make charitable contributions. Your senior executive and/or entrepreneur clients may find that their most appreciated assets come in the form of illiquid assets, such as privately held C- and S-Corp stock...

A Platform to Democratize Alternative Investments

Eileen Duff is managing partner and head of distribution for iCapital Network, where she is responsible for sales, relationship management and investor relations supporting the RIA, broker-dealer, private banking and family office communities. In this interview, she discusses how iCapital democratizes the access to high-quality alternative investments for financial advisors.

It’s Tango Time…

As the VIX flirts with single digits, the S&P 500 has been flopping around like a live fish on deck. But for U.S. investors in foreign equities, the music continues to play as cheaper valuations overseas and a weaker U.S. dollar pushed fund flows into other geographies.

The Case of the Missing U.S. Stocks

In the last 20 years, the U.S. stock market has undergone an alarming change that too few people are aware of or talking about. Between 1996 and 2016, the number of listed companies fell by half, from 7,300 to 3,600, according to a recent report by Credit Suisse. This occurred despite the U.S. economy growing nearly 60 percent over the same period.

Is the ETF Market Too Specialized?

What fundamentals are important for growth and which industries call for caution? Rapid growth in the ETF industry and a surge in multi-asset funds are among the current news for capital-growth investors.

Markets Are Quiet for Now. What Next?

After a rousing start to the year, equity markets have been in a calmer state and bond yields have leveled off, leading investors to question whether global geopolitical and election concerns (and our own domestic legislative challenges) may be signaling that trouble lies ahead.

Market Valuation, Inflation and Treasury Yields: Clues from the Past

Our monthly market valuation updates have long had the same conclusion: US stock indexes are significantly overvalued, which suggests cautious expectations on investment returns. In a "normal" market environment -- one with conventional business cycles, Federal Reserve policy, interest rates and inflation -- current valuation levels would be a serious concern.

But these are different times.

GMO Quarterly Letter

In a new quarterly letter to GMO's institutional clients, head of asset allocation Ben Inker addresses "perhaps the most common question I get from clients: What keeps you up at night?" ("Up At Night").

Crestmont Market Valuation Update

Quick take: Based on the April S&P 500 average of daily closes, the Crestmont P/E is 107% above its arithmetic mean and at the 99th percentile of this fourteen-plus-decade monthly metric.