Ten Investor Takeaways From the IMF/World Bank Meetings
Global central bankers, ministers of finance and representatives from the private sector and civic groups gathered in Washington, D.C., last week for the Annual Meetings of the IMF (International Monetary Fund) and the World Bank Group.
Putting Geopolitical Tensions into Perspective
When world leaders talk, markets react. And with social media becoming mainstream, politicians have a new way of getting their message to the masses.
China’s Congress Convenes
This month, China’s leadership kicks off its 19th Communist Party Congress, a meeting which sets the agenda for China’s political, economic and even social path in years to come. More than 2,000 delegates from China’s ruling elite attend the Congress, which takes place every five years.
Falling Correlations Put Stock-Specific Attributes in Driver’s Seat
Low market correlations make it easier for active portfolio managers to stand out—positively or negatively. But what matters most is how a portfolio of select stocks performs through market cycles, regardless of correlations.
Trump Packing Federal Courts With Conservative Judges
While the mainstream media remains obsessed with President Trump’s tweets and other controversial statements, the Commander-in-Chief is quietly packing the federal courts with conservative, originalist judges who are not only very smart but also relatively young.
Q&A: What You Should Know About China's 19th Communist Party Congress
China’s 19th Communist Party Congress is fast approaching. While the meetings are primarily a political event, they will shed some light on the party’s broad economic goals. There will also be major reshuffling across party leadership this year.
North Korea and China: A Difficult History, Part I
We begin our study of the historical relationship between North Korea and China, including a review of the Minsaengdan Incident and a broad examination of the Korean War.
"Lower and Longer" Has Legs
For the 18th straight year, Baird Advisors held its Institutional Investors Conference in Kohler, Wisconsin. Attendees listened to legendary Washington Post journalist Bob Woodward’s perspective on the Trump White House in the context of previous administrations he has covered and to global risk expert Ian Bremmer, President and founder of Eurasia Group, who introduced the concept of a geopolitical recession and mapped a new macroeconomic landscape where the institutions that defined the post-war world order are becoming less relevant.
Hedging Market Crashes with Factor Exposure
None of the factors consistently generated positive performance during recent market crashes. However, almost any factor exposure would have increased the risk-return ratio of an equity-centric portfolio. Low Volatility and Mean-Reversion would have been most beneficial. Momentum least.
World Markets Update
All eight indexes on our world watch list have posted gains for 2017 through October 16. The top performer thus far is Hong Kong's Hang Seng with a gain of 30.42%, followed by India's BSE SENSEX at 22.56%. In third is our own S&P 500 with 14.24%.
Better, Faster, Cheaper
I first became aware of Frederick “Shad” Rowe, captain of Dallas-based Greenbrier Partners, by reading his brilliant comments in Forbes magazine decades ago. While Shade no longer writes for Forbes, his stock market insights are available via his monthly letter to the clients in his investment partnership.
Argentina: Will the Reforms in Place Pay Off?
About 100 years ago, Argentina was one of the wealthiest countries in the world by virtue of its fertile land. Its economy thrived by shipping beef and grains around the world. But economic and political turmoil through the 1930s sowed the seeds of populism — the effects of which have lasted decades.
Equity Market Valuations: We Haven’t Been Here Before
Are high-quality businesses as overvalued as the broader markets and will that bode ill for our future investment returns?
Why “either/or” is the wrong approach to active vs. passive
Combining both approaches may improve your investment strategy.