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.
Fixed income investing today is very different from several years ago, but this doesn’t mean there aren’t opportunities for generating returns. Rick explains.
Overall, the first quarter was a positive one for investors. However, as the second quarter gets underway, markets seem to be entering an overdue post-election hangover phase. For now, the overall weight of the evidence suggests the backdrop remains constructive, and thus any pullback should provide an opportunity to adjust portfolios to take advantage of anticipated policy changes that have so far been delayed, but are still likely to fall into place eventually. Of course, there are also risks to the outlook, so we’ll continue to look for signs of more deterioration that could create an unexpected detour on our roadmap.
Sluggish growth and aggressive central bank actions following the Global Financial Crisis pushed interest rates down to unprecedented levels, even negative outside the US, for longer than many would have expected.
What does weaker-than-expected March jobs growth mean for the path of rate normalization? Rick Rieder weighs in.
In our update last month, we noted that the federal government could shut down on April 29 for lack of Congressional funding, a development that might have market consequences.
With two more Fed hikes potentially on the horizon in 2017, Rick clears up a few wrong assumptions some market watchers are making about rate normalization.
Earlier this week, President Trump issued a proposed government budget for FY2018 calling for the largest reduction in domestic program spending since the aftermath of World War II.
Rick shares two reasons why we see abundant fixed income opportunities.
Earlier this week, the Republicans issued their plan to replace the Affordable Care Act (Obamacare). As the Republican plan became public, I joined the CNBC Nightly Business Report to discuss the plan and how the markets are likely to react.