Last week we began exploring the details of my personal portfolio. This week we will finish and then move back to our discussion of various cycles.
Investment bankers were finally starting to believe in the green shoots of capital-markets activity this month, but the Federal Reserve might now have crushed them under hawkish boots.
The Federal Reserve’s internal debate about the “neutral” real rate of interest is heating up.
Banks have reemerged as a potential pain point for the investment community, as rating agencies recently embarked on a downgrade cycle in the sector.
Banks are never fans of tougher regulation, but they really don’t like the overhaul of US capital rules proposed at the end of July by the Federal Reserve and other finance authorities. Lenders and their lobbyists have come out fighting.
Now seems like a good time to talk about wrappers and which ones are best for different situations. How do you decide whether to use an ETF, a mutual fund, or something else?
The FOMC will make some close calls and tough decisions.
The University of Colorado Buffaloes are undefeated and suck up a lot of oxygen in the college football world.
Playing Shakespeare’s King Lear is the crowning ambition for some actors, but in 2023 we’re seeing superstar hedge fund managers Daniel Och and Ray Dalio trying out for the role in real life.
Stock-market strategists who were largely wrong about this year’s rally are finally starting to come to face their mistake, raising year-end targets for the S&P 500 Index.
In a significant turnaround for its aviation sector, Mexico’s air safety rating was upgraded from Category 2 back to Category 1 by the Federal Aviation Administration (FAA). The upgrade could be a game-changer, offering opportunities for both Mexican airlines and their U.S. joint venture partners.
Federal Reserve Chairman Jerome Powell and his colleagues are likely to shy away from signaling that they’re done raising interest rates when they meet next week.
A resilient US economy will prompt the Federal Reserve to pencil in one more interest-rate hike this year and stay at the peak level next year for longer than previously expected, according to economists surveyed by Bloomberg News.
The 10-year Treasury yield has climbed steadily over the past two years. But we believe fixed-income investors should be prepared for lower yields ahead.
That’s a bold prediction in the title. I believe it will come true.
A flurry of hedge funds, direct lenders and others are expecting a revival of the $1.3 trillion collateralized loan obligation market — and they want to be ready to reap the benefits when it happens.
The US government has been looking at ways to offload nearly $13 billion of mortgage bonds it amassed from failed lenders Silicon Valley Bank and Signature Bank, according to people with knowledge of the transactions.
In his latest memo, Howard Marks discusses the essential choice in both investing and sports. Should you go for more winners or try to eliminate losers? That is, should you emphasize aggressiveness or defensiveness? This is a key decision that every investor has to make thoughtfully, and the answer can be different for each person.
PIMCO’s Global Advisory Board discusses economic and geopolitical factors shaping the long-term global outlook.
Why has there been a reluctance within the advisory profession to actively collect, much less leverage client experience feedback?
US banking regulators are back to their old tricks. In the wake of a crisis — this time the March demise of a handful of regional banks — they want banks to fund themselves with more loss-absorbing equity capital.
On the interest rate front, the Federal funds rate is now close to systematic benchmarks that have historically been consistent with prevailing core inflation, nominal GDP growth, and unemployment.
Private credit lenders are just getting started in the world of consumer and asset based finance, according to Rob Camacho, Blackstone Inc.’s co-head of asset based finance within the firm’s Structured Finance Group.
Barclays Plc is trying to work out how to make the best of its payments business in its quest to increase the appeal of its shares. One option is selling a stake in the unit that handles card transactions for shopkeepers and other businesses, Bloomberg News reports.
There’s a growing consensus that we need more housing and less office space as cities move forward with plans to transform themselves in a post-pandemic world.
As soft-landing calls engulf Wall Street, traders are betting that a market calm will endure across investing strategies — despite the latest selloff in US stocks and bonds.
New tests are making it easier for doctors to detect cancer and provide targeted treatments.
For years now, stock traders have been getting so rich betting big companies will get even bigger that they’ve forgotten what a bubble looks like. They’re going to find out thanks to Nvidia Corp.
We believe idiosyncratic credit events may occur over the next 12 months, but systemic bank risk is remote.
Federal Reserve Bank of Atlanta President Raphael Bostic said the US economy faces a period of some disruption as debts are refinanced at significantly higher interest rates, putting some pressure on both financial institutions and the government.
Although high-yield bonds have performed well so far this year, we continue to take a cautious view.
UBS Group AG faced two big questions about its emergency rescue of Credit Suisse Group AG: How much profit would it make on the bargain deal? And would the distractions or taint of taking over the failing bank hurt its own business?
First, let me start with a tweet by Larry Summers, though this chart has been passed around by Andreas Steno Larsen and others.
The US market for initial public offerings is finally reopening after the sleepiest stretch in 32 years. Grocery delivery business Instacart, data automation provider Klaviyo and semiconductor designer Arm Holdings Ltd. all filed to go public last week.
The turmoil in the banking system earlier this year caused private-debt issuers to make concessions, including floating rates and improved covenants, which make this an attractive asset class.
Volatile rates are adding to the cost of residential debt.
A $15.4 billion wave of debt is set to sweep over leveraged finance markets in September as Wall Street banks rush to lure in yield-hungry investors.
In the wake of the Federal Reserve’s annual gathering in Jackson Hole, Stephen Dover, Head of Franklin Templeton Institute, conveys one clear message: interest rates aren’t coming down anytime soon.
The world’s most powerful central bankers have vowed in unison to keep interest rates higher for longer if necessary to tame inflation.
You hear a lot these days how unaffordable housing has become in the US. One way to think about affordability is to look at home prices relative to household incomes.
At its annual summit in Johannesburg this week, the bloc of five emerging countries—Brazil, Russia, India, China and South Africa—announced plans to expand for the first time since 2010.
Declining commercial real estate valuations will not likely lead to a wave of defaults among muni issuers, according to Franklin Templeton Fixed Income’s municipal bond team.
Federal Reserve Chair Jerome Powell signaled the US central bank is prepared to raise interest rates further if needed and keep borrowing costs high until inflation is on a convincing path toward the Fed’s 2% target.
Central bankers generally believe in an abstract phenomenon known as the neutral real rate of interest, or r-star. It’s the inflation-adjusted rate that should prevail when the economy is balanced with price increases subdued and the labor market healthy.
The prospect of global interest rates remaining higher for longer is tipping the case for many investors to switch into bonds from stocks.
Working with Complex Products- A Market Making Perspective A Conversation With: Andres Rincon, Director, Head of ETF Sales & Strategy, TD Securities and Dave Nadig, Financial Futurist, VettaFi
Artificial intelligence (AI) is capable not just of disrupting higher education but of blowing it apart. The march of the smart machines is already well advanced. AI can easily pass standardized tests such as the GMAT (Graduate Management Admission Test) and the GRE (Graduate Record Examination) required by graduate schools.
Paul O’Neill, a former US Treasury secretary, said that if America ever dropped the strong-dollar policy, he would hire a brass band at Yankee Stadium to mark the proclamation.
The role of the human psychological cycle in driving stock and bond prices is well understood and pre-dates behavioural economics. There are elements that suggest we may be going through another period of ‘irrational exuberance’ as several long-term investors seem stuck in the mindset that ‘There Is No Alternative’ (TINA) to US equities.