If the prolonged period of declining and ultra-low interest rates is over, what does that mean future corporate profits, cash flows and dividends?
The Fed remains singularly focused on containing inflation but has made little headway so far.
I look back to other periods when bonds outperformed stocks. This analysis allows us to assess specific stock traits and specific industries that over- and underperformed in those eras.
The difficult capital markets saga of 2022 continued through the third quarter with few safe harbors as rates rose and growth slowed.
From an investment standpoint, aggressive regime shifts like the current one often create price dislocations as allocators restructure their portfolios, according to K2 Advisors.
Bill Gross pioneered the “total return” strategy in the 1980s that revolutionized the once-sleepy bond market.
Mortgage rates above 7% have put the housing market on ice as affordability challenges put off a lot of buyers. Newer, younger homeowners who locked in their mortgage at a low interest rate — and whose next move probably would be trading up — are content to stay where they are until mortgage rates fall.
The IRS has given US cryptocurrency holders a bit more clarity about how to report digital assets on their 1040 income tax forms, a likely precursor to regulatory guidance.
Exchange-traded fund investors are preparing for the possibility that peak bond pain has passed.
The biggest increase to Social Security checks since 1981 was good news for retirees. But it also served as a stark reminder that the program is expensive, with cuts to the benefits looming unless it is retooled in coming years.
While many perceive the S&P 500 Index to be a broad innovation-heavy index, in a way it is and in a way it isn’t.
The long-simmering idea that the US government should stand ready to buy back Treasury securities from investors to improve market functioning is moving closer to reality.
Goldman Sachs Group Inc.’s traders once again helped rescue results from a sharp slowdown in investment banking just as the firm prepares for a reorganization that will combine the two business units.
The sleeper hit of 2022 investing is about to lose some of its luster — but it still might be one of the best places to store your cash.
Investors are looking beyond a looming global recession and they see one country – and its financial markets – emerging strongest on the other side.
U.S. equities are beginning the new week sharply higher, getting a boost from the U.K.'s decision to abandon nearly all its tax cut plans.
I know what you’re thinking: “Longevicide? What is that?”
In 1987, Sports Illustrated, the preeminent sports periodical of the time, predicted the Cleveland Indians would win the American League pennant in its baseball season preview.
The electric vehicle revolution will be subsidized.
Do people really move because they think their state income taxes are too high? It’s been a longstanding debate. Finally, a recent report from the Tax Foundation provides some compelling evidence that yes, they do.
As the housing market heated up during the pandemic, many would-be homeowners found themselves unable to buy despite making multiple offers or waiving inspections.
Inflation concerns on Friday once again pulled the rug from under investors struggling to find their footing as the Federal Reserve's battle against rising consumer prices shakes the economic terrain.
2022 has been a stormy year for bond investors, and the forecast calls for more of the same. We address today’s biggest investment challenges—from persistent inflation to rising rates to a looming recession—the silver linings of higher yields, wider credit spreads, and strategies for navigating bad weather.
When markets are challenging, your clients look to you to help manage their expectations as well as their hard-earned money.
Millennials were more comfortable with the stock market this year, a May survey found. We explore the outlook for equities through a generational lens.
A couple of weeks ago, in our quarterly strategy report, I argued that it appeared that innovation had bottomed.
Digging in a little deeper, we sifted through this first quintile of the S&P 500 for other insights.
Is a recession lurking around the corner in 2023? If so, how might it impact defined benefit (DB) plan sponsors—and what steps, if any, should they consider taking?
Sandpiles can be fun. Nothing beats taking kids to the beach (or being a kid!) and watching their creativity blossom into all kinds of magical shapes. The problem with sand construction is it doesn’t last. I have it on good authority that building your house on the sand probably won’t end well.
Social Security benefits will increase 8.7% in 2023, helping retirees weather surging inflation that shows few signs of slowing down.
Yields on popular Series I savings bonds — intended to protect consumers against price increases — are likely heading down even as inflation continues to surge.
Banks could be about to deluge the market with more bonds after they post quarterly results, borrowing at a breakneck pace even as other blue-chip companies pull back, and bondholders could suffer in the process.
JPMorgan Chase & Co. reported its highest quarterly net interest income ever and raised its guidance for the year as the biggest US bank reaps rewards from the Federal Reserve’s interest-rate hikes.
UK Prime Minister Liz Truss fired Chancellor of the Exchequer Kwasi Kwarteng and replaced him with former Foreign Secretary Jeremy Hunt as she prepared to make a humiliating U-turn on parts of her economic plan.
2022 has hit investors with an unprecedented 1-2 punch of sharply negative returns in both the equity and fixed income markets, but our Strategic Income team feels the selloff has created attractive opportunities in high yield bonds.
There are continuing pressures on investment portfolios as advisors and their clients need to manage pressures they have not seen for 20 years: market volatility, inflation, rising interest rates and a potentially rising tax rate environment. Some of these pressures have not surfaced in 20 years. With fixed income not holding up as a low-risk part of the portfolio, right now is an opportune time to look at other strategies to protect client portfolios.
Medical Properties Trust (MPW) claims to be the second largest nongovernmental owner of hospitals in the world.
With Treasury yields around 4% and corporate bonds yields even higher, fixed income is the better alternative to stocks.
The top 50 broad strategy funds – determined by highest historical performance through 2021--outperformed the market by 21 percentage points through the first six months of 2022.
With rents, food prices and child-care costs all rising, coming up with the cash to cover unexpected expenses is becoming more difficult.
U.S. stocks are mixed and subdued as the markets digest another hot inflation report in the form of the September Producer Price Index.
A couple weeks ago, in our quarterly strategy report (see: QSR-Has Innovation Bottomed?), I argued that it appeared that innovation had bottomed.
The era of “TINA”—short for “there is no alternative” and describing a phenomenon where bond yields were so low that many investors felt they had no choice but to invest in stocks, even at stretched valuations—has given way to a market where they can “pay attention to the yield(s).” Or “PATTY,” for short.
Cannabis stock Innovative Industrial Properties Inc. (IIPR) claims to be “the leading provider of real estate capital for the regulated cannabis industry.”
The Biden administration’s student debt forgiveness program isn’t yet open, but borrowers can now get a glimpse of the simple application that may bring them as much as $20,000 in relief.
U.S. equities are mixed as investors await this week’s highly anticipated September inflation data.
It is as though the finance world decided to take a page out of the music industry's book by recycling a melody with only slight variations.
In recent months, the economy has shown remarkable resilience in the face of a cyclical downturn.
You never know where the next crisis will arise but last week it came from a particularly unlikely place: defined-benefit pensions. The UK government bond market (gilts) went wild as rates spiked and pension funds failed to meet their margin calls.
Let’s explore what may be going on emotionally for the partners in these unequal relationships.
In a new book, three economists assessed, using detailed data, whether income inequality in America is as great as everybody thinks it is. They conclude that, by a wide margin, it is not, for surprising reasons.
