The threat of U.S. stagflation has investors treating supermarkets and other consumer staples companies like the high-flying tech stocks of yesteryear. The shares have trounced their consumer discretionary peers by the widest margin in two decades, and the outperformance probably has room to continue.
Our view is that the equity market is in a tug of war between a good earnings tailwind and a modest valuation headwind.
Inflation and hawkish central bank talk have spooked investors and led to bond losses not seen since the 1980s in developed markets (DMs).
U.S. cities and states are paying up to get muni deals off the ground as buyers gain more bargaining power -- a marked departure from the anything-goes market for sellers in the easy-money era.
As more and more people approach their golden years, you may see a shift in your practice—from a focus on accumulation and growth to one of income and distribution. It’s important that you’re prepared to not only ensure that your clients have enough to live comfortably, but to help them properly allocate the assets they have.
Stock prices and bond yields have been moving in opposite directions this year.
Disaster is a strong but appropriate word that applies perfectly to the state of U.S. monetary policy.
U.S. Securities and Exchange Commission Chair Gary Gensler wants to slash the amount of time that traders have to report many bond transactions as part of a bid to increase visibility into fixed-income markets.
I want to draw your attention to a mistake that is most commonly made by tax preparers, but trips up financial advisors as well: doing tax planning one year at a time.
Here are five ways to win new business and clients for life by creating urgency, so your prospects want to create a financial plan now with you.
Many companies stack the deck in ways that often help their executives get big annual bonuses no matter how the business performs, Bloomberg Tax research shows. They “adjust” and boost the earnings numbers they use, or lower their own performance goals—making it more likely they’ll hit the targets that trigger bonus awards.
Bank CEOs kicked off earnings season with a consistent message that household finances and demand are in solid shape. Procter & Gamble Co., which counts Tide, Bounty and Pampers among its brands, has seen consumers reaching for premium-brand products. Bank of America Corp. and credit-card giant American Express Co. noted solid travel demand.
Only 5% to 6% of people 50 and older include charitable giving in their wills.
U.S. stocks fell Friday, extending a run of weekly losses into its third straight week, as investors reacted to a handful of disappointing earnings reports and the Federal Reserve’s increasingly aggressive language about future interest rate increases.
Stanley Black & Decker has increased their dividend for 54 consecutive years making it a Dividend Aristocrat, Dividend Champion and a Dividend King.
This is a hard time to retire. The market is down 7% from last year and the rate of inflation has risen to 8.5%. Both are brutal to your bottom line when you're on a fixed income. But buck up! As bad as things seem, odds are you are in better shape than your parents or grandparents. And if they got through retirement comfortably, so will you.
Each April, we are moved by hope – it is financial literacy month. To help close the growing savings gap, we strongly feel financial literacy and better knowledge of retirement and financial planning fundamentals are critical to securing more stable financial futures.
I require clients to send me their most recent tax returns. Here are the insights I learn and how it provides a ton of value to clients.
Your firm’s digital messaging and visual expression must all align with your ideal clients’ needs, goals and objectives. Here is how four top advisors achieved that goal.
Through higher mortgage rates, demand for US housing is beginning to wane.
Does a risk-free bond with 7% yield interest you? If so, read about the red-headed stepchild of the bond world that is finally attracting investors.
On May 29, Colombia could elect its very first leftist president should Gustavo Petro receive a majority of the vote. The former congressman and mayor of the capital city of Bogotá, Petro is an unabashed admirer of and Hugo Chávez.
If you haven’t noticed—perhaps because you live on Mars—inflation is here. Not just in the US but almost everywhere. Prices for everyday goods and services, including necessities like food, are climbing rapidly. The US Consumer Price Index rose 8.5% in the 12 months through March… and we know it understates categories like housing.
Chief Economist Scott Brown discusses the latest market data.
High-yield bonds have a reputation for volatility.
When reviewing the current state of the global economy and investment markets, we recommend focusing on market signals and weeding out market noise.
Mortgage-backed securities (MBS) have taken a hit over the last several weeks with the news of the Fed’s plans to shrink its balance sheet. Today's guest, Dean Smith of FolioBeyond, will discuss why the combination of the rise in Treasury yields and the widening of MBS spreads is continuing to increase the valuations of certain types of mortgage-backed securities. With the expectation that the pace of rate hikes will soon be more aggressive, Dean will explain how the actively managed rising rates ETF, RISR, will benefit and generate alpha. The FolioBeyond Rising Rates ETF (RISR) is up 26.55% YTD (as of 4/13/2022) and is ranked #1 by Morningstar among non-traditional bond strategies.
Despite gloomy news out of China, Andy Rothman explains why he remains optimistic about China’s road ahead.
The clear and present danger to the global economy is inflation because global central banks are starting to take aggressive actions to deal with what they now believe to be non-transitory inflation.
I didn’t start the fire.
For US states, spring marks budget season, a time to check the ledger board and allocate funds to entities and projects within the state—or cut back where needed.
A couple dollars more a month normally isn’t enough to move the needle, but when Americans are facing the fastest inflation in 40 years, something has got to give. And for 600,000 people in the U.S. and Canada, that something was their subscription to Netflix Inc.
By most measures, the U.S. economy is doing well — but not when it comes to inflation. Consumer prices rose 8.5% in the year to March. Wages are rising too, though not fast enough to keep up. That means financial stress for many families, especially those on fixed incomes or with meager savings. With midterm elections approaching, President Joe Biden’s administration is likely to be judged on how it deals with this problem.
Traditional long-only fixed income managers had one of the worst quarters on record in Q1 2022 as higher interest rates left “bottom up” portfolios overweight duration.
Real Treasury bond yields fell into deeply negative territory in 2021.
The Northern Trust Economics team shares its outlook for key markets in the month ahead.
Many of you are struggling to decide whether you should breakaway and form your own RIA. I confronted the same decision many years ago. Here’s my story.
Depending upon the annuity that is being recommended and its purpose, your discovery process should include these questions. This article is written for clients and can be forwarded to them using our Premium Membership Service.
Viral success stories of people who used the post-pandemic stock market to trade their way out of mountains of student loan debt keep inspiring do-it-yourself investors.
Millennials took one look at their financial future and, early on, realized it was bleak. The YOLO generation started saving for retirement — stuffing away money in 401(k)-type accounts — nine years earlier than their baby boomer parents did, according to a new study.
An often overlooked and underutilized fixed-income alternative, preferred securities offer investors compelling diversification and income opportunities in today's volatile, rising interest rate environment. With yields and returns comparable to high-yield fixed income, today's preferred securities have evolved into a distinct and attractive income-generating asset class.
Someone who wouldn’t dream of betraying their spouse or partner by having an illicit affair is risking the relationship in another way: by committing financial infidelity.
Something in the market changed about a half-year ago. A dandy old “truism” that had made the rounds for ages got scrapped.
Recession chatter has picked up increasingly for numerous reasons, not least being the spike in oil prices, slowdown in economic growth estimates, and the Fed's transition from accommodative to tighter monetary policy.
If your tax planning makes your clients’ life more difficult, you’re doing something wrong.
Can I afford to retire? Is it the right time? Here is how I answer those questions from my clients.
We’ll tackle IRMAA in this article. I’ll provide you with information to teach you how you might be able to get rid of IRMAA.
If you are under 45 and live in America or Europe, the odds are this past year has been your first real experience with inflation. Other than a blip in 2008, inflation has barely topped 3% in the last 30 years.
Long-maturity Treasuries are contending with their biggest drawdown on record, at least according to their most popular exchange-traded fund.
Does the scenario below sound likely? If so, you are among the thousands of RIAs who are likely to lose significant assets over the next decade.
