Good financial products are bought, not sold. We are beginning a series of articles analyzing some of the most aggressively sold financial products – those which are advertised on television. This is the first installment in our series.
As is our custom, we conclude the year by reflecting on the 10 most-read articles over the past 12 months. The list below reflects articles focused on investing, financial planning and the economy. On Thursday, we will publish the 10 most-read articles on practice management.
As we head into the final stretch of 2016, the U.S. dollar has taken control of the markets. As the incoming Trump administration continues to promise fiscal spending and tax cuts, the Fed is now positioning to do a bit more tightening—all while the U.S. and global economic datapoints move higher.
Over the last few weeks I’ve fielded several financial related questions (more personal finance than actual investing) from some younger people in my life (mostly nephews). This is a great reminder of a point I have made quite a few times over the years which is that even if you’re not an advisor...
“Miracle on 34th Street” is a 1947 movie whose plot takes place between Thanksgiving Day and Christmas in New York City. It focuses on a department store Santa Claus who claims to be the real Santa.
I’ve fielded a large number of investor questions recently around tax cuts and earnings. The idea is that tax cuts, for both corporations and individuals, will significantly improve corporate earnings and thus propel the market higher.
Growth stocks often lead to large returns but they require researching and understanding the industry and company before investing. Investors should look ahead to likely policy changes with the new presidential administration and their potential long-term effects to create a sustainable portfolio.
Some of Donald Trump’s plans for the US economy may provide a big boost for small stocks. We think there are five compelling reasons for investors to take a closer look at this segment of the market.
Jeffrey Gundlach predicts trouble for the equity, corporate and junk-bond markets if the yield on the 10-year Treasury bond goes above 3% in 2017. Even the housing market would suffer.
Alternative investments have been gaining wide acceptance in many investors’ portfolios as a way to provide diversification. However, incorporating these strategies into portfolios introduces two challenges: 1) understanding the complexity of these strategies and 2) determining the appropriate allocation of alternatives in a diversified portfolio.
To see how well Janus’ actively managed funds have performed for its investors, I’ll compare the results of its actively managed equity funds to those of index funds from Vanguard and the structured asset class funds of DFA.
The Queens Road Small Value fund has outperformed its benchmark, the Russell 2000 Value Index, over the past 10 years and since inception in 2002, earning an annualized return of 9.59% vs. 8.38% for the Russell 2000 Value Index. I spoke with Steven Scruggs, who has served as portfolio manager for that entire 14-year period.
“If you’re not getting better, you’re getting worse.” – Walter Bahr
November turned out to be an excellent month for the major U.S. stock indexes, with all three, plus the Russell 2000 index of small caps, hitting record highs.
While on the surface the Italian Referendum appears to be only about the structure of government power and Prime Minister Matteo Renzi’s desire to pass economic reforms, beneath the surface is a serious financial issue that has the potential to impact not just Italy, but Europe and beyond. This may sound small and meaningless to you and me but it is not.
Oil prices jumped sharply in the wake of OPEC’s pact to cut production, but the market might wait to see implementation of the output reduction. OPEC’s quota compliance history and current market supply and demand dynamics don’t necessarily support sharp climbs in oil prices.
Prime Minister Modi’s politically risky push to tamp down India’s outsized underground economy by pulling the largest rupee bills out of circulation is causing real disruption among consumers and businesses.
Since the pre-election low on November 4, the S&P 500 is up 4.7%, while the Russell 2000 (small caps) is up a whopping 13.8%—rallies which have confounded many investors given the pre-election consensus that stocks would fall on the uncertainty associated with a Trump victory.
One way to win big in emerging markets is to catch the early onset of a country’s wealth surge. The tipping point is often a reform-driven drop in the cost of raising capital.
Abhay Deshpande founded Centerstone Investors and serves as the chief investment officer. He previously worked at First Eagle Investment Management with Jean-Marie Eveillard. In this interview, he discusses the opportunities he sees for his two recently introduced value funds.
What are the most important investment implications that you and I and your clients might consider post last week’s election?
What yield-seeking investors need to know about this expanding asset class
For evidence, look no further than sales of bottled water in the first world. Our ancestors spent hundreds of billions of dollars developing the infrastructure to deliver potable water to every home, yet we spend billions each year to purchase bottled versions of what we can get for free almost anywhere. Boom – I just blew up the very foundation of economics.
Emerging market assets have come under heavy pressure, particularly in Mexico and China, which have also sagged under the specter of rising U.S. trade protectionism. But rather than focus on Trump’s campaign talk, watch his actions.
In July, fund managers' had their highest exposure to bonds in 3-1/2 years. In other words, they expected yields to keep falling.
Jeffrey Gundlach was the only prominent financial professional to predict Donald Trump’s victory. Yesterday, he revealed how he made that call.
Previously, I analyzed the performance of some of the leading and largest actively managed mutual funds that focus on high-dividend strategies. Today, I’ll examine the strategy of investing in companies that have shown persistent growth in dividends.
My earliest recollection of economic sanctions was in 1984 … during apartheid years.
Years from now, we may recall 2016 as the year when political risk became a constant presence hovering over the investment landscape. But fear not: there are ways for investors who rely on fickle global credit markets for income to turn the turbulence to their advantage.
Financial metrics such as P/E ratios, price to cash flow ratios, PEG ratios, price to sales ratios, price to book value, and many others, should be thought of as tools in the investor’s toolbox.
Over the past couple of years, we added some high-quality floating-rate securities to the portfolios, believing the Federal Reserve would increase short-end rates at some point as both real gross domestic product (GDP) growth and inflation were low but notably positive.
When the presidential election is over, investors can focus on what is going on in the world economy and what future investment opportunities are lurking out there.
It’s Halloween, so what else could we do but write about what might scare the markets?
This piece brings together all the Private Wealth Management research teams on a topic of common interest and current importance.
Bob Veres recently summarized how he views his role as a journalist for financial advisors. We thought we would share it with you, because it also encapsulates our approach to advancing the advisory profession.
Smart beta. Empirical finance. Evidence-based investing. These terms, which were in the periphery of the investment vernacular just 10 years ago, have become the investment world’s most popular memes today. Why?
Closed-end funds may offer attractive income potential to long-term investors searching for yield, says Jon Diorio of BlackRock.
The last two OMR’s have talked about the long-term debt. I believe it is the significant headwind we face. As CMG’s Brian Schreiner said to me this week, “The math doesn’t allow for a soft landing.” Read on and please let me know what you think.
Be it how hedge fund returns have been struggling over the past year or how index funds have been gaining some traction, there has seemed to be much in the financial media over the past few weeks about the challenges facing active management.
We all know that our government and its agencies are very good at reacting to a real or perceived crisis with new laws and regulations designed to reduce the chances of another similar event occurring. The most recent example of this concerns the cost and availability of health care.
Now’s the time to get real. Now’s the time, in a world of paltry bond yields and meager dividends, to make an honest assessment of your portfolio’s long-term expected return.
It was an interesting quarter in the fixed income markets and the municipal markets in particular, ranging from "Brexit" in the United Kingdom to the Federal Reserve Board (Fed) threatening to raise the Fed funds rate yet again (sounding like "Chicken Little").
A recession is not imminent and investors should be skeptical of those who claim the market is vastly overvalued, according to Liz Ann Sonders.
I’ve written a great deal about debt. In last week’s piece, I showed the enormity of the problem. Growth is slow and I believe will remain in the 1.5% range. Not good enough.
Given the heightened interest in dividend strategies, I’ll take a look at how some of the leading providers of actively managed dividend-based strategies have performed.
A review of the month’s market-moving events across countries and asset classes.
We take a closer look at market technicals and sentiment this week with the historically volatile second half of October upon us. Although there has been some near-term volatility and equity weakness, the longer-term technicals on equities continue to look very strong.
Like the Enigmatic Title Role in the Play Waiting for Godot, a Resolution Regarding Global Monetary Policies Remains Elusive. But Perhaps We’re Waiting in the Wrong Place.
In the context of investing, the term 'sustainability' lacks sharply defined boundaries. This broad label tends to create more confusion than clarity, prompting some advisors to simply skip it and move on.
