Three of the best advisory firms teach us about programming with intentionality and purpose.
We have a light economic calendar with important data on home sales, jobless claims, and durable goods orders. None of these is likely to stimulate higher heartbeats. I expect politics and the election to get plenty of attention in the financial media, especially with an open Supreme Court seat as a new issue.
Brexit takes an uncertain turn, while the Fed seeks loan borrowers and parents welcome adult children back home.
This “exodus,” as some are already calling it, may end up being among the biggest in U.S. history, or at least the biggest since the 1950s and 60s. A record 27.4 percent of homebuyers sought to move out of their metro areas in the second quarter, according to Redfin data.
In this letter I find myself recommending policies that not that long ago would have been extraordinarily distasteful to me. Yet, unless we pursue them, our economy will truly be turned upside down. I fully recognize these things have a cost. But the cost of inaction is much higher.
Many investors are attempting to justify higher stock “valuations” because interest rates are at historical lows. I would agree that lower interest rates could affect “market valuations” based on the simple law of supply and demand. The concept is simple, when fixed income offers lower returns it logically stimulates more demand for equities where higher returns can be found.
Advisors need to help retirees and other investors limit downside risk and grow their wealth. We at Sierra share this goal, and in this webinar we will provide perspective on the challenges facing financial advisors. We will discuss how to build a well-diversified fixed income allocation that seeks to deliver the benefits of bonds, while mitigating against rising rates, defaults, bond market illiquidity and stock market volatility. We will also introduce a truly tactical, rules-based investment approach with the goals of limiting downside risk and producing returns that a conservative investor would deem satisfying.
Learning Objectives:
We will review:
Another market high, with expectations for a “V”accine-shaped recovery.
Breakout inflation is not our top concern. Europe explores support for national champions, and the U.S. unemployment rate masks some fragility.
The risk of a “no deal” Brexit and the potential economic harm that accompanies it increased last week.
As we near the end of the third quarter, key economic reports will be released that will influence our forecast for third quarter real Gross Domestic Product. It will be a very strong quarter.
Should your clients convert some of their traditional tax-deferred money (e.g. IRA or 401K) to an after-tax Roth account? There are some myths that are just plain wrong. Here are the seven situations to consider when advising on this issue.
One of our favorite natural resource companies, Ivanhoe has returned more than 146 percent in the past six months alone as investors anticipate the start of production at the Kakula Mine, which has the potential to become the world’s second-largest copper mining complex, with annual output projected to be 800,000 metric tonnes a year.
My theme today is on the pandemic’s future economic impact, especially in the United States.
Franklin Small Cap Value Fund Portfolio Manager Steve Raineri gives five reasons why he thinks small-capitalization (small-cap) value stocks could perform well as the US economy continues to recover from the COVID-19 pandemic.
Portfolio managers Taizo Ishida and Michael Oh, CFA, explore the growth drivers for Asia's new economy sectors, including how to measure and assign potential future value of intangible assets.
With the COVID-19 crisis far from over, we expect increased policy stability in the U.S. next year, no matter who wins in November.
At a time when some Americans are being tempted to pour their savings into risky investments, the son of a Wall Street veteran is encouraging them to set aside more money.
Seven reasons Americans are “nowhere near as alienated from their democratic system” as Germans in the 1920s.
The legendary fund manager, Bob Rodriguez, doesn’t like either stocks or bonds, but he explains the particular strategy he is pursuing for buying hard assets.
In a low-yield environment, advisors need to use financial planning tools like no-commission annuities to improve after-tax, after-advisory fee bond returns.
Supply is getting tight. Helium is notoriously difficult and expensive to store, for the very good reason that it escapes every known container over time.
There are technical distinctions between investing versus speculating. Nevertheless, both concepts are often thought about or utilized interchangeably. Moreover, there are nuanced distinctions between a rational or well-thought-out speculation versus outright gambling.
You know it’s a bubble when you have to edit the Y axis on all of your charts because valuations have broken above every historical peak, and estimated future market returns have fallen beyond the lowest points in history, including 1929.
My learning goal each year is to read at least 40 business-related, non-fiction books – the “stay at home order" has allowed me to read 63. So here is my eighth annual compilation of the ones I’ve read from September 2019 through August 2020.
Before you work on a marketing plan, answer these 20 questions…
Many investors are looking for emerging signs of a return to normalcy from the coronavirus crisis. While there are many indicators to choose from, we’ve assembled a group of signals, with the help of big data, that may point the way.
Despite reaching all-time highs above $2,000 per troy ounce this summer, gold prices might still have room to run, according to Franklin Equity Group’s Steve Land. In addition, he shares some reasons why the current environment could present new opportunities for gold-focused miners to redefine themselves as stronger businesses.
Earlier this year, Jeremy Siegel said that, “75/25 is the new 60/40,” a recommendation to raise stock allocations to make up for lower bond yields. However, what matters for investors saving for retirement is not the asset class performance, but how those returns translate into retirement consumption.
Key Takeaways
The Fed updated its monetary policy framework, moving to a flexible average inflation target. That means that the central bank will target an average inflation rate of 2% (as measured by the PCE Price Index) over time.
Bond yields are low, but investors’ need for income is high. In this one-minute read, Tony DeSpirito offers three reasons to look to equities for income.
We have a big week for economic data with the emphasis on employment. With reports on jobless claims, ADP employment, and the official employment situation report all hitting right before Labor Day, we can be sure it will be a big topic. Throw in the election campaigning and we can expect jobs to be the theme of the week.
The Fed’s new take on inflation was a long time coming, while Japan’s downturn drags on and U.S. housing stays strong.
We’ll be okay, but we’ll have problems first. Both can be true; the difference is in the timing. It’s important to keep this straight in our minds. Extreme things can happen, for either good or bad, but they don’t last forever. We have to maintain mental balance between the extremes.
US-China relations are built on a fragile web of complex issues. Recently, we’ve seen headlines about technology, sovereignty and human rights flare up, and the Phase 1 trade deal review has been delayed indefinitely. Here, I review these flashpoints and how they could affect US-China relations.
The Federal Reserve has decided it will throw away the rule book.
The world’s second-largest money manager said it will instead focus on individual investors in faster-growing parts of Asia, including mainland China.
With multiple future scenarios as to how climate change may play out, there are also multiple potential consequences in store for investments. This post takes a detailed look at climate-change risk management.
This November’s US presidential election pits Donald Trump against Democratic nominee Joe Biden, a longtime politician who represents a more progressive policy approach. Our Head of European Fixed Income David Zahn breaks down the implications of the US election for Europe, and why many of Biden’s policies line up more closely with European views.
If you feel overwhelmed, go to bed with a thousand things running around your mind or wake up in the middle of the night, mind racing – you are to-do hoarding.
Interest rates are at extreme lows around the world, and they’ll likely stay low for some time. Does this mean US-based investors should revert to a US-only bond strategy?
In the minutes of the July 28-29 FOMC meeting, participants expected no change in policy rates anytime soon, but officials saw a need for more clarity regarding the likely path, such as adopting output-based forward guidance.
My family office has decided to take Jeffrey Gundlach’s general advice and look at the areas in common stocks that have been damaged but not supported by Fed actions.
The number of Americans filing for initial jobless claims this week spiked above 1 million, while the number of deaths attributed to COVID-19 remains above 1,000 a day. But there was much else to celebrate.
The Absolute Capital Opportunities Fund (CAPOX) uses a flexible approach to value investing. It is sub-advised by a team at Chicago-based Kovitz, led by Mark C. Rosland and Joel D. Hirsh. As of May 31st, 2020 its cumulative return was 29.49% versus 1.03% for the HFRX equity hedge index.
The skyscrapers are mostly empty, the tourists are home and talk of New York’s decay is back. For the city’s real-estate barons, it’s time to put an end to it.
Initial claims for unemployment benefits fell below one million for the first time since mid-March (20 weeks). However, unadjusted claims had already dipped below that level a week earlier. Unadjusted claims totaled 831,000.
Following decades of investment and cost reduction, electricity from renewable energy should be cheaper than most existing fossil- and nuclear-fueled electricity within the next three-to-five years. We believe selectively investing in operators with scale and cost advantages in this sector should be rewarding given the increasing demand for clean energy.
Companies from Samsung Electronics Co. to Apple Inc.’s assembly partners are showing interest in investing in India.
