Should China deliver sufficient stimulus to break the cycle of tightening fiscal policy, we may find China, and emerging markets, investable again.

The puck has certainly moved since our last market commentary. This month, we argue that the needle on portfolio construction should move with it. Equities have been the driver of returns for much of the last few years.

Alpha (α) is a fundamental yet poorly understood concept in finance. Simply put, it is the difference between the return of an investment and that of a risk-adjusted benchmark. In a more advanced definition, alpha is the residual in an asset pricing equation (see Appendix A). Alpha is what active managers strive to achieve and passive managers do not pursue.

A return to lower yields has been every bond fund manager's dream since the nightmare of 2022. But now, with expectations dashed that they’d get their wish this year, it appears they’ll have to hang their hopes on 2025.

Wall Street banks are expected to launch a barrage of bond sales as soon as next week, capitalizing on ultra-low credit spreads and strong demand from investors after they report quarterly results.

Private capital – encompassing private equity and private credit – is in the midst of a bit of a renaissance at the moment. IPO activity hit a peak in 2021, the year after the pandemic and then promptly plunged to levels not seen in years.

The Fed’s “recalibration” of monetary policy is more than just about shifting to rate cuts. It also involves where the policy maker is now placing its greater emphasis on setting the course for easing in the future. Rather than inflation being the primary driver in the decision-making process, labor market activity has now taken center stage, and with that, one could argue, for the Fed, it’s now about the economy.

With interest rates declining, enthusiasm for muni bond ETFs could be reborn in income investors, including retirees.

Elon Musk went all-in to get robotaxis onto roads, sacrificing a widely anticipated cheaper car, gutting teams focused on other projects and downplaying Tesla Inc.’s sales slowdown.

Britain’s stock-investing culture has been withering for years, with the only real growth coming from consultants, policymakers and commentators generating ideas on how to revive it. So why is Robinhood Markets Inc. so keen to expand in the UK? The draw may be more the country’s enthusiasm for online betting than allocating savings to equities.

If investors in Alphabet Inc. weren’t all that worried at first about the possible consequences of Google losing its search antitrust case, they perhaps should be now.

It is more common that teammates really enjoy the people they work with and have one another’s backs, but they don’t particularly want to give up personal time to spend more with workmates.

Unbundling services and offering them à la carte could appeal to clients who want more control over their financial management. This approach allows clients to tailor the services they receive to their unique needs and preferences.

Many emerging markets have delivered a robust performance this quarter amid a number of headwinds and we expect key geographies to build on that in the coming months.

The jobs report closed last week with robust read outs of an official number that beat economist expectations. Below the surface, however, hours worked fell to levels often associated with recessions. This juxtaposition of more workers clocking fewer hours suggests that while employment figures are up, the quantity of work didn’t expand much.

As the November 2024 election draws near, the election outcome will profoundly affect the financial markets. Whether Donald Trump or Kamala Harris wins the presidency, each administration will bring distinct policies creating investment opportunities and potential risks for investors. With a divisive political landscape, it is crucial to understand how these potential outcomes can shape the stock market and your portfolio strategy.

Earnings season usually lasts around six weeks, so this wave of data will take us almost to Thanksgiving.

Last week marked the beginning of the end of one of the most rapid interest rate hiking cycles in U.S. history.

Whether you’re transitioning from another firm or starting from scratch, setting up your own independent registered investment advisor (RIA) firm is a tremendous opportunity that can provide higher earning potential, freedom, flexibility, and the opportunity to build a legacy.

A crystal ball enlightening a trader about the rate cut headlines would have been costly. However, a trader with the crystal ball and proper context may have been more successful.

Palmer Square Founder Chris Long discusses the $32 billion firm’s ETF entrance, spotlighting their Credit Opportunities ETF (PSQO) and CLO Senior Debt ETF (PSQA). VettaFi’s Todd Rosenbluth offers perspective on Bitwise’s XRP ETF filing, CLO ETFs, and the continued rise of actively managed ETFs.

Foreign Agents provides a powerful and depressing master class in the famous warning of Hamilton’s Federalist No. 21. To quote another founding father, Benjamin Franklin, “a republic, if you can keep it” indeed.

Judging from the public commentary, last Friday’s US jobs report confused economists in terms of their understanding of economic developments in the world’s largest economy and the policy approach of the Federal Reserve.

It’s no secret that betting on defense suppliers when geopolitical tensions ratchet higher pays off — at least in the short term. But Wall Street says there’s more to this latest rally.

US investment-grade corporate bond spreads have narrowed to the lowest level in more than three years, a clear sign of just how bullish credit investors are even as macro and geopolitical risks mount.

The federal debt is already $35 trillion and currently rising by roughly $2 trillion every year – with no end in sight. As a result, some investors are worried that the US could become a 21st Century version of Argentina: completely bankrupt and unable to pay the bills.

Just like road trips can bring unexpected detours, the economy and financial markets are at their own crossroads: recession or soft landing?

We bring together historical and real-time analysis for insight into the economy, markets, and potential alpha opportunities and risks we’re watching.

Global monetary easing and modest growth are creating a fairy tale story for investors. Their very high conviction in the outcome of that story, however, belies a number of serious risks.

The Federal Reserve began cutting interest rates. Whether the economy falls into recession, hard or soft, is anyone’s guess.

Building a TIPS ladder gives us a license to spend and creates a spending floor. My TIPS ladder combined with Social Security provides a $10,000 monthly inflation-adjusted cash flow, though I’m delaying taking Social Security until age 70, of course.

Discussion about more political oversight or political control of the U.S. Federal Reserve (Fed) occasionally heats up. We are seeing more of this type of discourse today as the election approaches. In our view, limited Fed independence could prove disastrous.

The strong gain of 254,000 jobs in September was a welcome surprise after months of cooling in the labor market and reinforced other signs of strength in the US economy. However, one month does not make a trend, and even with the Federal Reserve cutting interest rates, a sustained turnaround in hiring will take time.

Thanks to new legislation, Americans with retirement plans now have easier access to cash in the event of a financial emergency. A provision in the Secure Act 2.0 that took effect this year allows individuals with 401(k)s and other retirement plans to withdraw up to $1,000 without triggering a 10% early distribution penalty.

The outlook for corporate debt is improving now that the Federal Reserve has begun cutting interest rates, according to the latest Bloomberg Markets Live Pulse survey.

The “no landing” scenario – a situation where the US economy keeps growing, inflation reignites and the Federal Reserve has little room to cut interest rates – had largely disappeared as a bond-market talking point in recent months.

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The recent fears regarding the state of the U.S. employment sector seemed to have disappeared completely this morning as markets are ‘recalibrating’ their view on the U.S. economy going forward.

On this episode of the “ETF of the Week” podcast, VettaFi’s Head of Research Todd Rosenbluth discussed the Vanguard Core Plus Bond ETF (VPLS) with Chuck Jaffe of Money Life. The pair discussed several topics related to the fund to give investors a deeper understanding of the ETF overall.

How will the U.S. dollar respond to Federal Reserve rate cuts? The factors that have supported a strong dollar for years remain largely intact.

Options-based ETFs are one of the fastest-growing categories in the market today, with product proliferation and adoption rising quickly.

Rate cut expectations pushed more investors into investment-grade corporate bonds, giving them their best quarter in nearly a year.

OpenAI has tapped global banks for a $4 billion revolving line of credit on top of its recent $6.6 billion fundraising, building a massive war chest to stay ahead in the costly race to develop more sophisticated artificial intelligence.

If the risk of stepping too far out into the yield curve is too much to bear, consider using intermediate bond options.

Flashing green light – crowd will determine path forward.

As we look at today’s economy and financial markets, we are at a crossroads: Will it be a long straight highway to a soft landing, or will it be a bumpy road to recession?

Investors can use this Natixis ETF to lock in robust income and capital appreciation, while generating security against equity volatility.

Investors have been embracing actively managed fixed income ETFs in 2024. The latest suite of active ETFs to catch my eye are from State Street Global Advisors.

Over the past several years, high-yield bonds have delivered impressive returns, outperforming most other sectors of the fixed income market.

With interest rates lower, inflation collapsing and wages rising faster than prices, there’s potential for a very happy holiday for US retailers.