Fixed Income

It might be hard to believe after the crypto winter of 2022, but monetary tightening by global central banks could be supportive of Bitcoin upside.

In many ways, 2023 continues to be the mirror image of 2022, with the most volatile assets being some of the best performers for much of the year.

Today, in a shock decision, the Bank of England (BoE) left its policy rate at 5.25% by the tightest possible majority vote of 5-4. All but one of 65 economists polled by Reuters had predicted that the BoE would raise the rate to 5.5%.

Wednesday’s Federal Reserve (Fed) decision to keep the federal funds rate unchanged wasn’t a surprise at all. Markets, as we argued last week, had predicted that the Fed was going to stay put and that is what it did.

The Northern Trust Economics team shares its outlook for major markets in the months ahead.

A balanced portfolio needs assets with strong return potential and those that may provide downside mitigation. We believe direct lending can deliver both—a potentially valuable feature, particularly in today’s uncertain market.

Energy and Gold Produces Face Increasing Pressures, Crimping Supply.

We started RBA in 2009 primarily because we thought the US stock market was entering one of the biggest bull markets of our careers. However, most investors did not agree with our bullishness. Now, risk aversion seems a thing of the past.

A string of CPI readings heading in the right direction. A labor market and consumer that are still intact. All of the sudden, the recession consensus has given way to a soft landing. Learn what may be in store for the equity market.

The hit TV series “That 70s Show” aired from 1998 to 2006 and focused on six teenage friends living in Wisconsin in the late 70s.

Investment-grade credit is currently offering impressive yields, with relatively less risk than other fixed income sectors, according to Josh Lohmeier of Franklin Templeton Fixed Income. He makes a case for investing in the space today.

I, however, like all Kens, have always had a firm grip on the remote for 100% of the time but I decided to let her have her way just once.

Many of the speakers and attendees were bullish on the physical metal, pointing to gold’s resilience in the face of a very strong U.S. dollar and multiyear-high yields.

For many wealth advisors, workplace retirement plans are either a burden or an afterthought, according to John Kutz, National Retirement Plan Strategist at Franklin Templeton. He and his team explore why embracing these plans can benefit their practice, and their clients.

The Federal Reserve weighs the data while investors wonder: Is the rate-hike cycle over?

Over the last 100 years, the US equity market has returned about 9% annually. What will it return over the next 100 years?

For the second time in four months, the central bank decided to not increase interest rates but indicated another hike in 2023 is likely.

While some stocks may seem expensive, there are areas of opportunity that feature attractive valuations and growth catalysts, according to the Franklin Templeton Investment Solutions team.

Many view growth stocks, including tech stocks, as sensitive to rising interest rates. Last year confirmed this thesis. That script has been flipped for the better this year as technology ranks as one of the best-performing groups in the S&P 500 despite multiple rate hikes by the Federal Reserve.

Given concentration risk, understanding what a strategy and portfolio owns is more important than ever in current markets.

ETF Trends interviewed three sources about active ETFs, why financial advisors are opting for these investment solutions for clients, and how these factors have changed in recent years. Each source responded to the same questions in their respective interviews.

The September Federal Reserve meeting provided few surprises, but ongoing uncertainty about the Fed's next move may mean more volatility ahead.

The European Central Bank is likely at or very near its peak policy rate, but we don’t expect rate cuts in the near term.

Inverted curves (when the gold line goes below the red line meaning that short maturity yields are higher compared to longer maturity yields) have preceded recessions.

The Franklin Templeton Fixed Income team believe that issuers that think critically about the environment in which they operate could outperform throughout the full market cycle compared with those who are slower to adapt.

Whatever stories Americans are told about the strength of the economy under President Joe Biden, they are not going to be persuaded to look past the issue of their own living standards. For most Americans, these have declined somewhat as price increases have outpaced wage growth.

Banks have reemerged as a potential pain point for the investment community, as rating agencies recently embarked on a downgrade cycle in the sector.

For new investors, the world of finance can appear daunting. But among the sea of investment options, Treasury bonds (often just called “Treasuries”) are a pillar of stability and reliability.

Given the uncertainty over a recession, there are other incremental steps that investors may want to consider instead. These include making adjustments to a portfolio’s market beta and credit exposure.

A return to the Great Moderation Era looks unlikely, which might lead to an increasingly volatile—and somewhat unfamiliar—inflationary, economic, and geopolitical landscape.

In arguably quiet fashion, active managers are performing admirably in 2023. An impressive percentage of active equity and fixed income funds beat their benchmarks in the first half of the year.

Celebrating an exciting milestone: Franklin Income Fund turns 75. Learn more about this flagship strategy and read some fun facts from back in 1948.

The term “Bond Vigilantes” is a nostalgic twist on an old-west theme. In the nineteenth century, the American West formed self-appointed groups, or committees, to seize the duties of law enforcement and judicial authority in situations when citizens found law enforcement lacking or inadequate.

Now seems like a good time to talk about wrappers and which ones are best for different situations. How do you decide whether to use an ETF, a mutual fund, or something else?

When markets are in a rising tide, all boats (aka stocks) can benefit. When the waters are choppier, active equity selection aims to identify the sounder vessels. Tony DeSpirito reviews five reasons why he believes the new environment is setting up to favor an active approach.

The FOMC will make some close calls and tough decisions.

Confidence is returning to the bond markets and one sign is corporations’ willingness to start taking on debt again with new issuance.

Markets are convinced that the Federal Reserve (Fed) is going to pause its interest rate campaign after it finalizes its Federal Open Market Committee (FOMC) meeting on Wednesday, September 20.

Despite substantial growth and huge advancements in public policy support, clean energy has had an abysmal stretch in the stock market the last two and a half years.

The University of Colorado Buffaloes are undefeated and suck up a lot of oxygen in the college football world.

Credit Research Analysts Greg Schantz and Julian Wellesley dive into why they favor European banks vs US banks and why they see a potential opportunity in Yankee bank bonds.

Okay, I took a little poetic license, but the point is that while we try, predictions of the future are difficult at best and impossible at worst.