Robo Advisors

I hope the discomfort and pain you experience reading this piece are but a small fraction of what I experienced writing it. I keep reminding myself that most of our problems today are first-world problems that are generally trivial and insignificant compared to what people in Ukraine are going through.

Europeans enduring an unseasonal April cold snap may be forgiven for thinking winter is back. But for the natural gas market, summer has arrived. April 1 marked the start of a new year in the energy calendar, moving the focus to injecting enough gas into storage during the coming low-demand months in preparation for next winter. It’s a race Europe cannot afford to lose, but one it will struggle to win following Russia’s invasion of Ukraine.

Geopolitical upheaval and rapid inflation have driven volatility and, with that, questions from clients about whether to reposition portfolios defensively. In my wide-ranging conversation with Harold Evensky, he explained how he responds to fears that this time is different.

Oil fluctuated as investors weighed threats to supplies from the month-old war in Ukraine, with President Joe Biden set to address the crisis on a key trip to Europe that may see more sanctions imposed on Russia.

Call them brazen, call them naïve, but stock investors are giving no sign of being daunted by the hottest inflation in decades or the accompanying surge in bond yields. Their boldness has sent analysts in search of ways to explain how the S&P 500 Index has managed to rally in five of the last six sessions, even as the Federal Reserve promises higher rates while war rages in Europe and Treasury rates see the biggest two-day jump in two years.

Javelin and Stinger missiles, Molotov cocktails and now…crypto war bonds. To support its life-or-death struggle against Russia, Ukraine is seeking to tap the rapidly expanding potential of cryptocurrencies. If it succeeds, other nations facing dire circumstances may follow.

Jasmin and Ryan recently exchanged ideas about trading apps and new software that can help educate investors about key investment principles.

Cryptocurrency exchanges and other financial services companies were stars amid a Super Bowl ad blitz that featured the return of many longtime sponsors and an overall more celebratory mood than last year.

Europe’s stricter environmental, social and governance rules might be forcing companies in more controversial sectors to look across the Atlantic for funding.

UBS made a huge investment in acquiring the robo-advisor Wealthfront. But neither this investment nor any other robo pose a threat to traditional financial advice.

While no one knows what 2022 holds in store for investors, my concern is that it should not foster the same optimism as 2021.

Bob Huebscher’s mother passed away on December 23, 2021.

You might think that the IPO of electric-truck wunderkind Rivian Automotive Inc. — with its valuation soaring past $100 billion on zero revenue — perfectly captured the madness in autos in 2021.

For Americans under 50, inflation is little more than a theoretical concept. But for those of us born in the late 1950s and 1960s, the inflation of the 1970s was a formative experience we’d rather not repeat. Inflation was as much a part of our childhood as Covid is for today’s kids.

Cryptocurrencies had a blockbuster year in 2021 by almost any measure. Bitcoin, Ether and other coins jumped, reaching new highs far beyond their previous peaks.

As is our custom, we conclude the year by reflecting on the 10 most-read market and economic commentaries over the past 12 months.

It has been my tradition to informally rate the investment-related books I read in the past year. I have also included some novels and books of general interest. Here is my list of winners and losers.

Oil edged higher after OPEC and its partners left themselves room to quickly adjust output plans if the pandemic drastically changes the market.

Although electric cars will become predominant, the industry will remain highly competitive and capital intensive. Over the next decade, it will be difficult for investors in auto manufacturers to earn meaningfully positive stock returns with the outlook for investment in electric vehicle specialists being particularly bleak.

As predicted by financial theory, stocks of companies with positive ESG records underperformed the market. But the problems for ESG investors don’t stop there.

In addition to the robo-advisors discussed in Part I and Part II of our series, traditional investment companies, including Goldman Sachs, Vanguard, Schwab, and Merrill have developed their own robo-advisory services.

Given record profit margins and valuations, there is little upside, especially if inflation remains problematic. Throw stagflation into the formula, and the outlook is bleak.

In part two of this series, I review three additional robos: Albert, Ellevest, and Stash.

With so many robo-advisor choices, individuals are struggling with which one to use.

In August, the Israeli brokerage eToro hired Lule Demmissie, a longtime wealth-management director at TD Ameritrade and, more recently, president at Ally Invest, to head its growing presence in the U.S. Demmissie, who moved to the U.S. from Ethiopia when she was a teenager, has a lot on her plate.

For years climate scientists have warned about the ferocious wildfires and hurricanes that are now overwhelming many communities.

There’s a fallacy among advisors that selecting a platform partner is an either/or proposition: a TAMP or an open-architecture solution. There is a middle ground. Some describe it as a “full-service portfolio management platform.” The team at SEI calls it a Techstodian^SM.

A client engaged us about three months ago. But based on the time we’ve worked together, I do not enjoy or like him.

The expectations our clients and prospects have for technology are continually evolving and we must evolve with them.

Grim as things seem, most of us are in better shape than we’d be in a higher rate environment. Before inquiring about the strength of the product purchased from my local cannabis outlet, let me explain.

Jeffrey Gundlach’s highest conviction investment idea is that the dollar will head lower over the long term. That will lead to a strong rally in emerging equities, and they will outperform U.S. stocks.

Vivek Ramaswamy’s new book, Woke, Inc.: Inside Corporate America’s Social Justice Scam, is addressed to what he believes are the evils of corporate America adopting a ”woke” posture and taking it upon itself to enforce woke-ness.

While robos are beneficial as they often invest in low-cost funds and ETFs, ideally, they should also include quality SPIAs and DIAs to simplify investment planning and allow retirees to spend more.

For many, paying off debt and putting money away for retirement are the first financial goals to work toward.

Bill Gross and his wife pleaded not guilty Tuesday to charges they violated a court order to stop bothering their Southern California neighbor with excessively loud music.

For years, David Horowitz at Agilon Capital was a rare breed in the bond market: a quant in a notoriously old-school business where prices were a call rather than a click away.

Financial-technology firm Stash is exploring options for a market listing, such as merging with a special purpose acquisition company or a traditional initial public offering, according to people with knowledge of the matter.

Archegos Capital Management’s implosion signals Wall Street has grown too complacent about potential threats building up in the economy, said Michael Hsu, the new acting chief of the Office of the Comptroller of the Currency.

The world’s largest SPAC – Pershing Square’s “tontine” – is “deeply engaged” in a transaction that could close in the next few weeks, according to Bill Ackman.

This is where the evolution happens, and a firm innovates to thrive in the future.

Joe Biden took the riskiest step of his presidency with a call for higher taxes on the wealthy to fund a massive investment in the nation’s social safety net, betting he could sell the American public on sweeping change following a pandemic that exacerbated economic and social divides.

Along with learning the importance of saying "yes ma'am” and “no sir," my southern upbringing taught me the value of a handwritten note.

Treasury Secretary Janet Yellen on Tuesday outlined her department’s plans on fighting climate change with remarks that are likely to ramp up a dispute with Republican lawmakers over the appropriate use of financial regulation on that front.

Educators have long struggled to help students like Tiaja Harley earn bachelor’s degrees, the surest route to the middle class. Raised by a single mother who earned minimum wage, Harley loved to read and was good at math and science in elementary school. Students like her do get into college, but the vast majority drop out.

Senate Democrats launched their effort to pass sweeping voting rights legislation Wednesday, which could become the centerpiece of an attempt to weaken the chamber’s filibuster rule.

There are many ways to go wrong in choosing a TAMP. Here are two no one is talking about.

If you’re fond of the term “mind candy” to describe novel, intriguing, and insightful concepts, then The WEIRDest People in the World is an eight-pound Costco box of it.