Jeff and Ron Muhlenkamp give an update on the relevant economic indicators impacting investments. They also provide their thoughts on inflation, the possibility of a recession, and a list of things “broken” by the Fed due to it raising interest rates.
Japanese profits have benefited from the prolonged deleveraging of Japan Inc. The reduction in debt coupled with exceptionally low interest rates has allowed cash flow to impact the bottom line.
There is a growing movement among investors to align their portfolio to their values or belief systems. Advisors can use Direct Indexing products and Separately Managed Accounts to help their clients pursue faith- or values-based investing.
A recent surge in bankruptcies and defaults by high-yield issuers is unnerving some fixed income investors. Bond investors, particularly those seeking elevated levels of income, are rightfully jittery.
With lots of chatter in the United States around the potential for a soft landing, Jeff Schulze, Head of Economic and Market Strategy at ClearBridge Investments, shares his thoughts on the matter and the overall state of the US economy in our latest “Talking Markets” podcast.
Muni bond ETFs gathered $6.3 billion in the first nine months of 2023. However, a healthy $1.4 billion flowed in during September alone. According to Columbia Threadneedle, there is good reason to focus on the asset category.
Interest expense is a large and growing issue for both the economy and stock market, which reinforces why investors should stay up in quality amid interest-rate-driven headwinds.
Women are still underrepresented among economics majors and in a range of professions.
As the “soft landing” narrative grows, the risk of a “crisis” event in the economy increases. Will the Fed trigger another crisis event? While unknown, the risk seems likely as the Fed’s “higher for longer” narrative is compromised by lagging economic data.
To succeed, every advisor needs to grow. This growth must not be limited to the size of their practice either. Advisors need to grow their talents and their knowledge, and must always be developing their skill set.
Municipal bonds sold off considerably in September alongside vastly rising interest rates.
A run of shrinking quarterly profits may finally end soon, but it's probably not time to break out the champagne just yet.
In a year in which active strategies have done so well via allocator interest, as well as with their own returns, an active ETF could make a very good addition.
Value-conscious, historically-informed, full-cycle investors place a great deal of emphasis on the relationship between the price an investor pays today and the cash flows they can expect to receive in the future. The reason is simple.
The High Yield Bond category is up 5.9% through September, ranking it among the best performers in the fixed income space. Payden & Rygel’s Jordan Lopez and Nick Burns outline three factors contributing to the market’s strength.
With artificial intelligence, systematic investing is entering a new era of disciplined decision-making. Yet, firms face many snags. Rigorous implementation requires collaboration among skillful investment, technology, and quantitative capabilities.
At the end of October we will get our first look at real GDP growth for the third quarter and it looks like it was very strong.
Psychology in markets is always fascinating. In February 2009, I wrote “8 Reasons For A Bull Market.” While in hindsight, it is easy to see that was the right call, overall, psychology was highly negative at the time.
Franklin Templeton Fixed Income Research Analysts Ashley Allen and Bryant Dieffenbacher discuss the food, water and energy sectors and what their convergence means for investors.
A money market fund is a type of mutual fund that invests in debt securities, specifically those characterized by short maturities and minimal credit risk. A money market fund generates income with little to no capital appreciation, making it a low-risk, low-return investment.
Our September Cyclical Forum was the first to be held in London, where the economic situation today reflects what’s happening around the world.
With oil prices trending higher, among other factors, market participants are bracing for a renewed round of elevated inflation. That could stoke renewed interest in traditional inflation-fighting asset classes, but investors may not want to overlook the ability of Bitcoin to act as inflation protection.
As a strategist, I work with financial advisors every day creating custom fixed income portfolios based on client’s financial needs and goals – with a keen eye on the importance of a balanced portfolio.
Even prior to this week’s spike in oil prices associated with renewed tensions in the Middle East, last week was ramping up to be a big week for electric vehicles (EVs) and their supply chain.
We see promising potential in countries with younger populations and forward-looking policies, such as India, Indonesia, and Mexico.
The higher-for-longer interest rates narrative could continue to negatively affect small-cap companies. This is because they look to stay afloat in the current macroeconomic environment.
“Restrictive for longer” is now the mantra as monetary policymakers seek to bring inflation reliably to target.
In the most recent FOMC meeting, the committee decided to refrain from raising rates again, but held open the prospect for further hikes this year.
As the second quarter came to a close, the Fed’s elusive soft landing appeared to be within reach. However, inflation resurfaced during the third quarter, substantially complicating the near-term economic outlook.
When your system, whatever it may be, is working extremely well, we used to say it’s “firing on all 8 cylinders.” What does that mean?
Savvy investors are aware that geopolitical tensions and uncertainty can significantly influence the financial markets.
Is now the time to add an active foreign equities allocation? Investors have likely already considered a case to diversify domestic-heavy portfolios with international equities.
Reverting to old fiscal rules will create a strong economic headwind for Europe.
The spike in bond yields presents an opportunity for fixed income investors to earn capital gains and diversify portfolios.
Among U.S.-based original equipment manufacturers (OEMs), Tesla (NASDAQ: TSLA) has a sizable, significantly profitable lead over the “big three” in the electric vehicle space, but on a global basis, the industry is evolving and close to a major inflection point.
Most investors are aware of certain taxes on their investments, such as on dividends, interest and capital gains. But those are just the tip of the iceberg.
GMO has published a new 7-Year Asset Class Forecast
After three quarters of improving economic outlook amid increasing expectations for a painless decline in global inflation, markets and pundits alike have become less optimistic about a soft landing as they reacted to frustration from the Fed.
Breaking a mirror, walking under a ladder, and a black cat crossing your path have all been seen as bad omens.
With all eyes on generative AI (genAI) and its transformative potential, individual investors’ interest has been piqued. The market-moving innovation certainly has generated a lot of hype ― and questions. Equity CIO Tony DeSpirito parses three reasons for excitement and three areas for awareness.
However, $22 billion moved into fundamentally weighted equity index ETFs, while dividend and momentum ETFs had outflows. This is sizable and warrants some added attention.
Slower growth and rising interest rates have tapped the brakes on private deal activity this year. But as banks continue to retreat from lending, we see plenty of opportunity for investors to pick their spots across the broad private credit universe.
Older workers can still be a source of relief for tight labor markets.
The first nine months of 2023 have seen significant growth. Despite this growth, questions remain. Income is top of mind as many investors worry about the potential of a recession, the ongoing high-rate environment, and market uncertainty. Enter the Income Strategy symposium.
A liquidity gap is growing as banks curtail specialty lending, providing specialty finance investors opportunities for potential better risk-adjusted returns than we’ve seen since the GFC.
In this second episode, Franklin Templeton Institute’s Tony Davidow discusses opportunities in alternative credit strategies with Richard Byrne from Benefit Street Partners.
Gold has lost $170 since hitting a peak of $2,050 per ounce in early May.
In his latest memo, Howard Marks provides a follow-up to Sea Change (December 2022). He argues that the trends highlighted in the original memo collectively represent a sweeping alteration of the investment environment that calls for significant capital reallocation.
Like a watched pot that refuses to boil, the much-anticipated recession of 2023 has yet to materialize. In our latest Strategic Income outlook, we examine the reasons and discuss what might finally cause the temperature to rise.
Yet again, the Federal Reserve’s battle to tame inflation has hit a speed bump. This week’s jobs report came in surprisingly strong, and while it may see revisions, it’s yet another point toward a lengthening rate cycle.
