The Municipal Bonds Channel

Expecting a Market Downturn? Make Sure You’re Following the “Noah Rule”

Predicting a major economic or financial event—whether that’s a recession, market downturn or even your own retirement—requires that you also take action. Otherwise your prediction was meaningless.

UK Elections: Conservatives Win Big, Brexit Will Happen – What Kind of Brexit Is Still Unclear

While the election outcome was quickly reflected in the pound exchange rate, the direction from here depends on what kind of relationship Boris Johnson really (really) wants to have with the EU. Find out more from our currency expert.

What Boris Johnson’s Election Victory Means for UK Assets

We expect to see flows back into UK equity and credit now that some of the Brexit uncertainty has been removed.

Changing Speeds?

A review of last month’s market-moving events across countries and asset classes.

Advisors and Clients Walking past Each Other on Sustainable Investment

Did you know that more than $12 trillion in assets under management are engaged in one or more strategies of sustainable investment in the United States? This comprises more than 25 percent of the professional managed assets across the country and is a 38 percent growth from 2016 figures.

Should You “Sell” Volatility?

Academic theory predicts that the volatility implied by the VIX index will be greater than the realized volatility. That difference can be thought of as an insurance premium investors are willing to pay because volatility tends to spike when stocks crash, as in the last bear market. New research confirms that investors can profit from this and that such a strategy is uncorrelated with other traditional sources of return.

Insured municipals offer investors additional assurance

Insured bonds continue to pay interest and principal even if an issuer defaults.

Teeter-Totter Stock Market

One way of thinking about the share price of a common stock is the price range as a teeter-totter. When the psychology of investors is very negative, enthusiasm for the company hits the ground. On the other end, when everyone is in love with a company’s shares, their end of the board can’t seem to get any higher. Where is the board end hitting the ground currently and who is stuck up in the air on a psychological high?

Why Should You Read Our 2020 Global Outlook?

Jean highlights some key takeaways that may help you with next year’s investment decisions.

All Asset All Access, December 2019

Research Affiliates discusses why they believe value investing is still alive and well and explains how changes to the display of expense ratios seek to enhance clarity for investors.

Is the Fed Gearing Up for a New Round of Quantitative Easing? Here Are the Possible Signs

“This is not QE. In no sense is this QE.” That was Jerome Powell in early October, answering a reporter’s question on whether the Federal Reserve’s intervention in the overnight U.S. repo market constituted another round of quantitative easing (QE).

Gundlach on the Biggest Risk Facing Bond Investors and the Likely Next President

Fear among bond investors is focused on rising rates, but Jeffrey Gundlach says you should worry about something more sinister. In his webcast yesterday, he also offered his updated 2020 presidential election prediction.

Beyond Green Bonds: Innovations in Sustainable Investing

Environmentally minded investors, take note: a controversial new bond format that links a company’s sustainability goals to its bottom line could be a game changer in building a more sustainable future.

2020 Global Market Outlook: Cycle, Interrupted

Central bank easing and the cooling China-U.S. trade war have set the scene for a global economic rebound in 2020. Our forecast pushes the risk of recession into late 2021, giving equity markets modest upside potential for 2020.

Sifting Through the Froth

Positive returns across asset classes in 2019 may limit tax loss selling in closed-end funds, but we see potential long term value in select sectors where investors can still buy assets at a discount.