This “exodus,” as some are already calling it, may end up being among the biggest in U.S. history, or at least the biggest since the 1950s and 60s. A record 27.4 percent of homebuyers sought to move out of their metro areas in the second quarter, according to Redfin data.
In this letter I find myself recommending policies that not that long ago would have been extraordinarily distasteful to me. Yet, unless we pursue them, our economy will truly be turned upside down. I fully recognize these things have a cost. But the cost of inaction is much higher.
The S&P 500 started the week out fairly steady, only to drop upon open Thursday. The index continued its decline on Friday only to bounce back slightly at close. It is down 1.12% from Thursday, 2.75% YTD, and is 7.3% below its record close.
The latest full set UIG for August is 1.28% while the prices-only measure is 2.12%. Current Headline CPI is now 1.31% and Core CPI is 1.74%.
Dynamic Beta’s portfolios seek to match or outperform the portfolios of leading hedge funds by identifying, and investing directly in, the key drivers (or factors) that explain recent pre-fee performance. Its engine is based on over a decade of research into the primary sources of returns among Equity Long/short, Managed Futures and Multi-strategy hedge funds. Its portfolios consist only of highly-liquid futures and/or ETFs.
Over the past few months, advisors and investors have been whipsawed by market movements and emotions have been magnified due to the pandemic. And while the term behavioral finance has often been discussed in the advisor world, the application of it into practice tends to lag.
The major stock market indices were choppy on a day-to-day basis, as investors continued to reevaluate the rally off the lows. The economic data reports were inconsequential.
This morning's release of the publicly available data from ECRI puts the WLI at 139.4, up 0.2 from the previous week. The WLIg is at 2.3, also up from last week and the WLI YoY is at -3.77, down from last week.
Russ Koesterich, portfolio manager of the Global Allocation Fund, explains how history is not repeating itself with the recent sharp rise in tech stocks.
Global stock markets seem to be defying the reality of recessions this year. Despite recent volatility, we think market gains for the year are more rational than perceived, given the powerful impact of stimulus and low rates on stock valuations.
At least through 2023: That’s how long the Federal Reserve expects near-zero interest rates to last as it seeks to support an economy that’s seen more than 60 million jobless claims since mid-March. Gold has thrived in this low-rate environment, hitting an all-time high of $2,070 an ounce in early August...
The September Preliminary came in at 78.9, up 4.8 from the August Final. Investing.com had forecast 75.0.
The latest Conference Board Leading Economic Index (LEI) for August was up 1.2% from the July final figure of 105.2. Investing.com predicted a 1.3% increase.
The United Kingdom officially left the European Union in January of this year, but issues remain in the Brexit saga, namely trade relations. David Zahn, our Head of European Fixed Income, weighs in on the odds no deal will be reached by year-end—and the market implications.
With U.S. shares reaching lofty valuations and fundamentals firming up in many other countries, financial advisors would be wise to consider increasing a client’s non-U.S. holdings. So why do many advisors hesitate making this allocation?
The issue becomes all that more important given the continued uncertainty facing the fiscal relief package and Thursday’s jobless claims numbers.
After successfully rolling out exchange-traded funds that mimic structured products, an upstart firm is loading its latest offering with even more bells and whistles.
Wall Street giants have threatened to move operations from New Jersey if a tax is enacted on stocks, options, futures and swaps trading.
This month, the Census Bureau released its annual report on household income data for 2019. Last year the median (middle) average household income rose to $68,703. Let's take a closer look at the quintile averages, which dates from 1967, along with the statistics for the top 5%.
Sierra Mutual Funds CIO Terri Spath covers the current state of the markets, and gives three possible ways to participate in investment returns while keeping a close eye on risk.
With the COVID-19 pandemic raging on, the dollar continuing to weaken, and uncertainty surrounding the culmination of the U.S. election cycle, investors are focusing on precious metals as a potential investment solution. In this webcast, Steve Dunn, CIMA®, Head of Exchange Traded Funds, and Stan Kiang, Director of Strategic Accounts, will speak on behalf of Aberdeen Standard Investments to discuss why we believe precious metals are a critical component of a well-diversified investment portfolio. Gold and Silver prices have been surging of late, but this webinar will lay out the fundamentals underlying the need for a longer-term, strategic allocation. This webcast is eligible for Continuing Education (CE) Credit.
What are the lessons that can be learned from observing the Chinese economy and U.S.–China relations? Sinology explores the takeaways from five topics including China’s approach to controlling COVID-19, its economic recovery and Washington’s misguided approach towards China.
Fed maintained rates at near-zero, while also updating its summary of economic projections; now expecting a shallower economic contraction, but a slower recovery thereafter.
Many investors are attempting to justify higher stock “valuations” because interest rates are at historical lows. I would agree that lower interest rates could affect “market valuations” based on the simple law of supply and demand. The concept is simple, when fixed income offers lower returns it logically stimulates more demand for equities where higher returns can be found.
A brief monthly update on what's happening in the municipal bond market.
The Brexit negotiations are growing more adversarial with no signs of agreement on key issues. The most likely outcomes are now the hardest and most disruptive Brexit scenarios—leading to further potential weakness for the UK’s currency.
The COVID-19 pandemic has been devastating for Brazil, but heavy government spending and monetary policy easing have helped bring some stability to the economy.
The Federal Reserve was already holding short-term interest rates near zero. What today's meeting made clear was how determined the Fed is to hold them there for at least the next few years and perhaps well into the current decade.
Nature is our greatest teacher. After spending a couple weeks on a small lake in Vermont this summer, I saw how fishing provides a framework for prospecting – the process of finding and converting a lead to client.
This morning's seasonally adjusted 860K new claims, down 33K from the previous week's revised figure, was worse than the Investing.com forecast of 850K.
The U.S. Census Bureau and the Department of Housing and Urban Development have now published their findings for August new residential housing starts. The latest reading of 1.416M was below the Investing.com forecast of 1.478M and a decrease from the previous month's revised 1.492M.
The U.S. Census Bureau and the Department of Housing and Urban Development have now published their findings for August new residential building permits. The latest reading of 1.470M was a decrease from 1.483M in July and below the Investing.com forecast of 1.520M.
The latest Manufacturing Index came in at 15, down 2.2 from last month's 17.2. The 3-month moving average came in at 18.8, down from 21.0 last month. Since this is a diffusion index, negative readings indicate contraction, positive ones indicate expansion. The Six-Month Outlook came in at 56.6, up 17.8 from the previous month's 38.8.
Infrastructure financing is coming to the municipal bond market. What can we expect?
The facilities will bring products closer to customers, making shopping online about as fast as a quick run to the store.
What did happen in the early ‘70s to cause such a large and enduring structural shift in the U.S. economy?
It’s probably a good time to invest in commodities now when prices are lower, according to former Goldman CEO Lloyd Blankfein.
U.S. workers who are being shepherded back to the office would rather continue doing their jobs from home, at least a few days a week.
Nowhere is the widening gap between real estate and the real economy more apparent than in Las Vegas, where tourism is in ruins, wages are plunging and home prices just keep rocketing higher.
David Solomon is taking another shot at unloading his expansive estate in the ski town of Aspen, Colorado, as wealthy Americans seek property away from urban areas.
Wall Street firms may start facing pressure to pay out bonuses earlier than usual as their employees worry about the prospect of higher taxes under a Biden administration and Democrat-controlled Senate.
Here's the latest on the three largest cryptocurrencies by market share: bitcoin, Ether, and XRP.
Two of the paramount risks facing advisors and their clients are from inflation and volatility. Inflation will erode the purchasing power of portfolios and volatility almost always accompanies steep declines in asset values. My guest today, Nancy Davis, has an innovative product that seeks to hedge relative interest rate movements, mitigate inflation risk, profit from an increase in volatility and a steepening of the yield curve, and provide inflation-protected income.
A debate rages on whether ordinary investors should have equal access to financial markets.
Advisors need to help retirees and other investors limit downside risk and grow their wealth. We at Sierra share this goal, and in this webinar we will provide perspective on the challenges facing financial advisors. We will discuss how to build a well-diversified fixed income allocation that seeks to deliver the benefits of bonds, while mitigating against rising rates, defaults, bond market illiquidity and stock market volatility. We will also introduce a truly tactical, rules-based investment approach with the goals of limiting downside risk and producing returns that a conservative investor would deem satisfying.
Learning Objectives:
We will review:
Markets have been walking a fine line, with a still-struggling economy on one side and hopes for a COVID-19 vaccine breakthrough on the other. Heading into the fourth quarter, there are both encouraging signs and cause for caution.
The coronavirus shock is accelerating structural trends in inequality, globalization, macro policy and sustainability. This is fundamentally reshaping the investment landscape and will be key to investor outcomes.
Your social network may be an untapped and robust source for uncovering prospects. While you may be suffering from COVID-19 fatigue, we believe prospecting and having introductory conversations about the services you provide could be one of the best uses of your time.
Month-over-month nominal sales in August increased by 0.56%. Real Retail Sales, calculated with the seasonally adjusted Consumer Price Index, increased by 0.18%.
Adding intangible assets to book value provides a more robust measure of firm capital. But, just as a home buyer considers a host of variables when evaluating the price of a new house, we prefer to use multiple metrics, not book value alone, to get the most complete picture possible of a firm’s valuation.
