Category: Whitepapers

Some results may be more surprising than others. 1. Fixed income. Traditional government and corporate bonds haven’t tended to fare well during short-term inflationary spikes, assuming interest rates rise as well. For bonds generally, increases in yields erode current bond prices, due to the effects of inflation and market segmentation…

Despite a variety of autumn headwinds, a variety of which have been ongoing, there are positive takeaways for investors. Growth. From both the standpoint of the economy and corporate earnings, numbers are growing. At the risk of oversimplifying, long-term equity market returns have largely tracked long-term corporate earnings growth. When this…

Markets have pulled back over the past few weeks, with more volatility in both directions last week, based on a variety of converging concerns (not listed in any order of severity). Peak growth. Following the historic economic pullback in 2020, the depths of which had not been seen since the Great…

U.S. treasury rates continue to baffle investors. The 10-year yield tends to be one of the most frequently-estimated yet difficult-to-predict data points in the investment landscape. In addition to commercial lending rates, its importance is hinged on it being the general base rate for 30-year fixed residential mortgages. Normally, interest…

Both private economists and public officials have shared a variety of opinions about remaining issues weighing on the jobs recovery. The arguments seem to be focused on a few key areas. Some are easier to rectify in the short term than others. (1)   Continued Covid-based concerns over either workplace environments or…

We’ve covered some of the characteristics of cryptos before, but with the ongoing spike in investor interest, the topic is worth revisiting. With any newer and harder-to-understand product, it’s important to take a step back and not lose sight of the forest for the trees. From that vantage point, a…

 12/1/2020  It’s a new high, but not dissimilar to celebrating say, 29,999 as a new peak, although the odd number didn’t receive the same level of media attention. These round market levels, whether it be the Dow Jones Industrial Average, Nasdaq, or others, tend to generate high visibility (especially in…

 11/23/2020  Whether or not an asset class is in a bubble is difficult to answer in real-time, since sentiment can change course as quickly as a few weeks, or take years. In hindsight, these things are always more obvious. The question can be viewed through a few different perspectives: (1)…

 11/9/2020  The election results may have surprised some forecasters (and certainly pollsters), as the predicted ‘blue wave’ of Democrats capturing both the Presidency and Senate fell short. Democrats did retain the House of Representatives, as anticipated, although more seats than expected were lost. Looking at results broadly, the electorate remains…

 9/21/2020  In many ways, policies to expect would likely be similar to what’s in place today, and largely opposite of those proposed under a Biden administration discussed a few weeks ago. At the same time, Trump’s policies have not followed ‘traditional’ Republican ideologies from decades past in a variety of…