Behavioral traits and cognitive biases are anathemas to portfolio management as they impair our ability to remain emotionally disconnected from our money. As history all too clearly shows, investors always do the “opposite” of what they should when it comes to investing their own money.
Among the 11 global industry classification standard (GICS) sectors, tech is not the best performer since the start of 2024. Not even close, nor is it the worst offender. Technology remains the largest sector exposure in a variety of domestic equity benchmarks. That cements its status as a must-watch group.
How momentum and election cycles may shift the impact and timing of seasonal trends.
There are attractive investment opportunities in private credit against a backdrop of a U.S. economy that continues to outpace the eurozone and the U.K.
With continued economic growth and elevated inflation levels, the Fed keeps delaying interest-rate cuts. The Franklin Templeton Investment Solutions team provides a historical analysis to make sense of the Fed rate cycle and what it implies for multi-asset investors.
As non-profit investors set their investment and spending policies, it is important to consider their organizational circumstances during a market shock.
I’m entering my annual post-SIC decompression period. I say that only half-jokingly. The last two weeks were my version of a dive deep into the sea, where you see shocking things and endure crushing pressure. The weeks of preparation are fun, but the sheer volume of information creates its own kind of pressure. You don’t just shift back into normal life after that.
We saw a dovish slant to Powell’s remarks at yesterday’s press conference, with no rate hikes in sight.
The current macroenvironment could spell opportunity for active bond funds as bond yields may have peaked.
We’ve just come through the first quarter of 2024 – and what a quarter it was! Hard on the heels of a robust end to 2023, the S&P 500 Index rose 11% in the first quarter of this year. This is the first time since 2012 that it’s had back-to-back double-digit quarterly returns.
While S&P 500 index-based ETFs were down 4% in April, they remained positive for the year. We believe as more institutional and retail investors turn to ETFs, these products will further swell in size.
I had the opportunity this week to speak at the London AIM Summit, where presenters and attendees were cautiously optimistic about the economy.
The latest run of unchecked optimism might just be over.
Markets started the year anticipating several U.S. Federal Reserve (Fed) rate cuts in 2024, but by the end of the first quarter, a continued string of stronger-than-anticipated economic data readings led to a significant dialing-down of expectations.
The Federal Reserve just wrapped up another policy meeting, and markets continue to push back their expectations of a first rate cut.
The Federal Reserve is looking for more confidence that inflation is headed back towards its 2% target before commencing with rate cuts.
John Hancock Investment Management has added a new ETF to the company's growing lineup. JHHY primarily invests in high yield bonds.
Investors seeking energy sector exposure but concerned about oil and gas volatility should look to midstream master limited partnerships.
With yields at current levels, bond funds can lock in longer term yields, offer price appreciation potential and overall serve as a hedge against a possible hard landing. Though elevated cash balances worked during the Fed’s hiking cycle, we believe now is an opportunity for clients to consider adding duration given the potential for a Fed pause.
Those that argue for lower rates have to counter the inexorable upward climb in Treasury supply and the likely Sisyphean decline in bond prices. Total Return is dead. Don’t let them sell you a bond fund.
April’s sell-off isn’t dissuading investors from taking a closer look at adding bonds to their portfolio. The price dip is giving prospective bond investors a chance to take action on higher yields now before the U.S. Federal Reserve eventually cuts rates.
Inflation and interest rate hikes have not been kind to REITs and the funds that own them. However, their low valuations could indicate an opportunity for investors.
As expected, the Federal Reserve kept its policy rate unchanged at the May meeting, but left the door open to rate cuts later this year if inflation declines.
Private markets have been viewed by institutional investors as key to a well-diversified portfolio. Benefits of these strategies: long-term outperformance over public markets, with increasingly important diversification benefits as the universe of publicly traded stocks continues shrinking and performance becomes increasingly concentrated to a few mega-cap tech companies.
It makes sense that longer-maturity bonds typically provide higher yields than shorter-term bonds. After all, more bad things can happen in a longer period than a shorter one, and visibility is poorer for the next 10 years than for tomorrow. Investors expect to be paid for these risks.
The S&P 500 experienced its first 5% pullback since October 2023, but the long-term outlook remains positive.
Understanding the broader tax benefits, 529 plans may be a more tax-efficient way to save for college than custodial accounts. Our Wealth Planning Director Bill Cass highlights several reasons to consider this strategy.
India is a long-term structural investment story but it isn’t cheap. To get the most from India we believe investors should adopt a selective approach in order to stay aligned with the country’s long-term value creation while not being distracted or paying too much for shorter-term, lower-growth opportunities.
For investors considering adding small-cap stocks to their equity portfolios, we suggest they do it selectively, steering clear of more speculative investments.
Once again, the Fed kept rates unchanged at the May FOMC meeting. As a result, the Fed Funds trading range remains in the 5.25% to 5.50% band introduced in July 2023 and still resides at a more than 20-year high-water mark.
One of the main advantages of constructing a portfolio of individual bonds is that it can be customized to meet the precise needs, wants, and objectives of the investor
Emerging-market (EM) corporate bonds are too-often overlooked by investors who presume the asset class is too niche or too risky. But the aggregate fundamentals of EM corporates are stronger than those of their developed-market counterparts.
No shortage of things to discuss after today’s Fed statement and subsequent press conference.
How and why more advisors are tapping into alternatives—Tony Davidow, Senior Alternatives Investment Strategist at Franklin Templeton Institute, shares insights from a recent gathering.
The first-quarter GDP report supports the view that the US economy has not landed. While some economists are concerned about stagflation, the real worry is that taming price pressures may require a mild downturn, given strong consumer spending and inadequately restrictive monetary policy.
Despite lingering economic fears, concerns over the timing and pace of rate cuts, sticky inflation reports, a crisis in the Middle East, and a looming close U.S. presidential election, stocks marched higher, and sentiment remained optimistic.
Having played sports my whole life, there is hardly an outdoor activity which I haven’t tried. I have been known to skip irksome social gatherings just to get out on to the fields.
On the latest edition of Market Week in Review, Investment Strategist BeiChen Lin and Sophie Antal-Gilbert, Head of AIS Portfolio & Business Consulting, discussed the U.S. first-quarter gross domestic product reading. They also reviewed the latest U.S. inflation data and provided an update on U.S. first-quarter earnings season.
High quality short-term bonds offer a number portfolio benefits while putting excess cash to work, but what's under the hood matters.
Looking to make a midcap allocation? Midcaps can stand out relative to small- or large-caps thanks to its combination of growth and size.
Elevated all-in yields in high yield credit present an attractive opportunity for income-seeking investors to lock in higher levels of income. Of course, that comes with a much higher degree of risk as compared to sitting in cash.
First-quarter earnings results have been healthy thus far, but key to the ongoing rally will be companies' recovery in revenue growth and strengthening forward guidance.
Attention-grabbing performances from the likes of Microsoft, Google, and Tesla swayed market sentiments back to growth.
Our top five picks for events that have the potential to be market moving.
Much like the NFL draft, portfolio managers undergo rigorous evaluations. Their track record, investment process, and stock selection process are considered. Additionally, qualitative assessments, including manager interviews and onsite visits, offer insights into their character and decision-making prowess.
The most interesting thing about 1968-1969 was the agreement about the stock market future between the greatest growth investor at that time, T. Rowe Price, and the greatest value investor of all time, Warren Buffett.
Government economic intervention has persisted since the pandemic.
Stocks have been buoyant this year, but market conditions are still in flux. Looking at equity factors can help investors make informed judgments about how allocations are prepared for different scenarios.
VettaFi examines the growth in data centers as a demand driver for natural gas and potential benefits for midstream.
The elephant in the emerging markets room is China, and not just because it’s the world’s second-largest economy behind only the U.S.
