The article explores potential parallels between 1968 and 2024, specifically in the context of the stock market and economic trends. It delves into the concept of secular trends, emphasizing the importance of considering inflation-adjusted stock prices to comprehend the potential impact on portfolios.
We see Japan stocks climbing higher on robust earnings, corporate reforms and a Bank of Japan likely worried about returning to a chronic deflationary mindset.
Consumers are less willing to spend freely.
Marcus Weyerer, Senior ETF Investment Strategist, EMEA, for Franklin Templeton ETFs, delves into the industrial and consumer applications of the metaverse, the role of AI in enhancing these experiences, and the significant growth potential and investment opportunities this virtual world holds.
Looking into 2024, we believe the market’s expectation of a global easing in liquidity could be an incremental tailwind to EM debt’s 2023 resilience—over and above the persistent spread premium we see in EM corporate debt.
The second-largest stock market has captured the interest of investors, supported by stronger, more broad-based earnings, and incentivized by Japan's fiscal and monetary policies.
The S&P 500’s drive toward a record high could have Europe equities following right behind it. As such, traders may want to consider European equities as a latent move if the S&P keeps pushing to higher highs.
There are more than 200 ETF providers in the $8 trillion U.S. ETF market, but I’m intrigued by a recent entrant’s ambitions. In December 2023, Themes ETFs introduced 11 ETFs.
The Sherman Antitrust Act was created to stop our democratic republic from being ruined by “the concentration of capital in vast combinations.” The fear was that if too much of the success of industry went to too few people, our system would get disrupted.
If you’re losing your mind and plagued by fear of missing out, it might be that you’re best served with some passive investment exposure in your portfolio. Not because it will do well, at least not in our estimation, but so you don’t lose your mind.
Every day this week, investors will get data on the economy. New home sales today, then capital investment, GDP, consumer incomes and spending, manufacturing, and auto sales are on the list. All of this will feed into the outlook for what the Federal Reserve might do with interest rates this year.
Despite rosy forecasts, the US economy faces powerful headwinds that call into question its ability to serve as the world’s main growth driver. These challenges are compounded by domestic and geopolitical uncertainties that have not been reflected in market valuations and economic assessments.
David Dali, Head of Portfolio Strategy, provides his 12-month outlook for global equity markets.
Four years ago this week (2/19 to be exact) the S&P 500 climbed to an all-time high of 3,386 before plunging over -34% as the world economy shutdown due to the pandemic.
Covered call ETFs and strategies remain in focus. The JPMorgan Equity Premium Income ETF (JEPI) gathered $13 billion in 2023, despite rising just 10% in value.
Investors have been basking in the sunlight of a year-end market rally in 2023 that appears to be continuing in 2024 after a slow start to January.
Don’t fear all-time highs in the market. Such is a natural response for investors who are concerned about market risk. However, rather than fearing market exuberance, we must understand what drives it.
Debt levels will likely continue to rise absent policy changes, and the yield curve is likely to steepen.
From a very weak retail sales report for January 2024 to stronger inflation readings as well as increases in credit card and auto loan delinquency rates during the last quarter of 2023, the picture for consumer demand has weakened considerably.
The current housing shortage has been long in the making.
VettaFi sat down with Capital Group’s head of global product strategy and development Holly Framsted at the ETF Exchange conference in Miami to discuss the firm’s recent survey about active fixed income ETFs.
As measured by the S&P Select Sector Real Estate Index, real estate stocks are struggling this year, as that gauge is lower by 3.47%. However, some market observers remain constructive about real estate stocks. This indicates there could be opportunities in the space for selective investors.
The REIT sector has faced many challenges over the past few years, including COVID-related closures and tightening monetary policy. Franklin Equity Group Portfolio Managers Blair Schmicker and Daniel Scher discuss how a return to pre-pandemic monetary policy could mean a promising 2024 for publicly traded real estate.
Recently I saw a T-shirt for sale that said, “Science Doesn’t Care What You Think.” I used a similar metaphor recently, observing how many experiments show that jumping off a cliff will send you rapidly downward. If you want to test that theory, please add me to your will first.
NVIDIA reported financial results for the fourth quarter and full-year 2023 this week, and I’m still picking my jaw off the floor.
Careful data management and having a formal impact measurement framework in place are essential to preventing greenwashing and ensuring consistent impact delivery.
Cloud computing is one of the sub-sectors of technology that are benefiting from last year’s rally. When it comes to specific names, CrowdStrike is a notable one helping to push the Direxion Daily Cloud Computing Bull 2X Shares ETF (CLDL) even higher.
Electric vehicle (EV) equities and related exchange traded funds currently appear as though their check engine lights are on.
Immigration is a vital source of economic growth.
The importance of major canals to global trade cannot be underestimated. Franklin Templeton Institute’s Kim Catechis highlights some of the challenges they face, including militant attacks and climate change.
Record issuance in the corporate bond market is giving fixed income investors an abundance of opportunities. However, due diligence is necessary as high-yielding bonds may uncover a risky proposition that doesn’t quite match an investor’s risk profile.
Short-term bonds are generally defined as debt with maturities of one to three years. Additionally, these bonds come in a variety of forms, including Treasuries.
Short-term bond yields are high currently, but with the Federal Reserve poised to cut interest rates investors may want to consider longer-term bonds or bond funds.
NVIDIA’s spectacular quarter and forecast are dominating headlines this week.
GMO has published a new 7-Year Asset Class Forecast.
The Magnificent Seven stocks (Microsoft, Apple, Alphabet, Amazon, Nvidia, Meta, and Tesla) have been the largest driver of equity returns in recent years and were again the dominant contributors in 2023, accounting for more than half of the market increase.
Many investors remain in cash, but we think it’s time to shift exposure to bonds.
Active ETFs had a big, big year in 2023. At the recent ETF Exchange conference in Miami, active strategies dominated the discussion, with growing interest among issuers and investors in actively managed funds.
Even if you have not heard of the Magnificent Seven stocks as a group, you likely know the companies. The Magnificent Seven comprises Apple (AAPL), Microsoft (MSFT), Amazon.com (AMZN), Nvidia (NVDA), Meta Platforms (META), Tesla (TSLA), and Alphabet (GOOG/GOOGL).
Bitcoin recently had a scorching hot run. It has some crypto market observers believing new all-time highs are right around the corner. Additionally, it’s having the predictable, though still welcomed, effect of lifting some stocks with intimate ties to the largest digital currency.
History shows that when the Federal Reserve (Fed) is paused and easing, longer duration higher quality fixed income has outperformed riskier assets, as well as money market instruments.
The current speculative environment seems to increasingly resemble the Technology Bubble of 1999/2000. All bubbles eventually burst and the burst of the Tech Bubble led to the so-called lost decade in equities.
The Fed’s close monitoring and well-signaled tapering of QT should prevent disruptions to the short-term funding markets—despite converging risks.
Regarding the surprisingly strong employment data, Fed Chair Powell said the quiet part out loud. The media hopes you didn’t hear it as we head into a contentious election in November.
The chip sector comes into sharp focus ahead of a key earnings report, with signs of divergence in the sector.
One of the pleasant surprises of 2023 was how quickly inflation decelerated in major economies. Most of the good news came from falling goods prices.
Higher for longer. This was the key message to me from advisors and ETF industry folks at the Exchange conference when talking about fixed income.
What do passive ETFs really do? Many investors are used to the comfort of simply allocating to a big index and almost forgetting about it, only checking in every so often.
Walmart leads the way as major retailers start weighing in on a positive year for consumer spending. But will it hold true as individual companies report results?
We think market optimism can persist for now but stay nimble. We get more active in our long-term portfolios given a greater dispersion of returns.
