On November 28, 2023, VettaFi hosted an Alternatives Symposium with an excellent turnout of nearly 750 advisors and investors registered for the event.
The TDF industry is dominated by a few firms that form an oligopoly that is hard to disrupt. It’s no surprise that non-oligarchs are spearheading the movement to personalization.
VettaFi will be hosting an Alternatives Symposium tomorrow, November 28. We are covering a range of alternative topics.
Former Bridgewater Associates LP executive Bob Elliott’s plan for exchange-traded funds that employ hedge fund strategies has sharpened the debate about whether retail investors should have access to such approaches.
The S&P 500 has rallied in recent days and was up close to 20% for the year. However, heading into 2024, many advisors are exploring a range of investment ideas that offer exposure beyond the stock market.
Individuals are increasingly looking for more tailored investment solutions, so it makes sense for plan fiduciaries to consider a more personalized approach, according to John Kutz, National Retirement Plan Strategist. He says personalization may be the ticket to better retirement outcomes.
Though inflation continues to cool, there remains a potentially longer road ahead to get to the Fed’s desired 2%. In an environment of uncertainty and elevated inflation, the inclusion of managed futures in a portfolio made a significant difference in the last few years as modeled by DBi recently.
Confounding market and economic signals persist as the year’s end draws near. In a year punctuated by heightened uncertainty as investors attempted to navigate a confluence of risk factors, stock and bond correlations proved a significant challenge to traditional portfolios.
Interest on our federal debt is 2% and heading towards 5%, which will crowd out other expenditures and escalate deficit spending.
The third quarter was a more favorable environment for active managers in U.S. Large and Small Caps, Japan, Australia, and Canada equities, while being more challenging for Global, Global ex-U.S., Emerging Markets, Europe, UK and Long/Short managers.
Advisors face a number of challenges in current markets, given risks and stock and bond correlations. They must grapple with how to invest smartly as well as keeping their clients invested in the traditional 60/40 portfolio.
Higher macro and market volatility, along with greater dispersion, creates a favorable environment for active trading, according to K2 Advisors. Get the team’s latest hedge-fund strategy outlook.
Whether retirement savers in TDFs know it or not, and I presume most don't, they are mindlessly investing their wealth.
It’s been a great year for alternative income strategies as inflation, interest rate, and recession risk fears dominated markets. Garrett Paolella of NEOS and Christian Magoon of Amplify ETFs joined VettaFi’s Tom Lydon to discuss alternative income opportunities at the Income Strategy Symposium hosted by VettaFi on October 27.
There are reasons to be cautious in many markets, but low volatility and high/sustainable dividend stocks can help mitigate risk while providing income and equity exposure. The Franklin Templeton Investment Solutions Team weighs in.
As investors face continued macroeconomic and market uncertainty, evolving the 60/40 portfolio of stocks and bonds to include alternative investments may help build portfolio resiliency.
My guest today is here to talk about an asset class that is often misunderstood. It wasn't until recently that all investors had access to collateralized loan obligations (CLOs). Institutional investors have benefitted from the ownership of CLOs for over 25 years, and the asset class has grown to over $1 trillion.
These are not the same bonds that eroded the economy in 2008 during the global financial crisis. It's a similar name in "C blank O," but a very different asset class. John Kim and his team at Panagram are experts in CLO investing. He is here to explain how they work, why now for individual investors, the benefits of owning CLOs, and dispel some of the myths about this often-misunderstood asset class. John will share what Panagram is doing to educate and explain why advisors should consider an allocation.
VettaFi’s vice chairman Tom Lydon discussed the iMGP DBi Managed Futures Strategy ETF (DBMF) on this week’s “ETF of the Week” podcast with Chuck Jaffe of “Money Life.”
I explore the efficacy of traditional RILAs and those that offer dual-directional crediting. I use a total-portfolio context with a portfolio-optimization approach based on utility theory.
Public credit markets offer high quality investments with attractive yields and downside resilience, while we see growing longer-term opportunities in private markets.
Investors have been increasingly allocating to various alternative investments. However, I don't see them as distinct assets deserving of allocations. As I discuss in my article below, I consider alternatives investment styles and as optional for portfolios as taste is for nutrition.
Many boomers are invested in target-date funds that are not safe and do not provide the protection they desire.
As multi-asset income investors, we seek to help a wide range of clients meet their income needs. The benefits of an income-centric approach are especially relevant for investors as they enter retirement – and that’s especially true today. We bring that to life with two case studies.
In an environment of pronounced volatility and less-than-certain equity and bond performance in the last few years, investors are leaning toward more complex strategies such as alternatives.
We have observed increasing volatility within our Systematic Global Macro (SGM) portfolio, partly driven by an increase in volatility in our equity positions.
Chuck Carnevale joins me today to share how to build a profitable dividend income portfolio as well as his secret to driving dividend income with the best dividend stocks 2023 which keep his passive income 2023 flowing into his dividend portfolio.
In the current landscape, where bonds and stocks are experiencing positive correlation, it becomes even more important (if not critical) to incorporate additional diversification strategies to help mitigate portfolio risk and preserve portfolio balance.
With so much uncertainty remaining around the Fed’s rate cycle and the potential for recession, many investors are beginning to look toward international equity markets for the means to build income. Yields continue to look attractive for international dividend ETFs, in particular.
Look closely at the contours of Tuesday’s tumble in the S&P 500 and fingerprints of a new market force come into focus.
The largest exchange-traded fund focused on high-flying stocks has been losing its edge.
For this edition of Bull vs. Bear, Karrie Gordon and Nick Peters-Golden discuss the case for trading in the old 60/40 portfolio for an alts augmented 50/30/20 portfolio.
I thought I’d lead with some really impressive statistics. I just finished reading our latest ADV Part 2 (the SEC disclosure document provided annually to clients) describing the firm.
We see compelling value in high-quality, liquid fixed income assets that may offer potential resiliency if the economy weakens.
The current environment looks favorable for equity market neutral, global macro and insurance-linked securities, according to K2 Advisors. The team offers its mid-year outlook for these and other hedge fund strategies.
Q2 2023 was a more favorable environment for Emerging Markets, Europe, Australia and Real Assets managers.
Here are seven of the most common myths and how advisors can respond.
Target-date funds, which make up over half of total 401(k) assets, are not following investment theory, exposing investors to excessive risk.
Transitioning to a green net-zero economy requires climate solutions that enable the economy to decarbonise, such as renewable energy, electric vehicles, and recycling technologies.
Perhaps taking a page from the US, where retirement funds have long made significant equity investments, the UK is hoping that adding lots of private equity to its pension pots will drive higher returns and superior growth outcomes.
An improved income outlook for multi-asset investors, including higher yields, sharply contrasts with cloudy conditions at 2023’s start.
In his latest paper, James Montier lays out a framework for spotting what he terms “slow burn Minsky moments,” or the economic vulnerabilities associated with the build-up of private sector debt.
Macroeconomic uncertainty has remained front and center in 2023 as the new investment regime continues to play out. Inflation remains above central bank targets and some signs of economic weakness have started to surface in the wake of rapid monetary tightening.
Our long-term outlook for commercial real estate investing argues for a flexible, long-term approach to seize opportunities in debt and equity investments across the real estate landscape.
Hedge funds that deploy a basket of computer algorithms for trading are gaining popularity in China after many investors got burned by human stock pickers.
Macroeconomic uncertainty has sparked questions over the durability of the traditional 60/40 portfolio—highlighting why investors may want to add alternative investments to the mix.
It’s been a challenging year for many managed futures strategies but they continue to offer long-term potential for portfolios. The benefits of trend-following strategies are numerous and worth consideration for inclusion in any alternative sleeve.
While the retirement of several high-profile CIOs has generated ample news, and headlines, there’s been very little press coverage about OCIO as a potential solution. We find this perplexing.
VettaFi’s Lara Crigger offers perspective on two of the year’s most noteworthy ETF stories. Northern Trust’s Michael Natale presents the firm’s base case on equities and fixed income. Teucrium’s Sal Gilbertie spotlights several ETFs including their recently launched AiLA Long/Short Base Metals Strategy ETF (OAIB), which leverages artificial intelligence.
Investors have had a lot to contend with thus far in 2023. Moderating economic growth, persistent inflation, volatile interest rates, falling profits, stress in the banking sector, war in Ukraine, and the debt ceiling debate all combined to weigh on sentiment.
The Federal Reserve’s higher interest rates, the work from home trend, ESG distractions, increases in crime, etc., are having far reaching effects on our economy and investors.
War, inflation, rising rates, banking chaos, and recession are among the challenges facing markets. Investors must balance these shorter-term risks with the long-term return prospects of equities.
Some previously steadfast bears are showing signs of giving in after a seven-month advance put the S&P 500 on the edge of a key chart line.
What generally follows that expression is a succinct synopsis. We’re always trying to be concise; however, distilling complex economic and investment matters usually requires several pages.
An in-depth analysis of hedge fund performance demonstrates that, over the past 15 years, lower-beta hedge fund styles have generally achieved higher alpha, aligning with investors' objectives of maximizing returns and diversification.
Despite economic uncertainty, we see compelling value in high-quality, liquid assets that we view as more resilient in the face of a potential recession.
New research shows that investors can profit by exploiting “momentum” – the notion that stocks or factors that experienced good performance will continue to do so, and vice versa.
For this edition of Bull vs. Bear, Karrie Gordon and Nick Peters-Golden debated the long-term investing case for gold ETFs. Have the yellow metal’s fundamentals fundamentally changed?
Along with identifying your goals and time horizon, assessing risk is a key part of building a holistic financial plan. And while affluent investors generally have higher risk tolerances, determining their individual risk profiles isn’t straightforward.
US subprime auto loans are highly stressed, with a new delinquency peak of 1.8%. Rising living costs, interest rates, lack of stimulus, negative equity, declining vehicle values, and rising rates are putting pressure on borrowers.
The sudden collapse of two US regional banks and the forced acquisition of Credit Suisse in Europe introduced a third dimension to the existing policy dilemma of balancing inflation and growth objectives: financial stability.
Consisting of 60% stocks/40% bonds, this classic investment portfolio has historically been a trusted way to generate returns and diversify investor portfolios. However, we believe the 60/40 allocation may now be working against investors.
My guest today, Harin de Silva, is one of the leaders of the quantitative investing community and the winner of several Graham Dodd Awards for institutional research. He is a member of the Q Group and a pioneer in factor investing.
Special purpose acquisition companies (SPACs) impose costs that are subtle, opaque and poorly understood. New research shows just how much SPAC investors stand to lose.
After the market selloff in 2022—a period that was particularly hard on growth stocks—we think our companies are attractively priced for the next five years, which is our baseline investment horizon.
Given market uncertainty and the risk of a US recession, is now the time for defensive stocks? Making a case for low-volatility, high-dividend equities with Franklin Templeton Investment Solutions’ Vaneet Chadha and Michael LaBella.
We think dividend-income strategies can be effective across multiple environments, provided that they’re designed to tap into a wider opportunity set beyond traditional dividend payers alone.
Early signs of economic unraveling are appearing. The federal corporation that insures bank deposits is woefully underfunded. The Fed is under pressure to pivot away from its inflation fight.
Income-seeking investors are accustomed to casting wide nets after years of low yields.
President Biden has proposed a $6.9 trillion budget that calls for reducing deficits and raising taxes on wealthy people and large corporations. There is a lot of spending in this budget that fuels inflation.
The surge in technology stocks that’s caused renewed losses for short sellers this year looks to be running out of steam, encouraging bears to maintain their bets against long-time targets such as Tesla Inc., Apple Inc. and Meta Platforms Inc.
Professional speculators are turning risk-on by gobbling up technology shares, after largely missing out on the new-year rally in the stock-market’s biggest winners.
Most think so.
ETF Prime Host Nate Geraci is joined by VettaFi’s Dave Nadig and VanEck’s Jan van Eck to explore concerns around the growing concentration of corporate voting power among several large fund companies. Newfound Research’s Corey Hoffstein spotlights the Return Stacked Bonds & Managed Futures ETF (RSBT).
The triumphant comeback of quant-investing strategies on Wall Street is suddenly on shaky ground as virtually all of 2022’s hottest market trends get derailed in the new year.
ETF Prime Host Nate Geraci is joined by VettaFi's Lara Crigger and Dave Nadig, along with Bloomberg's Eric Balchunas, to recap the ETF event of the year.
The recent embrace of so-called liquid alternatives by ordinary Americans seeking to fund their retirement is deeply troubling.
2022 was a year of disappointment and negative surprises as economies faced the consequences of geopolitical turmoil and central banks fighting inflation.
Reducing the U.S. deficit is praiseworthy. How was that accomplished in 2022?
It's easy to take the wrong signal from recent market strength.
The team at Infrastructure Capital Advisors provides key insights and advice on current market conditions and economic outlook for this month and the coming months.
VettaFi’s Tom Hendrickson and Lara Crigger highlight 2022’s rising ETF stars. George Noble explains the Noble Absolute Return ETF (NOPE). NYSE’s Mo Sparks and Trackinsight’s Robert Jaeger discuss their new collaboration, ETF Central.
This article explores how the addition of specific liquid alternative strategies produces an “All-Terrain” portfolio with the potential for improved long-term performance across a wider range of market environments.
After enduring one of the worst years on record across asset classes, investors should find more cause for optimism in 2023, even as the global economy faces challenges.
At KCR, we believe in the Quantamental Investment approach–a strategy that leverages the most useful aspects of both quantitative investing and fundamental investing.
One of the biggest breakdowns has been in the relationship between stocks and bonds. Stock prices and bond prices are usually not correlated, meaning bonds can serve as the cornerstone of a hedge when stock prices waver and drop.
Dave Nadig, Financial Futurist at VettaFi, previews the upcoming year in ETFs and the financial markets. Dave also discusses potential implications of longer-term asset management trends including crypto, ESG, direct indexing, and the rise of passive.
A handful of giant firms are gaining dominance over the hottest corners of the hedge fund industry. This year showed why.
“I have never seen so much bearishness in the market,” Jeremy Siegel said, “which is a great sign for stock investors.”
Democratization has become a buzz word within the fintech industry as technology and innovation have emerged to battle the headwinds that previously blocked accessibility to a subset of investment vehicles such as structured products.
Specialty Investments
What You Might Have Missed at Tuesday’s Alternatives Symposium
On November 28, 2023, VettaFi hosted an Alternatives Symposium with an excellent turnout of nearly 750 advisors and investors registered for the event.
The Movement to Personalize Target Date Investing
The TDF industry is dominated by a few firms that form an oligopoly that is hard to disrupt. It’s no surprise that non-oligarchs are spearheading the movement to personalization.
Commodities and Cryptocurrency Offer an Alternative
VettaFi will be hosting an Alternatives Symposium tomorrow, November 28. We are covering a range of alternative topics.
Is a Hedge Fund-Style Investment Right for You?
Former Bridgewater Associates LP executive Bob Elliott’s plan for exchange-traded funds that employ hedge fund strategies has sharpened the debate about whether retail investors should have access to such approaches.
Chart of the Week: What Alternatives Are Worthy of Attention?
The S&P 500 has rallied in recent days and was up close to 20% for the year. However, heading into 2024, many advisors are exploring a range of investment ideas that offer exposure beyond the stock market.
Personalization in Retirement Plans Is Paramount
Individuals are increasingly looking for more tailored investment solutions, so it makes sense for plan fiduciaries to consider a more personalized approach, according to John Kutz, National Retirement Plan Strategist. He says personalization may be the ticket to better retirement outcomes.
Modeling the Benefits of Managed Futures Portfolio Inclusion
Though inflation continues to cool, there remains a potentially longer road ahead to get to the Fed’s desired 2%. In an environment of uncertainty and elevated inflation, the inclusion of managed futures in a portfolio made a significant difference in the last few years as modeled by DBi recently.
The Problem of Mixed Market Signals and Correlations
Confounding market and economic signals persist as the year’s end draws near. In a year punctuated by heightened uncertainty as investors attempted to navigate a confluence of risk factors, stock and bond correlations proved a significant challenge to traditional portfolios.
“Guns or Butter” Has Become “Guns and Butter”
Interest on our federal debt is 2% and heading towards 5%, which will crowd out other expenditures and escalate deficit spending.
Q3 Active Management Review: Value Dominates
The third quarter was a more favorable environment for active managers in U.S. Large and Small Caps, Japan, Australia, and Canada equities, while being more challenging for Global, Global ex-U.S., Emerging Markets, Europe, UK and Long/Short managers.
When the 60/40 Portfolio Carries the Same Risk as During the GFC
Advisors face a number of challenges in current markets, given risks and stock and bond correlations. They must grapple with how to invest smartly as well as keeping their clients invested in the traditional 60/40 portfolio.
K2 Hedge Fund Strategy Outlook: Fourth Quarter 2023
Higher macro and market volatility, along with greater dispersion, creates a favorable environment for active trading, according to K2 Advisors. Get the team’s latest hedge-fund strategy outlook.
Why Target-Date Funds Fail: A $3 Trillion Delusion
Whether retirement savers in TDFs know it or not, and I presume most don't, they are mindlessly investing their wealth.
Income Opportunities in Bonds and Beyond
It’s been a great year for alternative income strategies as inflation, interest rate, and recession risk fears dominated markets. Garrett Paolella of NEOS and Christian Magoon of Amplify ETFs joined VettaFi’s Tom Lydon to discuss alternative income opportunities at the Income Strategy Symposium hosted by VettaFi on October 27.
The Case for Low Volatility and High Dividend Equities in International Markets
There are reasons to be cautious in many markets, but low volatility and high/sustainable dividend stocks can help mitigate risk while providing income and equity exposure. The Franklin Templeton Investment Solutions Team weighs in.
Targeting Resilient Portfolio Construction With Alternatives
As investors face continued macroeconomic and market uncertainty, evolving the 60/40 portfolio of stocks and bonds to include alternative investments may help build portfolio resiliency.
Why CLOs Offer the Best Risk-Adjusted Return Among Fixed Income
My guest today is here to talk about an asset class that is often misunderstood. It wasn't until recently that all investors had access to collateralized loan obligations (CLOs). Institutional investors have benefitted from the ownership of CLOs for over 25 years, and the asset class has grown to over $1 trillion.
These are not the same bonds that eroded the economy in 2008 during the global financial crisis. It's a similar name in "C blank O," but a very different asset class. John Kim and his team at Panagram are experts in CLO investing. He is here to explain how they work, why now for individual investors, the benefits of owning CLOs, and dispel some of the myths about this often-misunderstood asset class. John will share what Panagram is doing to educate and explain why advisors should consider an allocation.
iMGP DBi Managed Futures Strategy ETF (DBMF)
VettaFi’s vice chairman Tom Lydon discussed the iMGP DBi Managed Futures Strategy ETF (DBMF) on this week’s “ETF of the Week” podcast with Chuck Jaffe of “Money Life.”
Dual-Directional Strategies Improve Portfolio Efficiency
I explore the efficacy of traditional RILAs and those that offer dual-directional crediting. I use a total-portfolio context with a portfolio-optimization approach based on utility theory.
Navigating Credit Markets Today – A Q&A With Mark Kiesel and Jamie Weinstein
Public credit markets offer high quality investments with attractive yields and downside resilience, while we see growing longer-term opportunities in private markets.
Treat Alternatives Like Cuisines, Not Distinct Assets
Investors have been increasingly allocating to various alternative investments. However, I don't see them as distinct assets deserving of allocations. As I discuss in my article below, I consider alternatives investment styles and as optional for portfolios as taste is for nutrition.
Coming Soon: Revenge of the Baby Boomers
Many boomers are invested in target-date funds that are not safe and do not provide the protection they desire.
Why Investors in Retirement May Want to Consider an Income Approach
As multi-asset income investors, we seek to help a wide range of clients meet their income needs. The benefits of an income-centric approach are especially relevant for investors as they enter retirement – and that’s especially true today. We bring that to life with two case studies.
An Advisor’s Guide to Demystifying Managed Futures
In an environment of pronounced volatility and less-than-certain equity and bond performance in the last few years, investors are leaning toward more complex strategies such as alternatives.
Why Is There More Volatility in My Portfolio?
We have observed increasing volatility within our Systematic Global Macro (SGM) portfolio, partly driven by an increase in volatility in our equity positions.
How to Build a Profitable Dividend Income Portfolio
Chuck Carnevale joins me today to share how to build a profitable dividend income portfolio as well as his secret to driving dividend income with the best dividend stocks 2023 which keep his passive income 2023 flowing into his dividend portfolio.
Diversification and Bonds: Your Portfolio's Hidden Risk
In the current landscape, where bonds and stocks are experiencing positive correlation, it becomes even more important (if not critical) to incorporate additional diversification strategies to help mitigate portfolio risk and preserve portfolio balance.
Is a Hedge Fund-Style Investment Right for You?
Former Bridgewater Associates LP executive Bob Elliott’s plan for exchange-traded funds that employ hedge fund strategies has sharpened the debate about whether retail investors should have access to such approaches.
4 ETFs For Investors Looking For International Dividends
With so much uncertainty remaining around the Fed’s rate cycle and the potential for recession, many investors are beginning to look toward international equity markets for the means to build income. Yields continue to look attractive for international dividend ETFs, in particular.
Goldman Sachs Blames Zero-Day Options for Fueling S&P 500 Selloff
Look closely at the contours of Tuesday’s tumble in the S&P 500 and fingerprints of a new market force come into focus.
Quant-Momentum ETF Is Getting Crushed Even as Stocks Shoot Up
The largest exchange-traded fund focused on high-flying stocks has been losing its edge.
Bull vs Bear: Do Alts Deserve More Portfolio Allocation?
For this edition of Bull vs. Bear, Karrie Gordon and Nick Peters-Golden discuss the case for trading in the old 60/40 portfolio for an alts augmented 50/30/20 portfolio.
Harold Evensky’s NewsLetter Vol. 16, No. 3 – August 2023
I thought I’d lead with some really impressive statistics. I just finished reading our latest ADV Part 2 (the SEC disclosure document provided annually to clients) describing the firm.
Income Fund Update: Attractive Yields, Resilient Returns
We see compelling value in high-quality, liquid fixed income assets that may offer potential resiliency if the economy weakens.
K2 Hedge Fund Strategy Outlook: Third quarter 2023
The current environment looks favorable for equity market neutral, global macro and insurance-linked securities, according to K2 Advisors. The team offers its mid-year outlook for these and other hedge fund strategies.
July 2023 Equity Market Outlook: Positive Sentiment Emerges as Inflation Slows
Q2 2023 was a more favorable environment for Emerging Markets, Europe, Australia and Real Assets managers.
Dispelling Seven Myths About Alternatives
Here are seven of the most common myths and how advisors can respond.
The Big Fat 401(k) Fake Out
Target-date funds, which make up over half of total 401(k) assets, are not following investment theory, exposing investors to excessive risk.
Weighted Average Green Revenue (Wagr): Integrating Climate Solutions into Portfolio Construction
Transitioning to a green net-zero economy requires climate solutions that enable the economy to decarbonise, such as renewable energy, electric vehicles, and recycling technologies.
Our Pensions Shouldn’t Be Used to Juice the Economy
Perhaps taking a page from the US, where retirement funds have long made significant equity investments, the UK is hoping that adding lots of private equity to its pension pots will drive higher returns and superior growth outcomes.
Midyear Outlook: Three Income Themes for Multi-Asset Investors
An improved income outlook for multi-asset investors, including higher yields, sharply contrasts with cloudy conditions at 2023’s start.
Slow Burn Minsky Moments (and what to do about them)
In his latest paper, James Montier lays out a framework for spotting what he terms “slow burn Minsky moments,” or the economic vulnerabilities associated with the build-up of private sector debt.
Market Neutral Investing in a New Regime
Macroeconomic uncertainty has remained front and center in 2023 as the new investment regime continues to play out. Inflation remains above central bank targets and some signs of economic weakness have started to surface in the wake of rapid monetary tightening.
Real Estate Reckoning
Our long-term outlook for commercial real estate investing argues for a flexible, long-term approach to seize opportunities in debt and equity investments across the real estate landscape.
Quant Funds That Spread Bets Are Having a Moment in China
Hedge funds that deploy a basket of computer algorithms for trading are gaining popularity in China after many investors got burned by human stock pickers.
Rebuilding Resilience in 60/40 Portfolios
Macroeconomic uncertainty has sparked questions over the durability of the traditional 60/40 portfolio—highlighting why investors may want to add alternative investments to the mix.
An Advisor’s Guide to Managed Futures Strategies
It’s been a challenging year for many managed futures strategies but they continue to offer long-term potential for portfolios. The benefits of trend-following strategies are numerous and worth consideration for inclusion in any alternative sleeve.
What’s Your Succession Strategy for Managing Your DB Plan?
While the retirement of several high-profile CIOs has generated ample news, and headlines, there’s been very little press coverage about OCIO as a potential solution. We find this perplexing.
Top ETF Stories, Current Markets, & AI Commodity Strategies
VettaFi’s Lara Crigger offers perspective on two of the year’s most noteworthy ETF stories. Northern Trust’s Michael Natale presents the firm’s base case on equities and fixed income. Teucrium’s Sal Gilbertie spotlights several ETFs including their recently launched AiLA Long/Short Base Metals Strategy ETF (OAIB), which leverages artificial intelligence.
Mid-Year Market Outlook
Investors have had a lot to contend with thus far in 2023. Moderating economic growth, persistent inflation, volatile interest rates, falling profits, stress in the banking sector, war in Ukraine, and the debt ceiling debate all combined to weigh on sentiment.
The Far-Reaching Effects of Commercial Real Estate’s Downward Spiral
The Federal Reserve’s higher interest rates, the work from home trend, ESG distractions, increases in crime, etc., are having far reaching effects on our economy and investors.
The Quality Spectrum: Stability in an Unstable World
War, inflation, rising rates, banking chaos, and recession are among the challenges facing markets. Investors must balance these shorter-term risks with the long-term return prospects of equities.
Hedge Funds Rush to Buy Stocks on S&P 500’s Momentum
Some previously steadfast bears are showing signs of giving in after a seven-month advance put the S&P 500 on the edge of a key chart line.
The Long and Short of It
What generally follows that expression is a succinct synopsis. We’re always trying to be concise;
however, distilling complex economic and investment matters usually requires several pages.
When High Alpha Met Low Beta
An in-depth analysis of hedge fund performance demonstrates that, over the past 15 years, lower-beta hedge fund styles have generally achieved higher alpha, aligning with investors' objectives of maximizing returns and diversification.
Income Fund Update: Building Resilience and Harnessing Yield in High Quality Assets
Despite economic uncertainty, we see compelling value in high-quality, liquid assets that we view as more resilient in the face of a potential recession.
Momentum Versus Factor Momentum: Which Dominates?
New research shows that investors can profit by exploiting “momentum” – the notion that stocks or factors that experienced good performance will continue to do so, and vice versa.
Bull vs. Bear: When Investing in Gold ETFs, Find What Glitters
For this edition of Bull vs. Bear, Karrie Gordon and Nick Peters-Golden debated the long-term investing case for gold ETFs. Have the yellow metal’s fundamentals fundamentally changed?
Risk Mitigation's Crucial, Complex Role for Wealthy Families
Along with identifying your goals and time horizon, assessing risk is a key part of building a holistic financial plan. And while affluent investors generally have higher risk tolerances, determining their individual risk profiles isn’t straightforward.
A Closer Look at Auto ABS and Investment Opportunities
US subprime auto loans are highly stressed, with a new delinquency peak of 1.8%. Rising living costs, interest rates, lack of stimulus, negative equity, declining vehicle values, and rising rates are putting pressure on borrowers.
Navigating a Trilemma
The sudden collapse of two US regional banks and the forced acquisition of Credit Suisse in Europe introduced a third dimension to the existing policy dilemma of balancing inflation and growth objectives: financial stability.
Move Over 60/40
Consisting of 60% stocks/40% bonds, this classic investment portfolio has historically been a trusted way to generate returns and diversify investor portfolios. However, we believe the 60/40 allocation may now be working against investors.
Minimize Risk and Participate in the Market Upside
My guest today, Harin de Silva, is one of the leaders of the quantitative investing community and the winner of several Graham Dodd Awards for institutional research. He is a member of the Q Group and a pioneer in factor investing.
The Death Knell Sounds for SPACs
Special purpose acquisition companies (SPACs) impose costs that are subtle, opaque and poorly understood. New research shows just how much SPAC investors stand to lose.
Although Stocks Were Volatile During the First Quarter, High Quality Has Come Back Into Favor
After the market selloff in 2022—a period that was particularly hard on growth stocks—we think our companies are attractively priced for the next five years, which is our baseline investment horizon.
The Case for Low-Volatility, High-Dividend Equities
Given market uncertainty and the risk of a US recession, is now the time for defensive stocks? Making a case for low-volatility, high-dividend equities with Franklin Templeton Investment Solutions’ Vaneet Chadha and Michael LaBella.
Dividend Investing: Broader Is Better for Multi-Asset Strategies
We think dividend-income strategies can be effective across multiple environments, provided that they’re designed to tap into a wider opportunity set beyond traditional dividend payers alone.
The Impact of Bank Failures and Disintermediation
Early signs of economic unraveling are appearing. The federal corporation that insures bank deposits is woefully underfunded. The Fed is under pressure to pivot away from its inflation fight.
Taming Biases in High-Dividend Equity Strategies
Income-seeking investors are accustomed to casting wide nets after years of low yields.
Biden’s $6.9 Trillion Deficit Gamble
President Biden has proposed a $6.9 trillion budget that calls for reducing deficits and raising taxes on wealthy people and large corporations. There is a lot of spending in this budget that fuels inflation.
Tesla Punishes Short-Sellers With Losses
The surge in technology stocks that’s caused renewed losses for short sellers this year looks to be running out of steam, encouraging bears to maintain their bets against long-time targets such as Tesla Inc., Apple Inc. and Meta Platforms Inc.
Hedge Funds Go Risk-On, Buying Tech Stocks for 12 Straight Days
Professional speculators are turning risk-on by gobbling up technology shares, after largely missing out on the new-year rally in the stock-market’s biggest winners.
Are We Having a Recession or Not?
Most think so.
Rise of Passive and the Growing Concentration of Voting Power
ETF Prime Host Nate Geraci is joined by VettaFi’s Dave Nadig and VanEck’s Jan van Eck to explore concerns around the growing concentration of corporate voting power among several large fund companies. Newfound Research’s Corey Hoffstein spotlights the Return Stacked Bonds & Managed Futures ETF (RSBT).
Quant Funds Shed Billions as Wall Street's Hottest Trends Falter
The triumphant comeback of quant-investing strategies on Wall Street is suddenly on shaky ground as virtually all of 2022’s hottest market trends get derailed in the new year.
Live from Exchange
ETF Prime Host Nate Geraci is joined by VettaFi's Lara Crigger and Dave Nadig, along with Bloomberg's Eric Balchunas, to recap the ETF event of the year.
Alternatives for the Masses?
The recent embrace of so-called liquid alternatives by ordinary Americans seeking to fund their retirement is deeply troubling.
Fed Up: Can the Fed Accommodate the Market?
2022 was a year of disappointment and negative surprises as economies faced the consequences of geopolitical turmoil and central banks fighting inflation.
The Deficit is Not the Debt
Reducing the U.S. deficit is praiseworthy. How was that accomplished in 2022?
Areté Market Review Q422: Cash is King-ish
It's easy to take the wrong signal from recent market strength.
October 2022 Market & Economic Outlook Report
The team at Infrastructure Capital Advisors provides key insights and advice on current market conditions and economic outlook for this month and the coming months.
Rising ETF Stars, NOPE, & ETF Central
VettaFi’s Tom Hendrickson and Lara Crigger highlight 2022’s rising ETF stars. George Noble explains the Noble Absolute Return ETF (NOPE). NYSE’s Mo Sparks and Trackinsight’s Robert Jaeger discuss their new collaboration, ETF Central.
From All-Weather to All-Terrain Investing for the Stormy Decade Ahead
This article explores how the addition of specific liquid alternative strategies produces an “All-Terrain” portfolio with the potential for improved long-term performance across a wider range of market environments.
Cyclical Outlook Key Takeaways: Strained Markets, Strong Bonds
After enduring one of the worst years on record across asset classes, investors should find more cause for optimism in 2023, even as the global economy faces challenges.
Quantamental Investing: A Brief Primer on KCR’s Toolkits
At KCR, we believe in the Quantamental Investment approach–a strategy that leverages the most useful aspects of both quantitative investing and fundamental investing.
When Old Rules Break Down, Consider a New Investing Approach
One of the biggest breakdowns has been in the relationship between stocks and bonds. Stock prices and bond prices are usually not correlated, meaning bonds can serve as the cornerstone of a hedge when stock prices waver and drop.
2023 ETF Industry & Market Preview with VettaFi’s Dave Nadig
Dave Nadig, Financial Futurist at VettaFi, previews the upcoming year in ETFs and the financial markets. Dave also discusses potential implications of longer-term asset management trends including crypto, ESG, direct indexing, and the rise of passive.
Bigger Was Better in 2022: Global Hedge-Fund Industry Sees Split
A handful of giant firms are gaining dominance over the hottest corners of the hedge fund industry. This year showed why.
Jeremy Siegel: The Excessive Bearishness is Great for Equity Investors
“I have never seen so much bearishness in the market,” Jeremy Siegel said, “which is a great sign for stock investors.”
Democratization: More Than Just a Buzz Word
Democratization has become a buzz word within the fintech industry as technology and innovation have emerged to battle the headwinds that previously blocked accessibility to a subset of investment vehicles such as structured products.