News > Wealth Management

The Holy Grail Investment Formula: Better Returns With Less Risk
What would you do if I handed you a map to the Holy Grail of investing? Would you toss it in the trash because Nobel Laureate economists say it’s impossible to beat the market with less risk? Or would you give it a thorough read to see if there is any validity? Let’s find out. So, how exactly can you
The Bottom-Up Search for Value and Income
Wealth Management
During the first quarter of 2018 the MSCI World Index, the Bloomberg Barclays US Agg Total Return Index and the ICE BofAML BB-B Global High Yield Constrained Index all declined, returning -1.2%, -1.5%, and -0.3%, respectively. The US dollar was weak with the euro, the yen and gold price appreciating 2.5%, 5.9% and 1.7%, in turn, while the price of
Energy Stocks: A Surprising Defensive Play?
Wealth Management
With volatility rising, many equity investors are thinking proactively about downside protection. But traditional safe havens may not do the job. Defensive equity positions can be found today in surprising places—like the energy sector. After nine years of S&P 500 Index gains, investors are becoming increasingly nervous about the bull market’s durability. Rising interest rates, a return of inflation and
Ten Investor Takeaways From the IMF/World Bank Spring Meetings
Wealth Management
Global central bankers, finance ministers and representatives from the private sector and civic groups gathered in Washington recently for the spring meetings of the IMF (International Monetary Fund)/World Bank Group. With trade policy, geopolitics and emerging markets currently top-of-mind for many investors, the meetings were especially relevant this year. Below are our 10 key takeaways from the discussions. Politics trumps
Three Strategies to Prepare for Rising Volatility
Wealth Management
We all knew volatility couldn’t stay low forever, even with solid global growth and low inflation. Rising volatility is common in the late stage of the economic cycle, and negative headlines have been dominating market sentiment. Given recent concerns about higher-than-expected inflation, more aggressive central bank action, rising US deficits and a “tariff tantrum,” the case for market uncertainty continues.
Seth Klarman: Mainstream Investing Has It Backwards
Some years ago Seth Klarman gave a fantastic speech at the MIT Sloan Investment Management Club. During his speech Klarman suggested that the mainstream approach to investing has is backwards saying: See 2017 Hedge Fund Letters. “Right at the core, the mainstream has it backwards. Warren Buffett often quips that the first rule of investing is to not lose money, and
Howard Marks: 'Extreme Predictions Are Rarely Right, but They’re the Ones That Make You Big Money'
Wealth Management
One of the best resources for investors are Howard Marks’ annual memos. They provide a number of valuable investing insights for investors. One such example can be found in the 1993 missive titled – The Value of Predictions, or Where’d All This Rain Come From?. In this memo Marks discusses a number of aspects of market forecasting. With particular emphasis on
The ESG Conundrum: Environmental, Social and Governance Factors for the Fixed Income Investor
Wealth Management
  The Benefits of ESG Integration in Fixed Income Social Costs Looking at the World Through ESG-Colored Glasses Stakeholders with Different Needs   Implementing the use of Environmental, Social and Governance (ESG) factors into the investment process presents different challenges for fixed income and equity investors. Many ESG ratings providers are centered on the concerns of equity investors. Fixed income
Go West, Young Investor…But Go Wisely: Intelligent Investing in an Unintelligent Landscape
Wealth Management
“Go West, young man” was advice popularized in the late 1800s by the American author and newspaper editor Horace Greeley in regards to America’s Westward Expansion.1 Greeley “saw the fertile farmland of the west as an ideal place for people willing to work hard for the opportunity to succeed.”2 Potential success, measured in terms of productive land to farm, luxurious
Investing During a Different Rate Cycle
Wealth Management
Amid a rise in market volatility around the world, the fundamentals for Asia equities look fairly healthy. Investors should not ignore, however, the interconnectedness of today’s global markets. The correlation between different asset classes has risen a fair amount, due in part to a distortion from the low-rate environment. Now we are about to enter into a different interest rate