In all developed markets, but particularly the United States, investors’ bias in favor of domestic equities is irrational and sub-optimal. We recommend that investors` strategic equity allocations be equally divided among the Americas, Europe, and Asia.
The rapid growth and maturation of the hedge fund industry has sparked a debate about the role of marketable alternative investments in institutional portfolios. This report is examines whether the growth and maturation of the industry has made marketable alternative investments less compelling, explores other trends that are transforming the competitive landscape in the industry,…
Consensus earnings expectations seem too high considering the strong market headwinds and advanced nature of the earnings cycle, while valuations remain elevated.
Recent dividend growth, while extreme, has not kept pace with either corporate earnings or equity prices, but payout ratios are right in line with historical averages once you look at cyclically adjusted earnings.
U.K. equities appear pricey once you look below the index level valuations.
A sobering look at historical trends.
Prices of non-U.S. small caps have run ahead of fundamentals.
While there is some cause for cautious optimism on earnings, earnings growth is cyclically stretched and more likely to decrease than continue to rise. Consensus expectations for profit margins and earnings expectations set a high bogey.
Asia beckons western investors, its allure predicated on three compelling attractions: Asia beckons western investors, its allure predicated on three compelling attractions: The continued broadening and deepening of relatively immature capital markets whose development will reflect the expansion of most Asian economies at growth rates substantially faster than those of North America and Europe. Reasonable valuations in…
Despite its unique hedging characteristics, gold remains unsuitable for most investors.