In light of markets’ initial reaction to the victory of Donald Trump in the US presidential election, we wanted to remind clients of our approach to portfolio management by providing thoughts from our Chief Investment Strategist, Celia Dallas.
October’s publication summarizes three articles related to index investing and market crowding. The first argues index investing has led to a substantial increase in the co-movement of equity securities, the second suggests the rise in index investing has decreased investors’ ability to diversify portfolios, and the third highlights that investors should consider factor strategies, even if their source of return is well known.
This chart book presents representative long-only and hedge fund manager performance for third quarter 2016.
We see scant evidence that richening valuations doom popular alternative beta strategies to underperformance, or that they are the primary source of historical excess returns.
Though valuations for Eurozone equities remain attractive, waning earnings growth and the difficult macro picture keep us neutral for now, but continuing to watch closely as US valuations push ever higher.
This chart book presents representative marketable and hedge fund manager performance for second quarter 2016.
Investors grappled with the trajectory of global growth and the dramatic increase in negative-yielding debt in the year ended June 30, 2016. This brief chart book looks at returns and other market metrics for fiscal year 2016.
With virtually limitless choices along the asset allocation spectrum, an allocation to private investments greater than 15% has served many investors well. Are you on the right track?
The market has not become too complacent and continues to register the many potential risks on the horizon.
Brazil’s equity valuations, though by no means rich, are out of sync with its political uncertainty and economic distress.