Where are the superior risk/rewards in this sensitive economy? Many investments have more than doubled since their pandemic lows.  However, the U.S. equities market is in an interesting position as we enter the fourth quarter.  Due to the sizable disruptions caused by the Delta variant and ongoing global supply chain issues, global markets have become … Continue reading Buy Economically Sensitive for a Sensitive Economy →

It’s December 31st, 2019 and financial markets around the world just capped off one of the best years on record. At that time, if someone had told you we were on the cusp of one of the worst global health crises of all time – one that would all but cause the global economy to … Continue reading The Resiliency of Markets and Mankind →

The financial media has recently begun to focus on the ongoing rotation from U.S. growth stocks to U.S. value stocks. Specifically, a rotation out of high valuation, momentum growth companies. It’s interesting to note this rotation actually began to occur quietly in September – something we’ve been anticipating for a number of months now. In … Continue reading The Rotation from Growth to Value →

As 2020 begins, the year may change, but human nature does not. Humans evolve and refine their thinking, yet common cognitive biases remain. This is especially true when markets are near lows or, as the new decade begins, near highs. We believe enhancing awareness of these biases can improve long-term portfolio performance. So let’s take … Continue reading FOMO – Battling Biases in 2020 and Beyond →

Signs of economic weakness are pervasive.  Quantitative evidence from economic reports is depicting an obvious economic slowdown.  Additionally, qualitative evidence, such as “expert” commentary and recession related media headlines, means the average American hears about an upcoming recession daily.  After reading the headlines of poor economic reports and bearish commentary, one would expect equity markets … Continue reading The Bull Stock Market in the Bear Economy →

Click here to view a PRINT VERSION of this article. Historically, two sectors with consistently slow earnings growth have been utilities and consumer staples.  Over the long-term, these two sectors have posted annualized earnings growth of 3% and 5% respectively, below the S&P 500’s 7% earnings growth.  Although earnings growth has been slower, and these … Continue reading Safe Is Not Safe Anymore →

The old saying “stock prices follow earnings” was not in effect during 2018.  The S&P 500 delivered outstanding earnings growth of 22% during the year.  However, this impressive earnings growth coincided with the worst performance for the S&P 500 in over 10 years, along with one of the worst single quarters since 1940.  Practically overnight, … Continue reading What Does the Recent US Stock Market Action Mean for 2019? →

To download a printable version of this article, click here: 201810 OPCM – Marijuana Around this time last year, we wrote an article highlighting the increasing signs of speculation and euphoria we were seeing in the burgeoning cryptocurrency market. Our skepticism had less to do with the merit or potential use of cryptocurrencies, and more … Continue reading Seeing Green? →

To download a printable version of this article:  201810 OPCM – The Risk Of Investing In One Asset Class For many decades, the best risk-adjusted returns were found using a multi-asset class investing approach.  Historically this discipline, used by most of the top performing large foundations and endowments, enabled investors to achieve equity-like returns with … Continue reading The Risk Of Investing In One Asset Class →

To download a printable version of this article: 201810 OPCM – Foreign Currency Conundrum On August 13th, 2018 a headline in the International Business Times read, “Turkey facing currency meltdown and credit crunch fears”. The “meltdown” the article was referencing was a three day, 30% decline in the value of Turkey’s currency, the Lira. Normally, … Continue reading Foreign Currency Conundrum →