Risky Business Update: Our 2024 CMAs Change the Equation
Julia Moriarty provides an update to our famous “Risky Business” pie charts using our latest Capital Markets Assumptions.
Risky Business Update: After a Historic Year, What’s Changed?
Julia Moriarty provides an update to our famous “Risky Business” pie charts using our latest Capital Markets Assumptions.
Puttin’ on the Ritz … With Open Protocol
View Jim’s Paper Hedge funds and other multi-asset class (MAC) strategies with long and short exposures are a tough act to follow…at least for many fiduciaries investing in these strategies. To showcase their portfolios, managers often use a proprietary language that fits their unique strategy. Unfortunately, they then don’t sound like each other, making one […]
Kickin’ It with Risk
View PDF As MAD magazine’s Alfred E. Neuman proclaims, “What, Me Worry?” In the third quarter, global markets fully embraced that fearless mantra. And why not? Discarding past worries of stubbornly slow economic growth and other trifling distractions, markets focused on positive catalysts suggesting rising prices ahead. Corporate earnings worldwide enjoyed a notable uptick. Shrinking ranks of […]
Happy Anniversary, Black Monday
The U.S. stock market reached a new high today, coinciding with the 30th anniversary of Black Monday, an event of now-mythic proportions.
Uncertainty Beyond the Next Eclipse
Unlike the laws of physics driving our solar system, our financial markets can surprise investors with moments of darkness.
Open Protocol: Comparing Apples to Apples
Evaluating the risks of a large cap value portfolio against those of another has long been a relatively easy exercise for investors. However, evaluating the risks of an absolute return-oriented risk premia fund versus those of a relative value multi-strategy hedge fund is not, even though they can have the same stated investment objective.Investors who […]
What We Are Seeing: Insights From Capital Markets Research
The Capital Markets Research Group conducts strategic planning projects, education sessions, and general research for our clients. Recent discussions have been prompted by the low interest rate environment, low return expectations, and investor frustration with the seemingly high cost of diversification. Other themes we see include: Incremental risking-up of portfolios to reach for return Concerns […]
Risk Parity: A Primer
I recently wrote an article on risk parity for a CFA Institute publication on multi-asset-class strategies. This excerpt from that article covers all the basics and should put you well on the path to risk parity expertise. “Risk parity” is a term used to describe investment strategies where capital is allocated across asset classes so […]
In Context: Global Small Cap Equity
In small cap investing (U.S., international, emerging market, and global small cap) there are exploitable inefficiencies that are less available in large cap. Read on to learn more about some of the opportunities and challenges in this space. Earnings revisions: In the large cap space, companies are typically covered by many sell-side analysts that are […]