What a Trump presidency means for your money

By Ron Sanders on November 11, 2016

Though many polls reflected a tight race, the resulting Trump victory was a surprise for markets and the initial reaction has been turbulent as investors adjust positioning. Among the sharpest moves were a drop in the S&P futures index, and weakening in the Mexican peso versus the US dollar and rallies in currencies that have traditionally performed well in periods of volatility, such as the yen and Swiss franc.

We expect volatility to remain elevated over the near- to medium term, and we are well placed to leverage opportunities as they arise.

Topics: Markets
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Serenity now...

By Ron Sanders on October 12, 2016

A number of upcoming events, including the wackiest election in decades, could generate market volatility. Although our process still sees U.S. stocks and global government bonds as expensive, a market setback could provide us with a terrific opportunity to buy.

As we look back on the last three months, what stands out is how quiet financial markets were during the summer, and yet, as September rolled around and market fluctuations picked up, how much it paid to be diversified.

Central bank actions and inaction, as well as fears surrounding either, drove financial market swings during the most recent quarter. Against a backdrop of soft economic growth and weak corporate earnings, extremely low interest rates have driven investors to bid up the prices of financial assets, distorting markets in the process. Investors are now dependent on low rates continuing to bolster rising asset prices. Any sign this “easy money” interlude is nearing an end has triggered gyrations in the capital markets.

Topics: Markets
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