Fiscal Dominance Part 1 January 20, 2024 Categories: 2023 turned out to be a resilient year for the U.S. economy. Many economists and strategists came into the year predicting a recession which turned out to be a bad call. Read more
Uphill Battle February 18, 2023 Categories: Last year proved to be a historically challenging year in financial markets. The S&P 500 was down 18.1%, its 7th worst loss in the past 100 years. While volatility in the stock market is nothing new, the bond market experienced its own case of a drawdown. 2022 saw the Bloomberg Aggregate Bond Market suffer its worse loss in history declining 13%. Put the two markets together in the bellwether 60/40 portfolio and investors experienced a drawdown of 16% in 2022. Read more
Courage in the Storm October 26, 2022 Categories: There are days and there are decades. Then, there are days when decades happen. I quickly realized upon waking up at 2 AM on September 28, 2022, that this was going to be one of those days. Read more
Volatility Returns March 7, 2020 Categories: Markets, Bear Markets, Bonds Volatility has returned to global financial markets. As seen in figure 1 below, the Volatility Index (“VIX”) has spiked to the highest level since 2015. However, looking further back, the VIX is nowhere near the Great Recession of 2008-2009. History proves that volatility in financial markets is nothing new. However, since early 2009, the US markets have enjoyed a low period of volatility. Read more
