Commentary

  • Stock Market Drops in Second Quarter

    In Market Analysis on

    Shortly after the market hit bottom in April of 2009, we wrote that after major declines, gains were historically “decisive and significant.” The market affirmed that projection with an advance off the bottom of 65% by the end of 2009. That gain, along with robust GDP growth in the first quarter of 2010, led many to believe that the markets

    Read more
  • Gains Continue into the Fourth Quarter

    In Market Analysis on

    During the most recent quarter, the S&P continued its impressive rise and advanced 6.02%. Throughout the quarter, our proprietary models remained fully invested (with the exception of a 3 day partial sale out of Emerging Markets in some portfolios). In fact, we have remained fully invested in US and Developed International stocks since we entered the markets in late March

    Read more
  • Emerging Markets and our Dynamic Hedging Strategy

    In Market Analysis on

    Investing in emerging markets has the potential to generate high returns and also bring potential diversification benefits. Our case for emerging markets is justified by four principal causes: · Emerging markets (EM) possess a high rate of growth of GDP relative to developed countries · Emerging markets are expected to be an increasing percentage of global GDP Emerging markets return

    Read more
  • Stock Market Makes Significant Gains for Quarter

    In Market Analysis on

    In our last commentary, we looked at the powerful nature of rebounds following large stock market drops. Our conclusion was that large stock market losses have historically been followed by significant moves higher. Historians will be heartened that, once again, history is repeating itself. During the 2nd Quarter, stocks had their best return since the 2nd quarter of 2003 with

    Read more
  • Looking Beyond Recent Declines

    In Market Analysis on

    Last November when the market declined sharply, a number of managers declared that the stock market had hit the bottom. Despite those declarations, stock market indices continued their descent to new lows in the first quarter of this year. From its peak in October of 2007 to its low in March of this year, the S&P 500 index fell over

    Read more