The Income Channel

Enhanced Portfolio Diversification: The Power of &

Most investors, whether institutional or individual, tend to believe that stocks are a good—perhaps even the best—investment in the long run. However, the reason for expecting good performance from stocks is perhaps not always clearly articulated: Quite simply, it is because they are risky. Investors also tend to believe that investing in alternatives, such as managed futures, necessitates sacrificing some of their stock and/or bond asset allocation. This Insight explains how investors can have both the diversification benefits of managed futures, and their traditional stock/bond portfolio. Thus, the power of “&”.

US Tax Reform: What Investors Need to Know

On December 2, Senate Republicans managed to obtain enough votes to pass sweeping US tax reform legislation, but with several changes compared with the original House of Representatives’ bill. At more than 470 pages, the “Tax Cuts and Jobs Act” is certainly not a light read.

How Should The Fed React To Tax Reform?

Test of Northern Trust

US Tax Reform: What Investors Need to Know

Test of Franklin Templeton

How Much Can I Spend in Retirement?

How much can clients spend sustainably in retirement? This presentation provides an overview of Wade Pfau’s new book, How Much Can I Spend in Retirement? A Guide to Investment-Based Retirement Income Strategies, which focuses on sustainable spending from investments. He will explain the financial planning research on sustainable spending from investment portfolios in the face of a variety of retirement risks. You will also learn:

  • The origins of the 4% rule
  • How various assumptions impact the 4% rule
  • Whether 4% rule is appropriate for today’s retirees

Wade will answer attendees’ questions during the webinar and will be available to continue the discussion on APViewpoint.

A Look at NYSE Margin Debt and the Market

Note: The NYSE has released new data for margin debt, now available through October. The latest debt level is up 0.3% month-over-month. The October data gives us an additional sense of recent investor behavior.

Home Prices Rose 6.2% Year-over-Year in September

With today's release of the September S&P/Case-Shiller Home Price Index, we learned that seasonally adjusted home prices for the benchmark 20-city index were up 0.5% month over month. The seasonally adjusted national index year-over-year change has hovered between 4.2% and 6.2% for the last thirty months. Today's S&P/Case-Shiller National Home Price Index (nominal) reached another new high.

Consumer Confidence Remains at 17 Year High

The latest Conference Board Consumer Confidence Index was released this morning based on data collected through November 14. The headline number of 129.5 was an increase from the final reading of 126.2 for October, an upward revision from 125.9, and remains at a 17-year high. Today's number was above the Investing.com consensus of 124.0.

A Wall Street Walk Through Time

Robert Penn Warren (April 1905 – September 1989) was an American poet, novelist, and literary critic who once said, “History cannot give us a program for the future, but it can give us a fuller understanding of ourselves, and of our common humanity, so that we can better face the future.”

How Technology Has Set Industries on a Journey of Opportunity

Technology is transforming nearly every industry, from healthcare to retail to transportation. Franklin Templeton Investments recently hosted an event examining the race to develop and market autonomous vehicles entitled, “Along for the Ride: Evaluating the Impacts of Self-Driving Cars.”

World Markets Update

All eight indexes on our world watch list have posted gains for 2017 through November 27. The top performer thus far is Hong Kong's Hang Seng with a gain of 34.93%, followed by India's BSE SENSEX at 26.81%. In third is Tokyo's Nikkei with 17.69%.

Consumer Fundamentals Are Strong

Now that Black Friday has come and gone and Cyber Monday is upon us, you're going to hear a blizzard of numbers and reports about the US consumer. So far, these numbers show blowout on-line sales and a mild decline in foot traffic at brick-and-mortar stores.

On My Radar: Trade Signals Remain Risk On

Happy Thanksgiving to you and your wonderful family. Today’s post is holiday short because by the time it hits your in box I’ll hopefully be home with IPA in hand celebrating a hard-fought Black Friday golf tournament victory. Daughter, Brianna; son, Matthew and good friend, Stevie Oh, rounds out our foursome. If you are familiar with golf, it’s a scramble format where each player tees off.

Taking Tally of the Global Rally

As we look ahead to 2018, it’s important to first recognize how significant 2017 has been for international markets. This is the eighth year of a global bull market, but prior to 2017, international markets had trailed the US for four consecutive years — and for six of the last seven years.

From Reflation to Inflation

The U.S. economy is shifting from reflation to inflation – and we have greater confidence in inflation returning to its medium-term trend and the Federal Reserve’s target. Better wage growth and potential fiscal stimulus should cement this transition.