There's an exciting buzz around the office whenever the new Dimensional Fund Matrix Books are delivered. The books themselves are beautiful: Page after page of mesmerizing returns data, large enough to share comfortably around a conference table. As we flip the pages, endless opportunities present themselves to discuss the benefits of global diversification and the value of balanced investment portfolios. Over the course of the next week, we'll be presenting a few of those discussions and … [Read more...] about Out of the Matrix: Part 1
Mind the (Income) Gap
While public attention is captured by negative headlines and volatility in the equity and commodities markets, the conversation I can't seem to get away from during client meetings involves income, or more specifically: The need to generate income (from current financial assets and in retirement); and the lack of income now provided by CDs, US Treasury Bonds and high grade municipal bonds ~ traditional mainstays of retirement portfolios. These questions are coming up with increasing … [Read more...] about Mind the (Income) Gap
Oil’s Cheap Lunch
By Anthony Tanner, CFA SWP Guest Contributor This most recent oil bust reflects the long run cyclical nature of commodity prices such as oil. And it is not that far removed from the last significant drop in oil prices in the late 1980's. One sign is the revival of restaurants tying the cost of executive meals to the price of a barrel of oil. In the 1980's, several Houston restaurants garnered national attention for offering executive lunches for the price of a barrel of oil that day. Back then … [Read more...] about Oil’s Cheap Lunch
Opportunities Amid Dislocation
By Anthony Tanner, CFA SWP Guest Contributor We see great potential opportunities in the high-yield corporate bond sector for the following reasons: High-yield bonds provide much higher income in the short-term, and greater potential total returns long-term, derived from the more reliable stream of income rather than uncertain and volatile market appreciation/ capital gains. They've cheapened along with the equity markets, and now offers attractive high single digit return prospects. The … [Read more...] about Opportunities Amid Dislocation