Only one post this week qualifies for inclusion. The post does tremendous work exploring U.S. inflation.
BlackRock – Is US Inflation Too Low? – The bottom line: The treatment of “inflation” as a simple headline number that needs to be pushed higher paints too simple a picture.
Two posts this week without mention of volatility. The industry is awash in volatility-themed blog posts.
Is a Recession Coming? – BlackRock
“While I haven’t been overly bullish on U.S. growth, I believe this fear is overblown.”
Are You Forgetting Small Caps for Global Income? – WisdomTree
“Many investors wrongly assume that small-cap companies can’t afford to pay dividends because their main focus is on growth and they need to reinvest their earnings to support that growth.”
Though the week’s financial news focused on the Chinese government devaluing the yuan, we liked three posts on highly different topics.
How to Invest for the Greater Good –BlackRock
“Impact investing targets a very clear social or environmental outcome that is measurable and transparent. Instead of just refraining from investing in something that doesn’t align with your beliefs, you’re focusing on companies that are operating responsibly and having a positive impact on the world.”
Top 5 Smart Beta FAQs –BlackRock
“Transparency is a defining attribute of smart beta strategies.”
How U.S.-Centric is Your U.S. Equity Exposure? –WisdomTree
“If you believe the U.S. dollar trend is set to reverse, such an environment would favor U.S. exporters and the WisdomTree Weak Dollar U.S. Equity Index”
Two posts to consider from last week. While there’s a plethora on Puerto Rico and volatility, these two global-oriented posts stood out.
Emerging Markets Best Positioned to Withstand a Fed Hike –BlackRock
“Though emerging market equities have recently lost some ground thanks to volatility in China, they’re still up over the longer term compared to their own history.”
Global Growth Forecast –Loomis Sayles
“We have shaved our US GDP forecast down to 2.3% from 2.9%, mostly on account of weaker exports, a strong dollar and the decline in oil prices. In emerging markets, we still believe Asia Pacific is currently a bright spot – but we expect China to slow further as easing measures fail to gain traction.”
Two excellent posts (titled as questions no less) helpful to any FA updating client asset allocations.
Is it Time to Buy Commodities? –BlackRock
“… meaning that commodity prices are likely to remain under some pressure. This suggests that for investors, the better opportunity may be in the companies that produce the commodities, rather than in the commodities themselves.”
Are your clients wondering if it’s too late to invest? –Russell
“I asked some of our blog readers how many times they thought the stock market had made a new daily high over the last 20 years. I have to admit that I was surprised by the answer.”
