Risk assets are likely to stay weak while uncertainty persists. Investment committee members see this gradually creating a buying opportunity because, whatever the outcome for Greece, they believe the ECB will use overwhelming force to protect all other Euro countries, allowing markets to recover.
Investors who prefer a less volatile loan return may favor the U.S. loan market. Less risk-averse investors may find the potential for higher loan returns in the European loan market appealing as they may feel the additional spread premium offered in that market compensates for the additional macroeconomic and market technical risk.
We remain in a cyclical bull market for equities. As has been the case in recent weeks, the European situation will be a periodic negative for U.S. investors. The risk of it turning into a 2008 Lehman-style, global contagion, however, is relatively low. Nevertheless, one chief investment officer is closely watching systemic risk indicators for any ...
Deutsche Bank is still optimistic on stocks, especially those with a history of growing dividends. In fact, the average corporate dividend yield is actually higher than the yield on 10-year U.S. Treasuries, and that alone should enable equities to outperform bonds. Specifically, they are skewing their portfolios toward the U.S. and emerging markets...
Returning risk appetite in combination with currently oversold equity and commodity markets could end up bringing a strong relief rally. This rather positive but still realistic scenario should put long short equity and emerging market funds (directional strategies) in the best position to outperform other strategies. Managed futures should perform...
Americans are likely to see tax simplification and a more efficient process in 2013. Under tax simplification, there will likely be fewer deductions, but tax rates will be lower. However, the actual outcome of various tax initiatives will be very unpredictable regardless of what the candidates say during the campaign.
It appears that uncertainty and volatility are going to be riding with us for a while. There are big risks, to be sure, but big opportunities as well, and the key is to have capital available to capture those opportunities, which means that you have to avoid meaningful losses during the really rough times. It will take prudence and commitment to em...
We anticipate a period of market consolidation leading up to, and including, the summer and would not be surprised to see more elevated levels of volatility. However, over the longer term we see risk assets continuing to be supported by valuations and abundant liquidity, although tail risks to growth from global fiscal policy remain.
Artwork or other collectibles often comprise a special part of a family's assets. In addition to holding deep personal meaning, they may have significant financial value. While these items should be viewed just like other assets such as real estate or financial investments, there are some unique factors and complexities to consider.
Interest rates continue to bump along near historical lows. Given the asymmetric risk/reward of holding bonds with extraordinarily low yields, some investors have been reconsidering their holdings. Investors worried about rising interest rates have several options (among them, shortening duration and using derivatives), but none are without opportu...
The global law firm Withers has witnessed an increase in the number of art-related cases coming before the English courts. Although individuals and entities involved in these art disputes will attempt to resolve their differences out of court and through settlement, they often end up in litigation, which carries financial costs. It is important to ...
This Educational Insights defines the most common types of trusts used in asset management and estate planning, and highlights their key features.
This Educational Insights discusses the unique estate tax and insurance implications of owning real estate in multiple jurisdictions.
This quarterly newsletter features the articles, "Estate Planning Key to Succession Planning," Exploring the Ins and Outs of Net Operating Losses," and "Tax Tips."
Rockefeller Financial Managing Director Jimmy Chang looks at Greece's possible exit from the euro, the cooling of global markets and Facebook's disappointing IPO.