The Federal Reserve paused rate hikes after 10 consecutive increases.Fed's projections indicate two additional rate hikes are possible.The market has been resilient and continues to trend higher after the meeting,
The Federal Reserve raised interest rates by a quarter point to manage inflation, but faces a conundrum.The Federal Reserve has opened a new short-term loan facility to address a liquidity
The unfolding banking crisis has been shaking financial markets and contributing to a negative tone in the stock market.Recession risk has risen as the banking crisis envelops more banks.The Federal
Small caps outperformed the Nasdaq Composite last year as stocks fell due to the Federal Reserve's efforts to control inflation.Market fears are mounting that the economy may slip into a
Interest rate policy is getting closer to a step-down.More Federal Reserve officials are focused on the risks of sharply rising rates.Inflation can fall rapidly next year due to the lagging
Bear markets bring into focus the inevitability of portfolio drawdowns.Drawdowns are more common than investors realize.About two-thirds of the time a portfolio will be in a drawdown state, referred to
An economic rebound in 2021 should benefit small-cap companies.Monetary and fiscal policy alignment to boost economic growth.Small-cap stocks can be the high growth cyclicals and outperform after lagging in 2020.A
Small caps finally record a new high after two years and turn positive for the year.Vaccine progress is raising expectations of a more robust and durable economic recovery in 2021,
The market is biding time waiting for the election outcome. Quite likely, it may be Biden's time.A blue wave can be most beneficial to the market at this time due
Stocks to move higher irrespective of Presidential election outcome.Prominent near-term risk is of a contested election.If polling lead stays steady or widens, stocks to respond positively.Stocks are well-placed to have
The market remains unsettled but is moving higher as it expects good things to happen after the hot spots peak.The impact of the pandemic will keep expanding deeper into the
Unexpected tariffs catch the market by surpriseSharp selloff accompanies escalating trade conflict with ChinaWhile the negative consequences of rising trade friction are significant, there are a couple of positives which
Intense volatility in the final quarter eroded double-digit gains last year
Fears of a recession or a sharp economic slowdown in 2019 are inconsistent with data and most likely
On the 10th anniversary of the 2008 financial crisis, deep thinkers predict a potential crisis that can lead to social and political upheavals.
Monetary policy will be a key
While much attention is being riveted on the S&P 500 new all-time high eclipsing the January one, small cap stocks accomplished that in May.
Small cap stocks are in
Earnings fountain created many opportunities in the first-half, even though index returns were relatively restrained.
During the first-half, the market overcame a tide of negative sentiment, including a breaking
The stock market is volatile but still rewarding
Most investors should favor a longer-term time frame as the stock market again records new highs after recovering from the first quarter
Small cap stocks record fresh all-time highs leading the broader market indexes higher for the first time in a couple of years
Small cap performance suggests an underlying risk
Stock market gored by a sharp spike in yields.
Rising inflationary expectations feed into the fear of an aggressive monetary policy beyond current expectation.
A cyclical adjustment as we
Stocks remain in a major uptrend. Staying the course worked great in 2017 and remains an effective strategy even now.
Witnessing a renewal of business cycle expansion, which can
November 14, 2017
We can be irrational investors and have to be aware of our biases.
Investing biases can cost us significant returns over time.
Group Thinking, Loss Aversion, and
November 07, 2017
Systematic Investing, using quantitative models, continues to grow as it addresses key drawback of active investing - behavioral biases
Behavioral economics continues to provide growing evidence of
October 10, 2017
After a sleepy start, small cap stocks have turned up the heat.
Corporate tax cut proposal triggered the rally.
The enduring power of small cap relative outperformance
August 30, 2017
Entering a period of elevated risk from unrealized policy expectations, budget ceiling debate, and Federal Reserve's quantitative easing reversal
September and October are the months to be
Buffett's Recent Investments Suggest Confidence In Economic Growth.
The Economy Has Legs and So Does the Market.
Uninterrupted Market Rise Raises Probability of A Normal Pullback.
Even Though March
February 08, 2017
A change of administration typically means new policies that impact economic growth
The first two weeks of the new administration have been fairly controversial
The stock market
January 18, 2017
Steve Cohen is one of the most successful hedge fund managers of the last 25 years. His firm, Point72 Asset Management, had a difficult last year as the
Drawdowns are inevitable and more common than investors realize.
Nearly two-thirds of the time a portfolio will be in a Drawdown, referred to as a State of Regret.
Nearly
November 5, 2016
The stock market begins to factor in a non-Clinton Presidency.
Late momentum allows Trump to close gap with Clinton, forcing the stock market to recalibrate.
A spurt
November 1, 2016
Earnings are coming in better than expected by the stock market, with the S&P 500 companies reversing an over year-long decline during Q3 itself.
The final hustle
October 17, 2016
Recently, Robin Wigglesworth of Financial Times wrote an interesting article about some automated systematic investing strategies being pursued by institutions that add to the volatility in the stock
OCTOBER 13, 2016
Attention shifts from US elections towards earnings
Third quarter earnings to be supportive of stock valuations
Monetary policy to assume greater importance later in November
Uptrend remains
SEPTEMBER 29, 2016
Julian Robertson, a legendary hedge fund manager who founded one of the most successful hedge funds, Tiger Management, noted in a recent Bloomberg interview that the industry faces
SEPTEMBER 23, 2016
The case for staying the course with stocks was bolstered following the FED's ongoing pause.
As earnings season arrives, technology to power Nasdaq Higher.
October can see
SEPTEMBER 21, 2016
Investors are not rational and have to deal with biases.
Investing biases can cost us significant return over time.
Disposition, Confirmation, and Anchoring are few other biases
SEPTEMBER 17, 2017
Investors are not rational and have to deal with biases.
Investing biases can cost us significant return over time.
Loss Aversion, Confidence, and Bandwagon are few of
SEPTEMBER 12, 2016
This recent headline on Bloomberg caught my attention.
"There's a Simple Reason Why UBS Is Hiring So Many Quants"
The Swiss financial giant UBS Group, which oversees nearly $2 trillion, has
SEPTEMBER 09, 2016
Most Active Managers Are Unable to Outperform benchmark S&P500
Small-cap managers face an even more uphill battle with 90% underperforming S&P600
There is room to consider model-based