Category: Investing
390 posts categorized as "Investing"
Q&A with Christopher Davis, Portfolio Manager at Davis Funds
September 15, 2017
CLS’s Chief Investment Officer, Rusty Vanneman, CFA, CMT sits down with hristopher Davis, a Portfolio Manager at Davis Funds and explores what it means to be a good individual investor, what characteristics a respectable financial advisor should possess, and what a financial advisor should look for in a professional money manager.
Currencies’ Impact on Portfolios (and My Honeymoon)
September 14, 2017
Content provided by Joshua Jenkins, CFA, Portfolio Manager Over the last year, currencies have been on the forefront of my mind, which is unusual. I’m not saying they are not important. In the short term, they definitely impact returns. Portfolio Manager Case Eichenberger recently wrote about that here. Over the long term, however, the impact…
Why Stock-to-Bond Ratios are Poor Measurements of Risk
August 31, 2017
Content provided by Joseph Smith, CFA, Senior Market Analyst Risk Budgeting makes CLS different in its ability to measure and manage risk in portfolios. Risk Budgeting is not the same as managing to a stock-to-bond ratio. Stock-to-bond ratios can lead to undesirable levels of risk for long-term investors. At CLS, we differ from our money-managing…
Some Trading Maxims That Influenced My Investing
August 18, 2017
Content provided by Rusty Vanneman, CFA, CMT, Chief Investment Officer Years ago, I worked with bond and currency traders around the world (mostly in New York City, Chicago, and London), providing trading recommendations and market commentary every 20 minutes during market hours. The work environment was fast-paced, fun, and absolutely awesome in terms of being…
Are International Stocks Really Beating U.S. Markets?
August 11, 2017
Content provided by Case Eichenberger, CIMA, Client Portfolio Manager Of course they are! Are you kidding me? It’s not even close! (This is what I imagine you’re saying in your head right now.) Just take a look at the data below from two ETFs that proxy the U.S. and international stock markets: ITOT for the…
The Market ≠ The Dow
August 10, 2017
Content provided by Grant Engelbart, CFA, CAIA, Portfolio Manager “The market is up 100 points today!” How often do you hear that comment? Some of my family members who have no market knowledge even referenced movements in the Dow Jones Industrial Average (DJIA). There are so many questions that come to mind when I hear…
The Battle of the Acronyms: SRI Versus ESG
July 28, 2017
Content provided by Kostya Etus, CFA, Portfolio Manager Values-based investing has been making headlines and growing a lot of assets recently. What is it? There are many definitions, and it can mean something different to everyone. But, I believe the following are some unifying classifications: Socially Responsible Investing (SRI) is the “old school” or “traditional” values-based…
Why (Risk-Adjusted) Return Expectations Matter
July 27, 2017
Content provided by Joseph Smith, CFA – Senior Market Strategist Formulating return expectations is an important component of disciplined investing. Return expectations often fall prey to being unadjusted for risk. At CLS, we evaluate return expectations (CLS Edge Score) after adjusting for risk via Risk Budgeting. Being a disciplined investor requires an expectation of what…
Optics: Digging Deeper into American Funds
June 9, 2017
Content provided by Case Eichenberger, CIMA, Client Portfolio Manager CLS’s American Funds strategies have grown two-fold in the last year or so. That success brings on new advisors, clients, and relationships. As more new people use our strategies, we receive more due-diligence questions addressed to our portfolio management (PM) team. One such question that has…
Complacency, Lunacy, and the Cure for Both
May 19, 2017
Content provided by Grant Engelbart, CFA, CAIA, CLS Portfolio Manager Volatility is at its lowest levels in decades, consumers are feeling confident, unemployment continues to fall, and markets continue to grind higher. This type of environment can be great for investors, but it can also be dangerous. The lull can create complacency and encourage excessive…