Investing

[ad_1] Does gold hedge inflation? On average the answer is no, empirically speaking. But gold’s relationship with inflation is complicated, making any blanket statement about its role in portfolio construction unwise. In this blog post I offer evidence against the claim that gold is a reliable inflation hedge. But I don’t test and […]

[ad_1] “It is never a good idea to invest in a SPAC just because someone famous sponsors or invests in it or says it is a good investment.“ While special-purpose acquisition companies (SPACs) have been around for decades, they have attracted unprecedented interest and investment since the first wave of the COVID-19 […]

[ad_1] Introduction Welcome to the qualifying round of the 2022 US Investment Olympics. The goal of the games is simple: beat the S&P 500, either by generating higher returns or playing dirty and going for higher risk-adjusted returns.  Let the games begin! Qualifications Like the 2022 Winter Olympics in Beijing, […]

[ad_1] Are you a wealth manager who believes bitcoin and other cryptocurrencies are a passing fad or worse? You’re not alone. But you also may want to reconsider. The wealthiest clients certainly don’t agree and they are voting with their wallets. In fact, 72% of high-net-worth individuals (HNWIs) have invested […]

[ad_1] After nearly two years of high interest rates, investors are anticipating rate cuts in the coming months. The transition from highly expansionary to highly contractionary monetary policy in recent years, coupled with current expectations for another policy shift, make it an ideal time to assess the relationship between financial […]

[ad_1] Technical analysis — trading based on the chart patterns of stocks — has always been a hotly debated investing tactic. While fundamental analysts may decry it as junk science, to this day it still has many proponents in Wall Street proprietary trading shops. Resistance levels, support levels, triangle patterns, double […]

[ad_1] Fifty years ago, leveraged buyout (LBO) sponsors had a simple goal in mind: to help divisional managers of large corporations gain their independence and extract more value from previously cash-starved operating units. But the low-hanging fruit of management buyouts and corporate carve-outs has mostly disappeared. Management teams are seldom […]

[ad_1] Strategic asset allocation (SAA) determines long-run exposure to systematic risk factors. That said, current changes in monetary policy in many developed and emerging countries as well as the stage of the business cycle warrant tactical considerations. The tactical overlay strategy should generate added value by temporarily deviating from the […]

[ad_1] Global public debt exploded during the pandemic. The unprecedented rounds of fiscal stimulus — intended to mitigate the impact on growth — have raised risk levels and put many countries in financial jeopardy. Developing and emerging nations, in particular, are struggling: IMF research puts their current debt levels 20 […]

[ad_1] What happens when quantum computers become reality? One of my favorite moments at a cryptocurrency seminar last year was when someone asked that question. The response was dead silence. After a long pause, the speaker said something to the tune of, “We will figure that out when we get […]