Articles of Interest
"Bonds
are not yet due a reversal of fortunes" from the Financial Times on
April 26, 2009 by John Authers Key Takeaway: We strongly believe investors must be compensated for the risks that they take. There is no god-given law that says that investors will be compensated for accepting the volatility of stocks. In the long run, it is highly likely that stocks outperform bonds. It is a matter of asset allocation and limiting downside risk over each investor's time horizon that is critical The author of the article corroborates our research which can be found in our material on Asset Allocation.
"Now the Long Run Looks Riskier, Too" from the New York Times on March 29, 2009 by Mark Hulbert Key Takeaway: The market systematically underestimates volatility. This academic research corroborates a key portion of our investment philosophy. Markets price in extremely positive or negative potential returns as if they occur every 50 to 100 years. In reality, they occur once every 5 to 7 years. Our Risk Controlled Equity (RiCE) products take advantage of this mis-pricing. To view this article, please click here.
"Is it back to the Fifties?" from the Financial Times on March 25, 2009 by John Authers Key
Takeaway: Another article on asset allocation that
corroborates our research and philosophy.
To view this article, please click here.
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