“It looks just a little more mathematical and regular than it is; its exactitude is obvious, but its inexactitude is hidden; its wildness lies in wait.” — G.K. Chesterton The Quarter in Review What a way to end the year! Global markets experienced a robust finish to 2019, with all but the so-called safe assets...Read More
Increasing Fragility “Some things benefit from shocks; they thrive and grow when exposed to volatility, randomness, disorder, and stressors and love adventure, risk, and uncertainty.” -Nissim Nicholas Taleb Well-intentioned plans can bring unintended consequences. The world’s major central banks have been adding stimulus to the global financial system, hoping to lessen economic volatility and minimize...Read More
“The investor of today does not profit from yesterday’s growth.” —Warren Buffett The Quarter in Review Compared with previous quarters, the third quarter exhibited considerably more volatility with little appreciation. Most investment markets are showing signs of exhaustion due to continued uncertainty about trade wars, the negative interest rates in most developed countries,...Read More
Advisers utilizing Model Market Center can access Auour’s award-winning family of strategies focused on downside mitigation. September 25, 2019: Auour Investments is proud to announce the availability of its Downside Mitigation Strategies to independent registered investment advisors through the TD Ameritrade Institutional Model Market CenterTM. Auour is one of 24 third-party managers added recently to...Read More
Two weeks ago, Jamie Dimon, the CEO of JP Morgan, said, “So, we have taken liquidity out of certain products. And it won’t hurt you very much in good times. Watch out when times get bad and people are getting stressed a little bit.” He was referring to changes in banking regulations after the 2008...Read More
The Sound of Money Dying Wealth can be created and destroyed. Wealth is created when the investment of time, money, and energy arrives at an endpoint where the profit obtained is greater than the investment made. A simple example: you give your child ten dollars, allowing her to purchase supplies to open a lemonade stand....Read More
We hosted Brad Kotler of SSGA to discuss the mechanics underlying fixed income ETFs. As the AUM within these ETF’s now is over $1 trillion, more people are concerned about their impact on the credit markets. We discuss how ETFs are created and redeemed and the role they play within the changing fixed income market.Read More
Liquidity—the growing scarcity of it right now—is something that has bothered us for a while. It’s getting harder to turn an asset into cash. Higher liquidity implies the ability to sell quickly at a price similar to recent pricing. One way of thinking about liquidity is to consider the difference in the liquidity of a...Read More
Wins above replacement (WAR) is a baseball metric that describes a player’s value in terms of how many more wins he brought to his team than a replacement-level player at his position would have. It is a measure of the effectiveness of an individual within the team and a statistical attempt to quantify if he...Read More
