By David Nelson, CFA CMT Markets pushed higher last week but clearly most of the economic data was soft. Jobless claims, Consumer Confidence and CPI all came in short of expectations. Earnings reports continue to be robust and well above estimates, but we’ve seen this movie before. A combination of lowered expectations and analysts behind the curve […]
Category Archives: Investment Management
February
01
GameStop – There’s nothing social about social media
posted by David Nelson, CFA
By David Nelson, CFA At the start of 2021 analysts, talking heads and investors were focused on the year ahead and what the economy would look like on the other side of a vaccine rollout. The pandemic breakout of 2020 brought world economies to their knees and capital markets to the brink. Investors who looked […]
January
25
FAANG Revenge
posted by David Nelson, CFA
By David Nelson, CFA CMT Year to date we’ve seen several asset class battles as investors rushed from one side of the lifeboat to the other. Coming into the start of 2021 we picked up right where we left off. A pro-cyclical rally led by Energy, Financials, Materials and Small Cap stocks (IWM) have outpaced […]
January
11
As the Worm Turns
posted by David Nelson, CFA
By David Nelson, CFA CMT The worm has turned is an idiom often associated with the change of fortune of a person. I’m going to take the liberty and focus it right where it matters most your pocketbook. In the context of the last 10 years what we’ve seen in the last couple of months […]
January
04
2020 – The Last Mile
posted by David Nelson, CFA
By David Nelson, CFA CMT Facing the second Black Swan event in 12 years the pandemic of 2020 pushed investors to fear more than just the loss of money. Jobs are a casualty of any economic downturn, but the pandemic of 2020 also robbed our way of life and tragically for some, their lives. Bear […]
December
27
SHUTDOWN!
posted by David Nelson, CFA
By David Nelson, CFA CMTWith a government shutdown approaching DC politics continue to be a quagmire of pork and special interests. A dysfunctional Washington is hardly surprising but the 5,593 page $900 Billion Covid-19 Relief Bill probably hits a new low. The bi-partisan package was of course tied to a $1.4 Trillion government funding bill […]
December
07
Small Cap Rally Has Started – Maybe it never stopped
posted by David Nelson, CFA
By David Nelson, CFA CMT After years of taking a back seat to large cap secular growth small caps have suddenly exploded higher catching the eye of investors. Caught off guard hiding in the safety of large companies with bigger and stronger balance sheets professional and retail investors are being forced to rethink portfolio alignment […]
November
30
Dow 30,000 – What could possibly go wrong?
posted by David Nelson, CFA
By David Nelson, CFA CMT Tuesday November 24th the Dow Jones Industrial Average closed above 30,000 for the first time. That’s a long way from its first close of 40.94 May 26, 1896. Today’s Dow looks a lot different than the original 12 companies. Even General Electric (GE) was kicked out of the index in […]
November
30
What to expect for markets as we close out 2020
posted by David Nelson, CFA
David weighs in on the markets and what to expect as we head into 2021
November
16
The Rule of 72
posted by David Nelson, CFA
By David Nelson, CFA CMT Wall Street loves complex theories of why an asset class will outperform or head south. We tear apart income statements, balance sheets and parse every word from the FOMC. We run thousands of back tests on multi-factor quantitative models diving through virtually every data point that relates to a company, commodity, fixed […]
