Archive | July, 2017

Quarterly Strategy Update: Structural Rotation

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This quarter, we look at two important structural changes that appear to be underway: a normalization in US and European monetary policy and a normalization in crude oil inventories. We expect these two trends to have important ramifications for equity sector leadership trends. In addition, we expect the growth-driven equity leadership that has prevailed for the last […]

One (more) Reason to Expect the USD to Continue to Fall

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The USD is weak again today and plunging lows not seen for 15 months. The “obvious” reasons for the USD weakness include converging foreign economic activity, more hawkish foreign monetary policies, and a general overvaluation of USD. All of those reasons we outlined here. Yet, another less obvious catalyst for USD weakness is taking shape […]

Are Investors Switching From Active to Passive or From Passive to Cheaper Passive?

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It’s been awhile since we’ve weighed in on the active/passive debate so we thought we’d toss our hat in the ring yet again and try to explain the asset migration that is taking the fund management industry by storm. The “wisdom” behind switching from active to passive investment products goes something like this: Passive products […]