The Retirement Road Trip

Part 1: Weathering market risk with dividend stocks

The Retirement Road Trip

Imagine standing in Provincetown, Massachusetts, on Route 6, facing a road sign that says 3,652 miles to Long Beach, California. You are about to begin one of the most audacious cross-country road trips in the United States. At first, you’re thinking about your destination – beautiful sunny beaches and perfect weather year-round. Then the questions hit you: “How am I going to get there? What could happen along the way? Is my car in good shape? Am I prepared? … I need a plan.”

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China’s Supportive Policies: Can They Stem Sluggish Growth?

China’s stimulative policies are a start to stabilizing its economy

China’s Supportive Policies: Can They Stem Sluggish Growth?

China’s first-quarter growth largely disappointed, with recent data showing real gross domestic product (GDP) growth falling from 7.3% to 7%, the lowest annual growth rate since 2009.1 While the headline number was broadly in line with expectations, the detail suggests weakness.

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Lower Oil Prices Have Varied Effect on Municipal Bond Market

Impact of oil price slump differs among key states

Lower Oil Prices Have Varied Effect on Municipal Bond Market

The decline in oil prices since the summer of 2014 continued throughout the first quarter, as oil supply surpassed demand and we saw substantial price declines.

This is of particular interest to municipal bond investors, as many US state and local budgets have a substantial dependence on oil production and exploration revenue, and lower oil prices can influence economic growth and inflation, which can affect Treasury and municipal yields.

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Alternative Investing: Two Ways to Mitigate Manager Risk

Part 2 in a series on understanding and addressing manager risk when using alternatives

Alternative Investing: Two Ways to Mitigate Manager Risk

In part one of this blog, Alternative Investing: Why Manager Skill is Crucial to Results, I discussed why manager risk (e.g., the risk of selecting an underperforming manager) is a significant risk when investing in alternatives. Here, I discuss how investors can mitigate manager risk.

Mitigating manager risk involves two things:

  1. Conducting due diligence on the manager before investing. This helps increase an investor’s chances of selecting a successful manager.
  2. Diversifying across multiple managers. This step helps reduce manager risk by diversifying across multiple managers.
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Alternative Investing: Why Manager Skill is Crucial to Results

Part 1 in a series on understanding and addressing manager risk when using alternatives

Alternative Investing: Why Manager Skill is Crucial to Results

A key attribute of alternative investments is that alternative managers are typically given considerable freedom in how they invest. This freedom means that manager selection — an important consideration for all investors — becomes particularly crucial when investing in alternatives.

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Often Overlooked … Systematic Rebalancing Key to Smart Beta

The systematic rebalancing of smart beta indexes eliminates emotion from the allocation process

Often Overlooked … Systematic Rebalancing Key to Smart Beta

While the incessant buzz around smart beta index strategies continues unabated, much of the discussion seems to center on either the terminology or the different weighting methodologies —fundamentals, dividends, equal-weighting and more. But what’s not often talked about is the importance of a simple, objective, rules-based rebalancing discipline.

Why is rebalancing so critical?

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