Looking closely at the relative stock market performance of large and small cap stocks over the past three years provides a clear pattern—large stocks have materially outperformed their small-cap competitors. We present three time period comparisons: three-year, latest 52 week and year-to-date in 2019…
With all the focus on the Federal Reserve and its interest rate policies, it is a good time to review how interest rate levels and changes influence stock market investing. Essentially, interest rates impact the stock market in four separate but equally important ways. We review these four factors below:…
According to the FACTSET June 7, 2109 Earnings Insight report, analysts’ projections for the S/P 500 Index have remained positive. We follow these estimates closely since earnings are one of the main drivers of stock market performance. For the current 2019 year, the latest analyst consensus estimate…
-Possible Fireworks Ahead On June 10, 2019, RTN and UTX agreed to merge their aerospace and defense operations. The proposal is complex since RTN holders will only be merging with the UTX defense operations after UTX spins off its Otis and Carrier divisions. At the end of the transaction, UTX holders…
Investors looking to add fixed income exposure face an unusual environment. The major developed nations’ markets are offering very low or even negative returns on government bonds. In today’s market, for example, the yield on the ten-year German bund is negative 0.1%. Similarly, the ten-year…