In the past, businesses’ assets were tangible — they included things like a factory or machinery. But the portion of the world's economy that doesn't fit this definition is getting larger. For a growing number of companies, assets may include intangible resources, such as proprietary software, networks, brand recognition and algorithms.

How do equity and debt researchers think about intangible assets? Do certain metrics begin to take on greater importance, while others take on less? How does one assign value to a company (and decide whether a stock price makes sense) when assets are composed of property that lack a physical presence?

We conducted an industry-wide survey of investment professionals to capture their views on the role of intangibles in investing, examining their attitudes on existing methodologies for measuring intangibles and evaluating opportunities.

They agree that the analysis of intangibles can provide a competitive advantage to...

Every year, the Employee Benefit Research Institute (EBRI) and independent research firm Greenwald & Associates survey workers and retirees about their preparations for retirement. And the eye-opening results of this long-running survey tell us that many workers may not be as prepared as they think.*

Short- and long-term interest rates around the world are historically low. Today’s rate environment is partly explained by central bank policies, a long period of secular disinflation and, more recently, slower global growth in major economic regions. A low-rate environment presents challenges for investors, especially those who are trying to generate a reasonable level of consistent income.

For three decades, Paul Wick had a front row seat in the evolution of the tech industry. He shares what he’s learned and what the future might hold in the sector.

At the end of 2019, Congress passed the Setting Every Community Up for Retirement Enhancement (SECURE) Act as part of the Further Consolidated Appropriations Act. The SECURE Act has many retirement-related implications, but it also includes expanded benefits for 529 plans.

 

Investors searching for income may be irresistibly drawn to the prospect of the highest yielding stocks. But high-yielding stocks often fail to provide consistent income over time. A long-term equity income strategy focused on sustainable dividends can provide a lower risk way to stay invested through the market’s ups and downs. And as their advisor, you can lead clients down the right path so they can avoid the common impulse to chase yield.

We continue to see strong equity momentum. Our indicators also continue to show a decreased chance of a recession and a general bottoming out of economic data. Treasuries no longer appear to have a clear trend in either direction. We remain in a world of rangebound yields relative to current levels. Overall, neutral policy-level allocations to duration are appropriate.

Non-directional strategies — such as absolute return — present compelling opportunities. We also believe commodities will do relatively well based on idiosyncratic risks that are asymmetrically tilted to the upside.

Investment-grade bonds have long been the choice of fixed-income investors looking for high-quality sources of income and capital preservation. And products that track the Bloomberg Barclays U.S. Aggregate (the Agg) exploded in popularity after successfully delivering on both objectives for years. But the Agg is heavily concentrated in government securities, which can mean increased risk and lost opportunities for fixed-income investors.

After a period of above-trend GDP growth, we expect U.S. growth to slow down in 2020. In the last two years, we’ve seen an economic growth rate that exceeded the productive capacity of the economy — mainly due to the fiscal policy boost from the 2017 Tax Cut and Job Openings Act. The Congressional Budget Office estimates U.S. trend growth at approximately 2%. Our own estimates, based on demographics, labor force participation rate, capital and current pace of productivity, are in the range of 1.75%–2.0%.

 

The outbreak of coronavirus in central China’s Hubei province has unsettled markets. While the absolute numbers around infection and mortality rates are relatively low, the economic consequences of an outbreak can be magnified even when the health impact is limited.* There are more than 6,000 cases of coronavirus confirmed globally (some researchers say the number is likely higher), 98% of which are in mainland China. More than 100 people have died, and the vast majority have been older adults with other health issues. In the U.S., there have been five confirmed cases and investigations into 110 possible exposures. The number of investigations is expected to increase according to the Centers for Disease Control, but the immediate health risk is low at this time.

The Lunar New Year and the high volume of holiday-related travel in Asia have markets on edge — a more widespread outbreak could impact demand and global GDP. Approximately five million people left the city of...

Thanks to advances in healthcare and the increasing trend of living a healthier lifestyle, many of us are living longer lives. According to the Society of Actuaries, a 65-year-old American male of average health has a 55% probability of living to age 85. A 65-year-old woman has a 65% likelihood of reaching age 85.

Living longer is good news. But for many of us, it means our retirement savings may need to last for 20 or 30 years — or more. Some people may be planning to work into their 70s to make ends meet. Some may never retire. But more than 40% of retirees had to leave the working world sooner than they had planned, according to the Employee Benefit Research Institute’s (EBRI) 29th Annual Retirement Confidence Survey. Reasons included corporate downsizing, health problems or disabilities, or having to care for a spouse or other family member.

 

In times of uncertainty, investors are looking for guidance so they can make headway toward their goals. Download our annual publication: A collection of global insights to discuss with your clients.

In the past, businesses’ assets were tangible — they included things like a factory or machinery. But the portion of the world's economy that doesn't fit this definition is getting larger. For a growing number of companies, assets may include intangible resources, such as proprietary software, networks, brand recognition and algorithms.

How do equity and debt researchers think about intangible assets? Do certain metrics begin to take on greater importance, while others take on less? How does one assign value to a company (and decide whether a stock price makes sense) when assets are composed of property that lack a physical presence?

We conducted an industry-wide survey of investment professionals to capture their views on the role of intangibles in investing, examining their attitudes on existing methodologies for measuring intangibles and evaluating opportunities.

They agree that the analysis of intangibles can provide a competitive advantage to...

The outbreak of coronavirus in central China’s Hubei province has unsettled markets. While the absolute numbers around infection and mortality rates are relatively low, the economic consequences of an outbreak can be magnified even when the health impact is limited.* There are more than 6,000 cases of coronavirus confirmed globally (some researchers say the number is likely higher), 98% of which are in mainland China. More than 100 people have died, and the vast majority have been older adults with other health issues. In the U.S., there have been five confirmed cases and investigations into 110 possible exposures. The number of investigations is expected to increase according to the Centers for Disease Control, but the immediate health risk is low at this time.

The Lunar New Year and the high volume of holiday-related travel in Asia have markets on edge — a more widespread outbreak could impact demand and global GDP. Approximately five million people left the city of...

A lot of people feel like they’re putting enough money away for retirement. Still, only about 40 percent of workers say that either they or their spouse have actually tried to figure out how much money they’ll need to retire comfortably, according to the Employee Benefit Research Institute’s (EBRI) 29th Annual Retirement Confidence Survey.

In times of uncertainty, investors are looking for guidance so they can make headway toward their goals. Download our annual publication: A collection of global insights to discuss with your clients.

For three decades, Paul Wick had a front row seat in the evolution of the tech industry. He shares what he’s learned and what the future might hold in the sector.