Important Information
This information is provided for general educational purposes only without regard to your particular investment needs. This material, including any attachments or hyperlinks, should not be taken as investment or tax advice of any kind whatsoever (whether impartial or otherwise) on which you may rely for your investment decisions, nor be construed as an offer, solicitation or recommendation for any investment strategy, product or service. Investors should consult their financial and tax adviser before making investments in order to determine the appropriateness of any investment discussed herein.
Material authored by any particular Artisan Partners individual or team represents their own views and opinions, which may or may not reflect the views and opinions of Artisan Partners, including its autonomous investment teams or associates. Statements are based on current market conditions and other factors, which are as of the date indicated and are subject to change without notice. While this information is believed to be reliable, there is no guarantee to the accuracy or completeness of any statement in the discussion.
All investments are subject to risk, which includes potential loss of principal. Past performance is not indicative of future results.
This material may reference index or other information that is subject to copyright by its respective service provider, including the following: MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used to create indices or financial products. This report is not approved or produced by MSCI. Frank Russell Company ("Russell") is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell® is a trademark of Frank Russell Company. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes and/or Russell ratings or underlying data and no party may rely on any Russell Indexes and/or Russell ratings and/or underlying data contained in this communication. No further distribution of Russell Data is permitted without Russell's express written consent. Russell does not promote, sponsor or endorse the content of this communication. The herein referenced S&P index ("Index") is a product of S&P Dow Jones Indices LLC ("S&P DJI") and/or its affiliates and has been licensed for use. Copyright © 2024 S&P Dow Jones Indices LLC, a division of S&P Global, Inc. All rights reserved. Redistribution or reproduction in whole or in part is prohibited without written permission of S&P Dow Jones Indices LLC. S&P® is a registered trademark of S&P Global and Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"). None of S&P DJI, Dow Jones, their affiliates or third party licensors make any representation or warranty, express or implied, as to the ability of any index to accurately represent the asset class or market sector that it purports to represent and none shall have any liability for any errors, omissions, or interruptions of any index or the data included therein. Source ICE Data Indices, LLC, used with permission. ICE Data Indices, LLC permits use of the ICE BofAML indices and related data on an "as is" basis, makes no warranties regarding same, does not guarantee the suitability, quality, accuracy, timeliness and/or completeness of the ICE BofAML indices or any data included in, related to, or derived therefrom, assumes no liability in connection with the use of the foregoing, and does not sponsor, endorse, or recommend Artisan Partners or any of its products or services.
© 2024 Artisan Partners. All rights reserved.
In the News
Lots of stimulus talk making today’s headlines. Whether global economies are on the verge of recession is unknowable—but global leaders are certainly keen to calm nerves lest investors fret their abilities to respond in the face of such a slowdown.
Broken Brexit?
Hard as it is to believe, the British voted to leave the EU almost 1,200 days ago—yet the country seems no closer to Brexiting than it was on June 22, 2016. How have we arrived (or rather, not arrived) at this point?
In the News
Investors are turning their attention to the upcoming US Fed policy meeting, at which the majority expects a rate cut. We have today’s Fed headlines and other major global news:
In the News
Ample headlines coming off a long weekend in the US—from the inverted yield curve to ongoing global geopolitical machinations of various stripes:
In the News
No August lull in 2019, with global monetary policy chiefs meeting in Jackson Hole, WY, and the ongoing trade dispute between China and the US garnering ample attention. Among today’s headlines:
In the News
Making headlines today is a variety of economic news, including more data which send contradictory messages about the expansion’s resilience. A sample:
Banks Get Some Relief in Volcker-Rule Changes
Banks Get Some Relief in Volcker-Rule Changes
US regulators are easing some of the regulatory headwinds that have faced US financial institutions since Dodd-Frank’s 2010 passage. The recent focus has been on some of the more complex and onerous Volcker rule requirements—which sought to limit banks’ ability to speculate with their own funds. The rule is based on the assumption that such short-term trades only benefit the banks—not their customers—and should therefore be limited. Further, the rule put the onus squarely on the banks to prove otherwise for every transaction that occurred within a 60-day window.
The assumption is faulty, though.
The Disparate Impact of Brexit on UK-Domiciled Companies
The Brexit deadline is looming. Again. While it doesn’t seem inconceivable the can could be kicked yet again, as things currently stand, the UK will leave the EU with or without a deal on October 31. For investors, a clear concern is just how a post-Brexit world will impact companies domiciled in the UK. While it’s nearly impossible to predict with any measure of certainty, the thought experiment is worthwhile.
Gold Price Tops $1,500
Consider first this headline—Gold Price Tops $1,500—and then consider this combination of recent events:
Not All PEs Are Created Equal
Value investing is out of favor. That may be a gross understatement. Growth has outperformed value in 8 of the past 10 years—2011 was a dead heat, and value bested growth in 2016 only to trail by a relative 14% over the next 2 years. According to some measures, growth stocks trade at a nearly 50% premium to their value counterparts. That should be cause for some optimism from the value crowd as such extreme disparities tend to sow the seeds of their own undoing. That said, we saw growth premiums stretch as high as 100% during the dot-com era.
We must admit we don’t spend much time worrying about this. We focus on the economics, not the machinations of the market per se or which way the winds of popularity blow. Economics endure and ultimately prevail.
So in this market of massive growth premiums, what is for sale in the value bin?