Recent market volatility might understandably encourage investors to consider exiting the equity markets until calmer days return. Although timing the market may be tempting during tumultuous periods, it is important to remember the demonstrated benefit of remaining invested in high-quality holdings through periods of volatility. Over the past 30 years, an investor missing just the 10 best days of performance in the S&P would result in a greater than 50% reduction of return, versus remaining invested through the entire 30-year period. Paradigm Capital was founded thirty years ago on the principle of employing a bottom-up research approach designed to identify companies with durable balance sheets and quality management teams that can navigate the difficult periods and emerge stronger on the inevitable other side.
Paradigm Capital Management, Inc.’s Post
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Times of uncertainty – like we're experiencing today – often lead to a reduction in investor activity. But such periods can actually generate some of the most attractive buying opportunities in private markets. In this new paper of our Private Markets Mythbusters Series, Partners Group’s Portfolio Management team explains how investors can navigate uncertain times and strengthen their portfolios with a strategy centered on continuous investment.
Despite investment data showing that strong performance in private markets often emerges from times of uncertainty, such periods appear to coincide – somewhat counterintuitively – with a reduction in investor activity. This investment pattern can often lead to investors missing out on returns and obtaining lower diversification and less stable distributions. In this new article of our Private Markets Mythbusters Series, we explain why periods of increased volatility can generate some of the most attractive buying opportunities in private markets. Using a theoretical portfolio and over 20 years of private markets cash flow data, Partners Group’s Portfolio Management team shows how investors can take advantage of these opportunities by employing a playbook centered on investment continuity and a flexible allocation framework. This approach, as we explain, can strengthen portfolio construction, with improved performance and more stable distributions throughout market cycles. Read more here: https://lnkd.in/eKxc3ifV
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Investment Management Coach | Financial Radio Host & Author | Financial Planner | President at Paul Winkler, Inc.
Paul and Ira talk about how ubiquitous market timing is in the investment industry and how investors never really know how to measure whether or not their portfolios are successful. The reality is that a portfolio can go up 190% in 20 years and underperform the worst asset category during that time. Companies don’t usually educate investors about risk and return in investing, and instead they try to use track records and fund ratings to push products that make them the most money.
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Timothy Horsburgh, CFA and Anisha Bhardwaj present the ZW Research Team's latest thinking. Read more below for our current insights and outlook on global markets: Innovation is Global, So Why Invest Just Locally Every investor should aspire to own shares in the best companies in the world. While the global market leading companies are headquartered in many different countries, their operations and customers are spread across the world. Why should investors restrict themselves to one market when the best companies are found across multiple markets all around the world? #marketinsights #investment #marketoutlook #portfolio #markets #innovation #global
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The next paper in our Private Markets Mythbusters Series is out! This time Partners Group’s Portfolio Management team discusses why continuous investment can be the best approach to strengthen portfolios and navigate volatile markets.
Despite investment data showing that strong performance in private markets often emerges from times of uncertainty, such periods appear to coincide – somewhat counterintuitively – with a reduction in investor activity. This investment pattern can often lead to investors missing out on returns and obtaining lower diversification and less stable distributions. In this new article of our Private Markets Mythbusters Series, we explain why periods of increased volatility can generate some of the most attractive buying opportunities in private markets. Using a theoretical portfolio and over 20 years of private markets cash flow data, Partners Group’s Portfolio Management team shows how investors can take advantage of these opportunities by employing a playbook centered on investment continuity and a flexible allocation framework. This approach, as we explain, can strengthen portfolio construction, with improved performance and more stable distributions throughout market cycles. Read more here: https://lnkd.in/eKxc3ifV
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It's rare for me talk to global asset owners about the current environment without the conversation turning to one or more of the "three D's": divergence, disruption and dispersion. In this note, my colleague Nick Samouilhan and I look at how these trends are creating opportunities for investors in alternatives -- and which alternative strategies are best suited to address each challenge head-on.
Investing in “3D”: Forces shaping alternatives opportunities in 2024
wellington.com
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Despite investment data showing that strong performance in private markets often emerges from times of uncertainty, such periods appear to coincide – somewhat counterintuitively – with a reduction in investor activity. This investment pattern can often lead to investors missing out on returns and obtaining lower diversification and less stable distributions. In this new article of our Private Markets Mythbusters Series, we explain why periods of increased volatility can generate some of the most attractive buying opportunities in private markets. Using a theoretical portfolio and over 20 years of private markets cash flow data, Partners Group’s Portfolio Management team shows how investors can take advantage of these opportunities by employing a playbook centered on investment continuity and a flexible allocation framework. This approach, as we explain, can strengthen portfolio construction, with improved performance and more stable distributions throughout market cycles. Read more here: https://lnkd.in/eKxc3ifV
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Apollo Global Management, Inc. The Impact of Passive Investing The rise of passive investing has had a significant impact on financial markets in the last three decades, especially on its contribution to higher asset-price volatility, reduced liquidity, and possible contribution to heightened market concentration. By analyzing the substantial shift of assets from active to passive strategies—particularly through the growth of ETFs and retirement-savings plans, such as a 401(k)—this paper illustrates how passive investors, who primarily track major indices, have contributed to reduced price elasticity and market responsiveness, which, in turn, have led to amplified price movements, decreased liquidity, potential macroeconomic inefficiencies, and a disproportionate concentration of market influence in a few dominant stocks, such as the Magnificent Seven.
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Uncover Investment Opportunities on EU stocks via our Sell-Side Research API
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Stock Market Investments - ------a review . Identifies some strategies that may help steer investors through an uncertain second half of 2024. Hedging for risk: Given multiple sources of risk,an understanding of hedging strategiesincluding how and when to use them can potentially prepare portfolios for unexpected events. Strategies include direct hedges “Different techniques offer unique advantages and limitations depending on market cycles&risk environments A multi-asset solutions of alternatives for Quantitative Investment Strategies team. Public/private credit serve as elements in portfolios. Increase in spending that Momentum simply captures idea that equity market's most recent winners will continue to outperform laggards. AI optimism has driven tech giants performers,higher for longer rateshas consistently pushed down shares of smaller& less profitable companies.
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Traditional investment research relies on financial analysts to make stock recommendations. We learned through experience that this is not enough because as Prof. Kahneman explained “We are blind to our blindness.” At our Quality Growth Team, we are lucky to work side by side with three outstanding investigate analysts to help us indentify our blind spots. Robert Berner, Mara Der Hovanesian, Zhen Li Learn more here: https://bit.ly/40R6YNT #InvestmentResearch #InvestigativeJournalism #QualityGrowth
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