Portfolio Intelligence Podcast

The podcast discusses the history and benefits of ETFs, their evolution and acceptance of fixed income products, the launch of new ETFs by John Hancock, the outlook for ETFs and growth in the industry, and innovations in the marketplace and opportunities for advisors.

Co-Chief Investment Strategists Emily R. Roland, CIMA, and Matthew D. Miskin, CFA, discuss what the U.S. Federal Reserve’s (Fed’s) current outlook for inflation and growth mean for the maturity of the current economic cycle. After the recent rise in interest rates and a $1.9 trillion stimulus package, investors are looking for clues when the Fed might begin to tighten. However, at the March meeting, the Fed signaled it was willing to let inflation run over 2%, which pushed back expectations of a potential rate hike. The investment strategists explain what this could mean for both equity and fixed-income portfolios.

Sandy Sanders, CFA, senior portfolio manager at Manulife Investment Management, weighs in on the health of the consumer and why conditions now are very different from previous economic recoveries. He discusses how technology, demographics, and productivity increases could shape an economy that’s rebounding after the pandemic recession. The portfolio manager also outlines various bullish and bearish scenarios, as well as the sectors where he sees the best investment opportunities now.

Co-Chief Investment Strategists Matthew D. Miskin, CFA, and Emily R. Roland, CIMA, discuss why they like emerging markets as one way to position for a new cycle as the global economy recovers from the pandemic. In U.S. equities, they see signs of a rotation to value and small-cap stocks. Meanwhile, bond flows suggest a preference for passive investment, but the strategists make the case for an active approach centered on higher-quality credit and rising interest rates.

Michael J. Scanlon, Jr., CFA, portfolio manager at Manulife Investment Management, discusses the recent stock market volatility and why companies beating quarterly earnings estimates may be getting lost in the shuffle as investors focus on recent hedge fund losses. Scanlon, who co-manages the John Hancock Balanced Fund, delves into the mechanics of shorting a stock, how short squeezes happen, and why short sellers are often unfairly labeled as villains. The portfolio manager also offers his thoughts on the recent explosion of special purpose acquisition companies (SPACs), signs of frothiness in the markets, and the importance of maintaining a long-term mindset during volatile times.

Thomas Mucha, geopolitical strategist for Wellington Management, discusses what investors should be looking for during the pivotal first 100 days of Joe Biden’s presidency. The longtime Washington observer expects an intense focus on combating the COVID‐19 pandemic and rolling out economic stimulus. Other key issues to watch during Biden’s first 100 days include the possible introduction of an infrastructure deal and a more multilateral approach to foreign policy, Mucha explains. Although we recently examined the key early economic takeaways and positioning after the election, this episode also covers the longer‐term investment implications of a Biden presidency.

Co-Chief Investment Strategists Emily R. Roland, CIMA, and Matthew D. Miskin, CFA, evaluate how their top portfolio ideas performed last year and share how they’re positioning for 2021. The co-strategists explain why they’re looking for some parts of the equity markets—including traditional value sectors, mid caps, and emerging markets—to catch up to the hot performance of dominant mega-cap stocks in 2021. In fixed income, they discuss why they’re more constructive on high-yield corporate debt, even though they still like high-quality bonds such as U.S. Treasuries for diversification and some protection if high-flying stocks falter this year. Finally, Matt and Emily offer their thoughts on the recent turmoil in Washington and how markets and the economy may be affected by the election results.

2020 was one for the record books in terms of market and economic volatility. In the latest Portfolio Intelligence podcast, Co‐Chief Investment Strategists Emily R. Roland, CIMA, and Matthew D. Miskin, CFA, look back at the year that was, and offer their 2021 outlook. The strategists discuss how COVID‐19 vaccines may alter the economic trajectory, what they’re watching in equity markets, why inflation should remain subdued, and where to find yield in a low‐rate environment.

Putting credit research at the center of a fixed‐income portfolio is the key to robust active management inside the $20 billion John Hancock Bond Fund. In his interview with Portfolio Intelligence host John Bryson, fund manager Howard Greene of Manulife Investment Management describes how he and his team do credit research differently than many competitors. With individual analysts providing full sector coverage up and down the credit‐quality spectrum, Howard outlines how this approach helps analysts evaluate the upper bounds of high yield and the lower tiers of the investment‐grade market segments. According to Howard, this can help uncover more frequently overlooked value opportunities while enabling more agnostic views on where to find the most attractive sources of yield.