Insight is Capital™ Podcast

David 'Rosie' Rosenberg joins us for 98 minutes to discuss his latest outlook for the economy, bond and equity markets, and two of his current investment recommendations. We jump right in to David Rosenberg's outlook for the economy and markets. [1:24] Setting the stage for what's to come in our conversation David Rosenberg describes the conditions he thinks are likely to occur and what that means for the economy and markets. At 38X valuations he says the temptation to get in the market in equity markets is high, and shares two of his top ideas on where to position in the bog of uncertainty, thematically. He points to attractive market segments in terms of expected returns going forward.[5:52] and shares his rationale for this top ideas [9:50] including his views on long bond yields.Mike asked David if he could explain backup in the yield curve.[11:19] David goes on to explain his thoughts on the ab and flow of US treasury yields [12:43] and describes his agreement with Jerome Powell's — is the first pandemic in a century going to be the cause of sustainable inflationary future? Try to wrap your head around that, he says.[13:06] he talks about the feds unbelievable GDP forecast for the fourth quarter and also about the likelihood that a $3.5 trillion fiscal package will be passed. [16:38] Adam asks David about whether or not commodities will go through an upward repricing and David shares his point of view on the big picture and describes why some of that thinking maybe questionable, [23:42] and we get into a deeper conversation about supply chain problems as well as the flaws in wage inflation.Dave points out the difficulties that exist where wages are concerned considering that millions of people are dragging their feet returning to the work, and what the impact of that might be. Here, [27:29] Dave describes the coming "Growth recession" and explains his definition of that – the big story next year will not be inflation. We talk about what Dave calls the economy in 3-D—disruptive technology, demographics, and the egregious debt that's been incurred over the last 2 years.[31:41] Dave elaborates on his Outlook for treasury yields. [35:43] and we segue into the cut off of pandemic paychecks and what that means for consumption.At [52:38] a heated debate about how drivers of inflation, imputed rents, used cars are not being discounted properly, and are expressing an unsustainable share of inflation . Inflation is about the rate of change in inflation not the rate of inflation itself. Rent as the cost-of-living, and how that's being misunderstood because of the way the BLS managers that calculation.[1:01:09] David clarifies further how we're not in Stagflation, how different this period is from the 70s [1:06:19]At [1:09:02] our conversation turns to a debate about how inflationists got it wrong in 2008 when he was Chief Economist at Merrill Lynch, in the lead up to the GFC, and the realities how much room the Fed has to raise rates in the current environment, and why Dave is bullish on treasuries at this point. Are we entering a 'Commodity Supercycle?" [1:15:22] Dave talks about what the market is missing at this point.Is Inflation Transitory? [1:21:52]How often is the Fed right on the economy? We've never seen anything like this before [1:24:29].Is China in a Lehman moment? [1:30:24]The Wrap on that cheery note [1:31:13]And a final question for Dave - Would you rather spend a week in the past or a week in the future? [1:37:11]Thank you David for an eye-opening conversation about the state of the economy and markets!Download Dave's Special Report (Complimentary) here: https://links.advisoranalyst.com/rosenbergRecorded on September 27, 2021Where to find David RosenbergDavid Rosenberg on LinkedinRosenberg Research & AssociatesWhere to find the Raise Your Average crew:ReSolve Asset ManagementReSolve Asset Management BlogMike Philbrick on LinkedinRodrigo Gordillo on LinkedinAdam Butler on LinkedinPierre Daillie on LinkedinJoseph Lamanna on LinkedinAdvisorAnalyst.com*****Music credit: In Hip Hop, Paul Velchev (8MJZA6T3LK)

Jeffrey Sherman, Deputy CIO, DoubleLine Capital joins us for nearly 90 minutes on all things investing, and how he's navigating this bizarre market. Our discussion turns to positioning fixed income, equities, commodities, real assets, as well as getting into the nuts and bolts of how he manages money at DoubleLine Capital.  To begin, Jeffrey talks about his career path [1:27] and then we get into his expectations for the economy, markets, rates, wages, housing and Inflation among other things [6:20], [6:42] and explaining why the inflation picture is much more difficult to distill [13:04]. Jeffrey Sherman points to where investors can think about repositioning some of their 40% fixed income sleeve [15:14] for example, right now "It's not a High Yield at that point, it's just yield.," says Sherman.[19:07] Our conversation then turns to commodities [21:20] the bottlenecks [28:19], backwardation [30:00], as well as precious metals [32:23], and ESG's role [34:30]. We go on to talk about Jeffrey's CAPE ratio based equity strategy [43:09], and what insights and signals he's getting from the market, then Jeffrey talks about why growth stocks don't benefit from the rising rates environment, as well as his concept of scarcity, growth and duration of stocks [47:26]. At this point, [56:09] we ask Jeffrey to explain how his unique and successful CAPE ratio equity/bond strategy works, and how he's been able to deliver alpha.[1:03:39] If you're wondering at all about creative ways of how to think about constructing portfolios that express the needs and objectives and risk management of all types of investors our conversation will fill in some of those blanks for you. The conversation then turns to a discussion about the language and jargon game, Smart Alpha, even Cliff Asness, as well as Jeffrey's parting thoughts for advisors [1:15:07].This podcast was recorded September 20, 2021Where to find Jeffrey Sherman, DoubleLine CapitalThe Sherman Show PodcastSherman Show on Twitter - @ShermanShowPodJeffrey Sherman on LinkedinWhere to find the Raise Your Average crew:ReSolve Asset ManagementReSolve Asset Management BlogMike Philbrick on LinkedinRodrigo Gordillo on LinkedinAdam Butler on LinkedinPierre Daillie on LinkedinJoseph Lamanna on LinkedinAdvisorAnalyst.com******"You don't have to be brilliant, just wiser than the other guys, on average, for a long time." Charlie MungerWelcome to Raise Your Average, our deep dive journey into learning from the people and process behind the world of investing. Through conversations with leaders in the investments game, we peel back the layers of the onion on how these holders of the keys to the kingdom allocate their time, their energy, and their dollars.We are all students and we are all teachers. We are the average of the 5 people we spend the most time with. Come hang out with us for a while and raise your average, as we raise ours.Music credit: In Hip Hop, Paul Velchev (8MJZA6T3LK)

Adam Butler, CIO and Rodrigo Gordillo, President, of ReSolve Asset Management Global join Pierre Daillie, from AdvisorAnalyst.com for an amazing discussion about ReSolve's latest research paper, "Return Stacking: Strategies for Overcoming a Low-Return Environment." In our discussion we cover the following points on this novel investment concept of portfolio construction:- Stretched valuations in equities and fixed income imply depressed returns and higher potential volatility for traditional portfolios.- Reaching for yield or increasing exposure to pro-cyclical assets may help compensate for low expected returns, but can increase portfolio risk.- Reducing exposure to equities and bonds to accommodate non-correlated assets or alternative strategies may reduce risk, but at the expense of lower potential returns and painful tracking error.- We introduce a novel investment concept, accessible to all investors, which is designed to seek higher returns with less risk and low tracking error by using new products which, in combination, can provide more than $1 of exposure for every dollar invested.- The proposed solution harnesses the full potential of traditional portfolios plus the opportunity for higher returns and risk reduction from non-correlated investments.- This capital efficiency allows for the introduction of non-correlated return streams that stack on top of core portfolio exposures.- We show how to maximize “Return Stacking” opportunities by choosing alternative fund managers already engaging in capital efficient strategies.You can download the paper here (https://investresolve.com/return-stacking-strategies-for-overcoming-a-low-return-environment-lp/).*****Where to find the Raise Your Average crew:ReSolve Asset ManagementReSolve Asset Management Blog Mike Philbrick on LinkedinRodrigo Gordillo on LinkedinAdam Butler on LinkedinPierre Daillie on LinkedinJoseph Lamanna on LinkedinAdvisorAnalyst.com*****"You don't have to be brilliant, just wiser than the other guys, on average, for a long time." Charlie MungerWelcome to Raise Your Average, our deep dive journey into learning from the people and process behind the world of investing. Through conversations with leaders in the investments game, we peel back the layers of the onion on how these holders of the keys to the kingdom allocate their time, their energy, and their dollars. We are all students and we are all teachers. We are the average of the 5 people we spend the most time with. Come hang out with us for a while and raise your average, as we raise ours.Music credit: In Hip Hop, Paul Velchev (8MJZA6T3LK)

Richard Heft, President, and Andrew Broadhead, Head of Content, at EXT. Marketing, and co-authors of the bestselling guide, The Ascendant Advisor, join us to talk about how advisors can transform their practice into a competitive business magnet in today's digital world. If you're an advisor, then this conversation is entirely all about how you can change the way your new clients find you, find out about you, and get to know you, so they're familiar with you, well before they meet you. It's also just as much about how you can widen the scope of your existing client relationships, to build stronger bonds with them, to let them further into your realm, so that you become more referable, in ways you might not have imagined.Investment advisors spent the better part of the last 18 months successfully maintaining and growing their businesses, mostly from within their existing client bases. It's apparent COVID-19 forced us on to every digital platform out there. Now we use Zoom, Webex, and Teams for example for most of our meetings, and Facetime and similar to stay in touch with our families. What has been lost however, is ability to be in the same room with our people and our clients. And, anecdotal evidence suggests that the majority of people are reluctant to come to an office for a meeting or, for that matter meet in their homes, to get to know you, the advisor.It's been relatively much easier to maintain existing relationships, particularly where business is concerned, than to develop new ones. Advisors in particular have been challenged when it comes to bringing on new clients, having a hard time being able to coalesce and relate personally from behind the small screens of dgital conferencing. So how can advisors up their prospecting game. For that matter, how can any consultative professional up their effectiveness and their competitiveness when it comes to forming new relationships with new clients?Expect to walk away with some juicy takeaways about how you can transform the nature of your advisory business. And, get yourself a copy of The Ascendant Advisor. This book is chock full of insight, and actionable but not costly tips that you can start using today.Where to find Richard Heft and Andrew Broadhead:Richard Heft on LinkedinAndrew Broadhead on LinkedinThe Ascendant Advisor WebsiteEXT. MarketingWhere to find the Raise Your Average crew:ReSolve Asset ManagementReSolve Asset Management BlogMike Philbrick on LinkedinRodrigo Gordillo on LinkedinAdam Butler on LinkedinPierre Daillie on LinkedinJoseph Lamanna on LinkedinAdvisorAnalyst.com******"You don't have to be brilliant, just wiser than the other guys, on average, for a long time." Charlie MungerWelcome to Raise Your Average, our deep dive journey into learning from the people and process behind the world of investing. Through conversations with leaders in the investments game, we peel back the layers of the onion on how these holders of the keys to the kingdom allocate their time, their energy, and their dollars. We are all students and we are all teachers. We are the average of the 5 people we spend the most time with. Come hang out with us for a while and raise your average, as we raise ours.Music credit: In Hip Hop, Paul Velchev (8MJZA6T3LK)

Phil Mesman, lead fixed income portfolio manager at Picton Mahoney sits down with Pierre Daillie to discuss credit investing, a widely underrepresented category of alternative fixed income in Canada.They discuss the current challenges long-only bond investors face and why today’s environment has presented an unprecedented need to think alternative when it comes to your fixed income book. Mesman gets right under the hood of Special Situations credit investing and provides his thoughts on a real time event, the Evergrande situation.

Jeffrey Sherman, Deputy CIO of Los Angeles-based DoubleLine Capital, which manages $137-billion in AUM joined us for an hour-long chat last week.He is DoubleLine's lead portfolio manager for multi-sector and derivative-based. He also oversees all of DoubleLine's investment teams and strategies. Sherman was named by Money Management Executive as one of the "Ten Fund Managers to Watch" in 2018. He began his career at TCW where he focused on fixed income and real asset portfolios.We discuss his career, his beliefs, as well as diving into his macroeconomic and market outlook, his outlook for fixed income, and how investors looking for better yield and ballast can position in this market where traditional government bond yields are at historic lows, and bond and equity valuations are at all time highs."We are in bizarro world," says Sherman. "You have this idea that you have some of the highest inflation prints we've seen. And if you strip out the commodity prices and look at core inflation measures, in some instances, it's, you know, the, the highest prints we've seen at 40 years."Coinciding with that, you talked about the bond rally over 40 years. We're talking about inflation levels we haven't seen in 40 years. So why are rates where they are? Well, that's the 10 or $20 trillion question when it comes to the treasury."Sherman shares his strategic thinking on duration, interest rates, and credit risk and how investors could approach the fixed income market, and position their fixed income sleeve not only for yield, but with a view to keeping risk in check. In our conversation Sherman talks about several good alternatives to bonds that investors can consider.

Annamaria Testani, Senior Vice President, National Sales at National Bank Investments leads us in an enlightening conversation about developing a client communication journey that can have a dramatic positive impact on raising the value of your stock as an advisor with each and every client.As an advisor you're operating in a field along with thousands of your competitor peers. The investment industry is becoming increasingly commoditized in terms of its offerings of solutions. Setting yourself apart from the field has always been a significant challenge you've had to overcome. So, how can you set yourself apart, how do you differentiate your offering, today, to be successfully competitive?Creating Value as an Advisor Through Active ListeningIn the first segment of this three part series, Annamaria defines the art of active listening, and provides clear guidance on how active listening can elevate the quality and stickiness of your relationships with your new and long-time clients, as well as how valuable that is when engaging prospective clients.

Annamaria Testani, Senior Vice President, National Sales at National Bank Investments leads us in an enlightening conversation about developing a client communication journey that can have a dramatic positive impact on raising the value of your stock as an advisor with each and every client.As an advisor you're operating in a field along with thousands of your competitor peers. The investment industry is becoming increasingly commoditized in terms of its offerings of solutions. Setting yourself apart from the field has always been a significant challenge you've had to overcome. So, how can you set yourself apart, how do you differentiate your offering, today, to be successfully competitive?Part 2: Reframing and Defining Your Value as an AdvisorAs an advisor you're operating in a field along with thousands of your competitor peers. The investment industry is becoming increasingly commoditized in terms of its offerings of solutions. Setting yourself apart from the field has always been a significant challenge you've had to overcome. So, how can you set yourself apart, how do you differentiate your offering, today, to be successfully competitive?In the next segment, part 2 of 3, Annamaria describes how problematic our unconscious biases are, and how they get in the way of being able to have highly productive conversations with your prospective and existing clients. Annamaria provides a clear understanding of how you can consciously identify and set aside your personal biases, as well as understand your clients', so that you may become a more objective and more valued participant in your client conversations. People yearn to feel deeply understood. Annamaria discusses a universal method for eliciting the highest-value feedback you can get whether its from your clients or those dearest to you.

Annamaria Testani, Senior Vice President, National Sales at National Bank Investments leads us in an enlightening conversation about developing a client communication journey that can have a dramatic positive impact on raising the value of your stock as an advisor with each and every client.As an advisor you're operating in a field along with thousands of your competitor peers. The investment industry is becoming increasingly commoditized in terms of its offerings of solutions. Setting yourself apart from the field has always been a significant challenge you've had to overcome. So, how can you set yourself apart, how do you differentiate your offering, today, to be successfully competitive?How to Adapt Your Value to Conquer Disruptive ChangeAs an advisor you're operating in a field along with thousands of your competitor peers. The investment industry is becoming increasingly commoditized in terms of its offerings of solutions. Setting yourself apart from the field has always been a significant challenge you've had to overcome. So, how can you set yourself apart, how do you differentiate your offering, today, to be successfully competitive?In the third and final segment, you will discover a line of conversation that serves to subtly make your clients aware of the value of the benefits they receive from their relationship with you.We discuss how to take what you have learned in the process with your clients, and at every step of the way, use it to adapt your methods, and reframe your practice as your clients' most invaluable advisor. You'll also how learn to adapt and differentiate yourself highly to disruptive changes taking place in the industry and investing, by easily taking charge of difficult or controversial advisory topics.

Justin Castelli, RIA, founder of RLS Wealth Management joins the RYA Crew to talk about his very successful journey in personal brand building as an advisor, that began when he established his own RIA, after being an advisor for 10 years. Justin talks about when and how he decided to use the power of blogs, video and podcasts to create a strong persona that reflected his values, personality and knowledge, and grew the footprint of his Indiana-based firm from local to nationwide.Since then, Castelli has widened the scope of his work to co-developing The AGC Community (Advisor Growth Community) an advisor marketing peer group that meets on a regular basis to exchange marketing and process experiences with one another. Justin has been a featured guest speaker at some of the world's largest financial conferences where he has shared his experience with personal brand building with thousands of advisors.This year, Castelli was recruited to join the team at Onramp Invest, a company founded by CEO, Tyrone Ross, a now well known RIA, who has specialized within the HNW cryptocurrency space. Onramp Invest provides advisors with the ability to merge their clients crypto- and defi assets into the investment planning ecosystem, via an IPaaS, Integration Platform as a Service. We talk about what this means for advisors, particularly in the context of being able to advise their clients who already own crypto-assets outside of their purview, and how it has the potential to beneficially impact the way advisors and investors can work together to include their already-owned, or planned crypto-asset investments, into full view of their financial planning.Where to find Justin Castelli, RIAJustin CastelliWhere to find the Raise Your Average (RYA) crew:ReSolve Asset ManagementReSolve Asset Management BlogMike Philbrick on LinkedinRodrigo Gordillo on LinkedinAdam Butler on LinkedinPierre Daillie on LinkedinJoseph Lamanna on LinkedinAdvisorAnalyst.com******"You don't have to be brilliant, just wiser than the other guys, on average, for a long time." Charlie MungerWelcome to Raise Your Average, our deep dive journey into learning from the people and process behind the world of investing. Through conversations with leaders in the investments game, we peel back the layers of the onion on how these holders of the keys to the kingdom allocate their time, their energy, and their dollars.We are all students and we are all teachers. We are the average of the 5 people we spend the most time with. Come hang out with us for a while and raise your average, as we raise ours.Music credit: In Hip Hop, Paul Velchev (8MJZA6T3LK)