The Wealth Enterprise Briefing

Michael Zeuner and Sam Sudame of WE Family Offices discuss 2024's economic developments and share their 2025 outlook on portfolio strategies and market trends in the latest episode of The Wealth Enterprise Briefing. They examine how the Federal Reserve's policies, the persistence of a strong job market and shifts in savings and consumption patterns have shaped the investment landscape.Discussion highlights include:Understanding Normalization: Differentiating economic stabilization from a recession and how it impacted market performance.Fixed Income Strategies: The importance of focusing on intermediate-term bonds amid changing interest rate expectations.Equity Market Outlook: How modest reflation could drive growth in high-quality stocks.Economic Influences: The role of pandemic-era savings in shaping growth and inflation patterns.The conversation also touches on the changing role of monetary policy and its influence on both risks and opportunities for the year ahead.Learn more about these economic changes and their effect on investment strategies by listening to the full episode.As always, if you have any questions or need further insights, please don't hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

In the latest episode of The Wealth Enterprise Briefing, WE Family Offices' Michael Zeuner and Sam Sudame examine the U.S. economy’s strong fundamentals as it enters a new economic cycle. They explore what these developments mean for investors and how market dynamics are shaping opportunities.Highlights from their discussion include:Caution with bond duration: Interest rate trends require careful attention to duration risks in bond investments.Equity market trends: The S&P 500's rally this year has been driven by fundamentals, valuations, sentiment and liquidity.Earnings growth and diversification: While early market gains were concentrated in the Mag 7 tech stocks, earnings are now expanding across sectors, creating fresh opportunities.Global opportunities: Mid-cap stocks and international markets in Europe and Japan offer more favorable valuations than U.S. large-cap growth stocks.Strategic diversification: Equal-weighted indices are gaining attention as a way to balance portfolios more effectively.Michael and Sam also discuss political and geopolitical factors, such as the U.S. election results and rising deficits, which could influence market dynamics in the medium term.As always, if you have any questions or need further insights into your investment strategy, please don’t hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

In the latest episode of The Wealth Enterprise Briefing, WE Family Offices’ Michael Zeuner and Sam Sudame discuss insights from WE’s newly released Q3 macro update, providing an overview of current economic conditions and essential macro factors shaping the outlook. They highlight the resilience of the U.S. economy despite fluctuations in interest rates, discussing both positive indicators and potential challenges that investors should monitor.Key insights from their discussion include:Optimistic economic indicators: The U.S. economy shows strength, with the City Surprise Index and U.S. composite PMIs pointing to solid growth. Services are outperforming manufacturing, while the yield curve disinversion signals economic normalization.Growth drivers and risks: Economic growth is propelled by capital expenditures, autos and real estate. Real estate, however, faces headwinds from rising mortgage rates. Key risks include potential job market shifts and inflation spikes, which could influence Federal Reserve policies.Federal Reserve’s recent moves: The Fed’s recent 50-basis-point rate cut is a significant factor, with fixed-income investors advised to manage duration risk carefully to balance returns against potential reinvestment risk.Looking ahead, Michael and Sam hint at further discussions on equity markets and their response to these macro factors. For those interested in a sweeping view of the economy’s trajectory and its investment implications, listen to the full episode for an in-depth exploration.As always, if you have any questions or need further insights into your investment strategy, please don’t hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

In the most recent episode of The Wealth Enterprise Briefing, WE Family Offices’ Michael Zeuner and Matt Farrell explored the process of evaluating investment managers during periods of underperformance. They discussed the importance of assessing managers based on both market context and strategy alignment, underscoring the need for a balanced perspective when managing long-term investments.Key points from the discussion included:Establishing a recommended three-year holding period for investment managers, except when red flags emerge.Using qualitative and quantitative methods to evaluate managers, focusing on communication and risk management.Special challenges involved in evaluating hedge funds, especially in volatile markets, which call for strong conviction and thorough analysis.The episode also touched on the psychological factors investors face when managers underperform, including the discipline required to maintain a long-term perspective. Michael and Matt suggested that clear initial underwriting and regular assessments provide a foundation for confident decision-making during both positive and challenging market cycles.Listen to the full episode for deeper perspectives into evaluating managers effectively during times of underperformance.As always, if you have any questions or need further insights into your investment strategy, please don’t hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

As interest rates potentially come down, driven by the Federal Reserve, the landscape for investors is shifting. In this episode of The Wealth Enterprise Briefing, managing partner Michael Zeuner and senior investment manager Sam Sudame continue their series on the implications of a steeper yield curve, discussing how it could impact equity investors.Key insights discussed:Lower interest rates reduce the cost of capital, encouraging business investment.Value sectors like industrials, materials, and real estate should benefit.Small and mid-cap stocks could outperform due to lower rates boosting earnings.A domestic U.S. focus supports small and mid-cap growth.Sam explains that the dominance of tech and growth stocks may give way to value stocks, as modest inflation and higher growth favor sectors that previously underperformed.Additionally, Sam recommends investors consider diversifying portfolios to balance growth with value saying, "I recommend investors be better diversified. Keep a balance between value and growth and have allocations to not just large caps but mid-caps and small caps to have a more holistic equity allocation."Missed the previous episode on the yield curve's implications on fixed-income strategy? Tune in here.As always, if you have any questions or need further insights into your investment strategy, please don’t hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

For the past few years, short-term bonds and money market instruments have offered investors attractive returns, typically without requiring substantial exposure to interest rate risk. However, as the yield curve normalizes, the short end of the curve may no longer represent the most strategic opportunity.In the latest episode of The Wealth Enterprise Briefing, managing partner Michael Zeuner and senior investment manager Sam Sudame discuss the implications of a more normalized or steeper yield curve, focusing on its impact for fixed-income investors.Key points discussed include:Yield curve transformation: The curve has moved from inverted to positively sloping, indicating a new dynamic for investors.The need to shift: With the Federal Reserve expected to continue reducing rates in the coming years, fixed-income investors need to consider adjusting their strategy.The “sweet spot”: The middle part of the yield curve, commonly known as the "belly," presents an opportunity for investors to achieve solid returns while limiting exposure to excessive interest rate risk.Avoid long durations: For the majority of individual investors, the risks linked to longer durations tend to outweigh the potential rewards.Stay tuned for the next episode, where Michael and Sam will discuss the broader implications of a more normalized, steeper yield curve for the equity market.As always, if you have any questions or need further insights into your investment strategy, please don’t hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

In this episode of The Wealth Enterprise Briefing, Michael Zeuner, managing partner at WE Family Offices, and Sam Sudame, senior investment manager, discuss the Federal Reserve's decision to reduce interest rates by 50 basis points. During the conversation, they analyze the reasoning behind this decision and its comprehensive impact on the U.S. economy.Sudame explained that the Fed's rate cut marks a shift in monetary policy with two main drivers behind this decision: inflation control and economic growth support. Over the past few years, inflation surged to a staggering 9%, prompting the Fed to raise rates by 500 basis points. Now that inflation has cooled to around 2%, the Fed has greater flexibility to adjust its approach, no longer needing restrictive rates to keep inflation in check. With inflation stabilized, the Fed can pivot towards nurturing economic growth. The rate cut is intended to prevent high borrowing costs from impeding business expansion or tipping the economy into a recession.Additionally, they discussed:How this rate cut may signal the end of the pandemic-era economic policies and the beginning of a new, more stable phase.The key sectors that may benefit from the rate cut include housing, the auto industry and Corporate Investment (Capex).How the reversion of the yield curve to a positive slope occurred and why it is a key signal of economic optimism.Stay tuned for future episodes when Michael and Sam will further discuss the implications of the yield curve's shift and what it means for fixed-income investments.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

In this episode of The Wealth Enterprise Briefing, Michael Zeuner, managing partner at WE Family Offices, is joined by Matt Farrell, senior investment manager, to explore how private investors can gain better insights into their portfolios by looking beyond traditional metrics like Internal Rate of Return (IRR) and Net Asset Value (NAV).Key points discussed include:The widespread decline in venture capital returns across recent years and what it means for investors.Why focusing solely on IRRs and NAVs can be misleading for assessing investment health.The value of understanding company-level metrics like operating income and occupancy rates.How transparency and detailed reporting from fund managers are essential for evaluating the real performance of assets.Patience is crucial — why long-term growth in underlying assets may not immediately reflect in returns.Michael and Matt underscore the importance of going beyond surface-level data to truly understand the health of underlying assets in a portfolio. They emphasize that while the path can be slow and require patience, private investors who focus on detailed metrics and maintain transparency with fund managers are better positioned to make informed decisions. As always, if you have any questions or need further insights into your investment strategy, please don't hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

In this episode of The Wealth Enterprise Briefing, Michael Zeuner, managing partner at WE Family Offices, and Sam Sudame, senior investment manager, examine the impact of interest rates on global capital markets and asset valuations in depth. They discuss why market participants closely watch the Federal Reserve's every move and the anticipation of Fed Chairman Jerome Powell's insights at the upcoming Jackson Hole meeting.Key discussion points include:How interest rates shape asset valuations and capital marketsThe relationship between interest rates and bond pricesThe Federal Reserve’s dual mandate of inflation and employment, and its influence on interest rate policyExpectations for upcoming rate cuts and their potential effects on economic growthThe significance of a "soft landing" for the economy and why it’s crucial for investorsMichael and Sam break down the Federal Reserve's monetary policy, highlighting its broader economic implications and how staying up-to-date on interest rate trends could affect your investment approach.As always, if you have questions about your investment strategy or would like to talk about incorporating these perspectives into your financial situation, please don't hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.

In the latest episode of The Wealth Enterprise Briefing, Michael Zeuner, Managing Partner at WE Family Offices, discusses with Joseph Kellogg, Partner and Head of Wealth Planning, the intricacies of the newly implemented Corporate Transparency Act (CTA) and its far-reaching implications for both U.S. and international families.Key points explored in this episode include:The scope and purpose of the Corporate Transparency Act, including which entities are affectedDetailed explanation of reporting requirements, including what information must be filed and with whomThe concept of "ultimate beneficial ownership" and its complexities in various entity structuresCritical deadlines for compliance and the potential consequences of non-compliancePrivacy considerations and how FinCEN manages reported informationMichael and Joseph offer helpful discernment for understanding this new regulatory landscape. They emphasize understanding one's obligations under the CTA and stress the need for expert guidance in complex situations, particularly for families with intricate entity structures or international connections.As always, if you have questions about your investment strategy or would like to discuss how these insights apply to your personal financial situation, please don't hesitate to contact us.Important Information:This podcast contains our current opinions and commentary that are subject to change without notice. Our commentary is distributed for informational and educational purposes only and does not consider the specific investment objective, financial situation, or particular needs of any recipient. Information contained herein has been obtained from sources we believe to be reliable, but we do not guarantee its completeness or accuracy. The information contained herein does not constitute legal or tax advice to any person. Please consult with your legal or tax advisor regarding any implications of the information presented in this presentation.