Gaining Perspective

The fixed income market is on the verge of having its worst year of performance in several decades, and for many of us, the worst of our careers – but there are still fixed income opportunities for investors to consider. In our discussion, we want to share with you insight on a segment of the fixed income market that we believe presents an opportunity for investors – municipal bonds. - Here is a link to the MFS site. Here are more links to find out about MFS and Fixed Income: Fall Fixed Income What's Up With State and Local Tax Receipts? US Taxable Municipal Bonds - Time to Consider a Strategic Allocation Fixed Income Insights Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.

Among financial advisors, 57% have reported spending a significant portion of their time discussing non-financial topics with clients. To retain clients, advisors need to provide a more connected and emotional financial experience to help clients achieve and sustain financial freedom. The role of an advisor is changing, and advisors should use technology for the more technical aspects of the job, to focus on the emotional, human-to-human connections. As advisors’ roles evolve, they face ongoing challenges of capacity and scale. To respond, they must be intentional about how they use their time, where they invest, and the new skills they develop. My guests will delve into this topic, and why it requires the right infrastructure to maintain capacity, and how advisors can use specialization, partnership, technology, and operations to gain capacity and grow. - Links to resources about SEI and its advisor offering About SEI’s Advisor Business: https://www.seic.com/rias-independent-advisors/overview Link to Growth Lab: https://info.seic.com/welcome-to-the-sei-growth-lab Link to Scale with Technology toolkit: https://info.seic.com/scalewithtech Link to Scale with Operations toolkit: https://info.seic.com/growth-lab-scale-with-operations Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.

The advisors who are listening to this podcast will start a financial-planning process with a risk assessment for a client.  That exercise will evaluate how much volatility the client can tolerate. It will serve as input to constructing a portfolio that optimizes returns given a client’s risk tolerance. My guest today is here to explain why that is the wrong approach.  The problem is not to minimize volatility, he says, but to figure out how money a client needs, when they need it, and to solve for that problem. - Here is a link to the Nebo site. a. Investing for Retirement III: Understanding and Dealing with Sequence Risk Sequence of return risk is entirely ignored in much of academic finance. But it is a meaningful risk for the vast majority of investment portfolios and there are useful tools that can mitigate its effects. We believe a portfolio construction framework that takes into account the lifespan of the portfolio and its expected cashflows can account for sequence of return risk better than any standard single-period optimization. And by dynamically reallocating portfolios, portfolio managers can substantially further improve outcomes for their clients b. Investing for Retirement II: Modeling Your Assets Standard financial industry practice builds retirement portfolios using mean-variance optimization and validates them using Monte Carlo simulations that assume asset returns are a random walk. The unsurprising result of a process stuck over 50 years in the past is portfolios that burden future retirees with an unnecessarily high risk of financial ruin. We believe an approach to retirement investing that better models and understands the ways in which financial markets differ from the outdated academic assumptions of market efficiency and random walks will result in substantially superior portfolios. c. Investing for Retirement: The Defined Contribution Challenge The retirement landscape has changed. The risk of failure with the traditional glide paths and savings/spending assumptions seems to us to be disturbingly high. To address this shortcoming, we introduce a framework based on a common-sense definition of risk: not having enough wealth in retirement. The goal is not to put investors into yachts, but rather to increase the odds that they have the appropriate level of resources in retirement. We show that dynamic asset allocation – moving your assets – is an essential part of achieving retirement goals. Note: this was one of the most downloaded papers on Advisor Perspectives in 2014. Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.

In September, WisdomTree announced its first blockchain-enabled fund, The WisdomTree Short-Term Treasury Digital Fund (WTSY). The fund brings a mainstream, traditional asset, U.S. Treasury bonds, into the digital ecosystem to unlock use cases and distribution opportunities. Jarrett Lilien, president and COO of WisdomTree, is here to discuss the “why” behind this fund and what it means as traditional asset management moves to the blockchain. We will also discuss: The company's upcoming blockchain-native app, WisdomTree Primel The company’s strategy on crypto and blockchain enabled finance; and And why Jarret believes the future of the asset management industry is in blockchain-enabled finance. - Here are some links to learn more about WisdomTree: WTSY: The Digital Fund Opportunity blog post WisdomTree Prime waitlist My previous podcast with Jarrett Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.

Fear and uncertainty in financial markets driven by inflation-fighting central banks, slowing economic growth and geopolitical tensions has driven risk-off investor behavior. While this can be disorienting, the U.S. Value team at Artisan Partners, led by portfolio manager Daniel Kane, views the current market drawdown as a healthy readjustment to the cost of capital. This comes after years of central bank interventions that distorted asset prices and provided a tailwind for growth stocks. It drove less selective managers to pay higher price multiples. He will explain why today’s shifting financial landscape will create more attractive investment opportunities, particularly for disciplined value investors. - Here is a link to the Artisan Partners web site, and here is a link for more information about the Artisan Value Income fund. Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.

There are continuing pressures on investment portfolios as advisors and their clients need to manage pressures they have not seen for 20 years: market volatility, inflation, rising interest rates and a potentially rising tax rate environment. Some of these pressures have not surfaced in 20 years. With fixed income not holding up as a low-risk part of the portfolio, right now is an opportune time to look at other strategies to protect client portfolios. - Here is a link to the Equitable website Here is the Equitable Annuities link Here is a link to the previous Gaining Perspective episode featuring Scanlon Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.

CAIS is a truly open marketplace for alternative investments, where financial advisors and asset managers can engage and transact directly on a massive scale. Advisors do not have the same access to alternative investments as large institutions. Without that access, advisors have fewer tools to capitalize on opportunities or withstand market downturns. This unlevel playing field puts financial advisors at a meaningful disadvantage when building and protecting wealth. CAIS is aiming to change that.

The right technology platform with the right integrations and support is critical to the success of an advisor's growth and client engagement. Each piece must be right, but it's the blending that drives the value. Understanding the advisor's needs and involving them in the decision process is vital to the success. This needs to be done at all levels of product development, from strategy and design, to testing, support and ongoing feedback. My guest today will explain how he has managed and navigated this process with one of the largest advisor networks, Commonwealth Financial. - Click here to learn more about Commonwealth’s technology solutions. Here is an article by Patrick: An Office Technology Blueprint for Financial Advisors. Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.  

Direct indexing is the most powerful trend sweeping through the advisory profession. When done right, it lets clients build low-cost, tax-efficient, and highly customized portfolios. Those portfolios can track a broad market index or implement a factor-based strategy. They can follow an ESG or sustainability mandate. Here to discuss the latest developments in the direct indexing world are two members of Envestnet’s management team. - Here is a link to the Direct Indexing Overview and a link to the QRG Website. Here is a link to the Quantitative Portfolio brochure. Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022. Disclosure The information, analysis and opinions expressed herein are for informational purposes only and do not necessarily reflect the views of Envestnet. These views reflect the judgement of the author as of the date of writing and are subject to change at any time without notice. Nothing contained in this piece is intended to constitute legal, tax, accounting, securities, or investment advice, nor an opinion regarding the appropriateness of any investment, nor a solicitation of any type. Intended for investment professionals only. Past performance is not indicative of future results. Advisor Perspectives and Envestnet are separate and unaffiliated firms.

Every year, Northern Trust Asset Management issues a multi-asset class, five-year investment outlook known as its Capital Market Assumptions Report. Per the recently released 2023 edition, Northern Trust is expecting market returns to be slightly below long-term historical averages. While they believe lower stock valuations may provide some support, upside will be limited by higher interest rates. They see a somewhat similar dynamic playing out with bonds, where returns will be supported by higher yields that will be capped by flatter global yield curves. Among the Every year, Northern Trust Asset Management issues a multi-asset class, five-year investment outlook known as its Capital Market Assumptions Report. Per the recently released 2023 edition, Northern Trust is expecting market returns to be slightly below long-term historical averages. While they believe lower stock valuations may provide some support, upside will be limited by higher interest rates. They see a somewhat similar dynamic playing out with bonds, where returns will be supported by higher yields that will be capped by flatter global yield curves. Among the six investment themes they’ve identified as driving markets over the next five years are Slow Growth Transitions, which looks at such slow transitions across the globe as pandemic to endemic; globalization to regionalization; and fossil fuels to renewables. Here today to discuss CMA’s themes and forecasts is Chris Shipley. - Here is a link to Northern Trust’s Capital Market Assumptions Report. Introducing AP Premium! Download and brand thousands of articles, summaries & commentaries in minutes. Unlock Premium today and receive $10 off your first monthly or annual payment with promo code PODCAST2022.