On Investing

Nela Richardson, Chief Economist at ADP Research, shares her insights on the shifting labor market. She delves into how tariffs influence employment data and economic stability. The conversation highlights the changing dynamics in sectors like agriculture and hospitality due to immigration policies. Nela emphasizes the growing importance of soft skills and adaptability as AI reshapes the workforce. The resilience of the U.S. economy is a focal point, accompanied by key economic indicators that investors should monitor.

In this conversation, Liz Ann Sonders interviews Barry Ritholtz. He's the co-founder, chairman, and chief investment officer of Ritholtz Wealth Management. And he’s the author of a new book titled How Not to Invest.Barry and Liz Ann discuss the evolution of financial media, the current market cycle, and the psychological aspects of investing. They discuss the pitfalls of market timing, the significance of emotional control in investing, and the need for a disciplined approach to investing, particularly during market volatility. Barry also explains the complexities of wealth perception, several of the psychological biases in investing, and the importance of understanding the pitfalls of peer pressure in financial decisions.Finally, Kathy and Liz Ann discuss the data and economic indicators they will be watching in the coming week.You can learn more about Barry’s book, How Not to Invest, here. Or check out his podcast, Masters in Business, on Bloomberg.com.On Investing is an original podcast from Charles Schwab. For more on the show, visit schwab.com/OnInvesting. If you enjoy the show, please leave a rating or review on Apple Podcasts.Important DisclosuresInvestors should consider carefully information contained in the prospectus, or if available, the summary prospectus, including investment objectives, risks, charges, and expenses. You can request a prospectus by calling 800-435-4000. Please read the prospectus carefully before investing.The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision. All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness, or reliability cannot be guaranteed. Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve. Investing involves risk, including loss of principal. Performance may be affected by risks associated with non-diversification, including investments in specific countries or sectors. Additional risks may also include, but are not limited to, investments in foreign securities, especially emerging markets, real estate investment trusts (REITs), fixed income, municipal securities including state specific municipal securities, small capitalization securities and commodities. Each individual investor should consider these risks carefully before investing in a particular security or strategy.Past performance is no guarantee of future results and the opinions presented cannot be viewed as an indicator of future performance.Diversification and asset allocation strategies do not ensure a profit and cannot protect against losses in a declining market.Rebalancing does not protect against losses or guarantee that an investor’s goal will be met. Rebalancing may cause investors to incur transaction costs and, when a non-retirement account is rebalanced, taxable events may be created that may affect your tax liability.Indexes are unmanaged, do not incur management fees, costs and expenses, and cannot be invested in directly. For more information on indexes, please see schwab.com/indexdefinitions.The book How Not to Invest is not affiliated with, sponsored by, or endorsed by Charles Schwab & Co., Inc. (CS&Co.). Charles Schwab & Co., Inc. (CS&Co.) has not reviewed the book and makes no representations about its content. The comments, views, and opinions expressed in the presentation are those of the speakers and do not necessarily represent the views of Charles Schwab. All names and market data shown above are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.Forecasts contained herein are for illustrative purposes only, may be based upon proprietary research and are developed through analysis of historical public data.The policy analysis provided by the Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.(0325-B0GV) Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Liz Ann Sonders and Kathy Jones dive into the implications of a recent Federal Reserve meeting, emphasizing the looming threat of stagflation. They explore the intricacies of inflation, discussing consumer perceptions and the effects of monetary policy changes. The impact of rising trade policy uncertainty on businesses is also highlighted, alongside the disconnect between soft and hard economic data. The conversation underscores the importance of tracking essential economic indicators to navigate an unpredictable economic landscape.

Kevin Gordon, Key Research Associate and Senior Investment Strategist, brings his expertise to discuss the looming recession concerns. The conversation highlights contrasts between bearish investor sentiment and resilient consumer behavior. They dive into the implications of labor market dynamics and recent earnings challenges, emphasizing the uncertainty business leaders face. Gordon also touches on key economic indicators to monitor, including retail sales and upcoming Federal Reserve decisions, making it a crucial listen for anyone tracking the economy.

In this episode, Kathy Jones and Liz Ann Sonders review some of the recent questions they have received from investors. Their questions and answers focus on the current economic landscape and cover topics ranging from bond yields to the impact of tariffs to the Federal Reserve's stance to the performance of key indexes and stocks. They explore the complexities of government debt, the dollar's reserve status, and the ongoing debate between growth and value stocks, providing insights into what investors should watch moving forward.Check out schwab.com/FAQs to see more frequently asked questions and whether any questions you may have are already answered there.Kathy and Liz Ann also discuss the data and economic indicators they will be watching in the coming week.On Investing is an original podcast from Charles Schwab. For more on the show, visit schwab.com/OnInvesting. If you enjoy the show, please leave a rating or review on Apple Podcasts.Important DisclosuresThe information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness, or reliability cannot be guaranteed.Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.Investing involves risk, including loss of principal.Performance may be affected by risks associated with non-diversification, including investments in specific countries or sectors. Additional risks may also include, but are not limited to, investments in foreign securities, especially emerging markets, real estate investment trusts (REITs), fixed income, municipal securities including state specific municipal securities, small capitalization securities and commodities. Each individual investor should consider these risks carefully before investing in a particular security or strategy.Past performance is no guarantee of future results and the opinions presented cannot be viewed as an indicator of future performance.Currency trading is speculative, volatile and not suitable for all investors.Indexes are unmanaged, do not incur management fees, costs and expenses, and cannot be invested in directly. For more information on indexes, please see schwab.com/indexdefinitions.All names and market data shown above are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.Diversification and asset allocation strategies do not ensure a profit and cannot protect against losses in a declining market.Forecasts contained herein are for illustrative purposes only, may be based upon proprietary research and are developed through analysis of historical public data.The policy analysis provided by the Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.Positive correlation refers to a relationship in which two variables tend to move in the same direction (i.e., they both increase, or they both decrease). Negative correlation refers to a relationship in which the variables tend to move in opposite directions (i.e., one increases, and the other decreases, or vice versa).(0325-30G5) Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Ivy Zelman, the Executive Vice President and co-founder of Zelman & Associates, shares her expertise on the housing market's evolving dynamics post-pandemic. She discusses significant migration trends and their influence on housing demand. The conversation reveals the unique challenges of affordability and highlights how climate change is reshaping construction methods. Ivy also examines the contrasting roles of public and private builders, emphasizing regional market variations and potential supportive tailwinds for investors.

Phil Mackintosh, chief economist at Nasdaq, shares his insights on navigating the unique post-pandemic economic cycle. He discusses the impact of tariffs on inflation and global trade, emphasizing the need for diversification in investment strategies. Mackintosh explores the roles of the Federal Reserve and immigration on the labor force, while examining the transformative effects of AI on productivity and corporate profitability. He also highlights the challenges for small-cap companies amid rising costs and interest rates, offering a comprehensive outlook on economic opportunities and risks.

Louis-Vincent Gave, CEO of Gavekal Research, discusses the intriguing dynamics of today's market, focusing on the concentration of U.S. equities and China's trade surplus. He highlights how AI is reshaping the tech landscape and the implications of potential market bubbles. The conversation also covers the impact of tariffs on inflation and consumer costs, as well as shifts in infrastructure spending in North America and Europe. Gave offers insights into the future of technology and the economic landscape amid rising government layoffs.

Kathy Jones chats with Dr. Richard Clarida, a seasoned economist and PIMCO’s global economic advisor, about pressing economic issues. They delve into how current tariffs are reshaping the bond market and influencing Federal Reserve policy. Clarida shares insights on the Fed's structure and the importance of transparent communication, especially amid inflation uncertainties. They also discuss critical economic indicators like the Consumer Price Index and what investors should keep an eye on to navigate the shifting landscape.

Rob Arnott, founder of Research Affiliates, is a trailblazer in fundamental indexing, challenging traditional investment norms. He explains how fundamental indexing selects companies based on real economic size rather than market cap, leading to potentially better returns. Arnott highlights the pitfalls of forecasting market trends and critiques established financial theories like the efficient market hypothesis. The discussion also touches on the emotional factors that drive investor behavior, offering fresh perspectives on market dynamics.