Inside Active by Bloomberg Intelligence

Defined-outcome and options-overlay ETFs take in roughly $3 billion a month, reflecting rising investor demand. In this episode of Inside Active, host David Cohne, mutual fund and active management analyst with Bloomberg Intelligence, and co-host James Seyffart, ETF analyst for Bloomberg Intelligence, spoke with Arnim Holzer, global macro strategist at Easterly EAB and a portfolio manager for the Easterly Hedged Equity strategy, about the investment philosophy behind the strategy, which focuses on asymmetric return patterns and minimizing drawdowns. They discussed how hedged-equity strategies serve as an alternative to traditional fixed income in portfolios, why the correlation between equities and fixed income has become unstable after the global financial crisis and how the strategy differs from traditional buffer ETFs. The podcast was recorded on Aug. 14.See omnystudio.com/listener for privacy information.

The eurozone outlook may depend on an earnings rebound driven by ECB rate cuts and German fiscal stimulus. In this episode of the Inside Active podcast, host David Cohne, Bloomberg Intelligence’s mutual fund and active management analyst, and co-host Laurent Douillet, senior equity strategist at BI, spoke with Nathaniel Velarde, a partner of Chautauqua Capital Management and portfolio manager for the Baird Chautauqua International Growth Fund (CCWIX). Velarde outlines their long-term, high-conviction approach built around time arbitrage and the three key traits they seek in companies. He also discusses the team’s RVR framework for evaluating positions, why they maintain a thesis book and how non-US markets still offer fertile ground for stock pickers. The podcast was recorded Aug. 6.See omnystudio.com/listener for privacy information.

Valuation expansion, not earnings growth, has driven most of the S&P 500’s gains since 2022. In this episode of Inside Active, hosts David Cohne, mutual fund and active management analyst with Bloomberg Intelligence, and BI’s Chief Equity Strategist Gina Martin Adams speak with David Giroux, chief investment officer of US equity at T. Rowe Price and a portfolio manager for the Capital Appreciation strategy. Giroux shares why internal rate of return projections guide his stock selection, the critical importance of avoiding companies with fatal flaws and how counter-cyclical actions historically boost performance. They also discuss private investments, bonds and why independent thinking is essential for long-term investment success. The podcast was recorded on July 21st.See omnystudio.com/listener for privacy information.

In June, the equity risk premium was negative for the first time since the early 2000s, indicating that stocks appear expensive relative to bonds and could yield mixed returns going forward. In this episode of Inside Active, host David Cohne, mutual fund and active management analyst with Bloomberg Intelligence, along with co-host Michael Casper, US small-cap and sector strategist at BI, spoke with Wellington’s Don Kilbride and Peter Fisher, sub-advisers to Vanguard Dividend Growth (VDIGX) and Vanguard International Dividend Growth (VIDGX), about the importance of sustainable dividend growth. They discussed why a commitment to dividends signals confidence in future cash flows and why high dividend yields can sometimes signal unsustainable dividends. The podcast was recorded on June 12.  See omnystudio.com/listener for privacy information.

With European earnings growth projected to be low in 2025, investors are focusing on a potential recovery in 2026. In this episode of Inside Active, host David Cohne, mutual fund and active management analyst with Bloomberg Intelligence, along with co-host Laurent Douillet, senior equity strategist for BI, spoke with David Samra, founding partner of Artisan Partners’ International Value Group, about the similarities of value investing to two-for-one deals, with value investing providing both upside potential with downside protection. They also discussed the importance of intrinsic value, why strong balance sheets are crucial for investment safety and the inefficiencies present in non-US markets. The podcast was recorded on June 10.See omnystudio.com/listener for privacy information.

Despite a recent rally, European equities may be overly complacent about trade-war risks. In this episode of Inside Active, host David Cohne, mutual-fund and active-management analyst with Bloomberg Intelligence, along with co-host Laurent Douillet, BI’s senior equity strategist, spoke with Danielle Menichella, portfolio manager and senior research analyst at Sands Capital and sub-adviser to the Touchstone Sands Capital International Growth Equity Fund. They discussed why the firm employs a business owner’s mindset to public equity investing, as well as the six investment criteria to select businesses. They also spoke about seeking a balance between high growth and mature businesses, determining relative valuations and which countries the team is currently seeing opportunities. Recorded on May 28.See omnystudio.com/listener for privacy information.

Bond ratings have been mainly neutral over the past couple of quarters, but it remains to be seen if tariffs have an impact in the coming six months. In this episode of the Inside Active podcast, host David Cohne, mutual fund and active management analyst with Bloomberg Intelligence, and co-host Sam Geier, BI’s corporate credit strategist, spoke with Janet Rilling, head of the Plus Fixed Income team at Allspring Global Investments and a senior portfolio manager for the Core Plus Bond Fund (WIPIX) and Core Plus ETF (APLU), about the team’s multiple levers and unbiased approach to managing the portfolio and the components that make up its big-six macro framework. They also discussed why Allspring takes a six-month outlook instead of a three-to-five year view, and why now could be a good time to be in fixed income.  See omnystudio.com/listener for privacy information.

After a turbulent couple of months with significant spread widening and subsequent tightening, corporate bonds may remain under threat through year-end. In this episode of Inside Active, Bloomberg Intelligence’s mutual fund and active management analyst David Cohne and corporate credit strategist Sam Geier talk with Vishal Khanduja, head of Morgan Stanley’s broad markets fixed income team and portfolio manager for Eaton Vance’s Total Return Bond Fund (EIBAX) and the Total Return Bond ETF (EVTR). They discuss the team’s three pillars for bond selection, their focus on maximizing return for benchmark-level risk, how inefficiencies of fallen angels and rising stars can boost performance and how bottom-up relative value analysis drives portfolio positioning. The podcast was recorded on May 7.  See omnystudio.com/listener for privacy information.

Lower revenue growth for small-cap companies appears to be in store due to tariff turmoil, based on Bloomberg Intelligence’s fair value model on the Russell 2000. In this episode of Inside Active, host David Cohne, mutual fund and active-management analyst with BI, along with co-host Michael Casper, BI’s US small cap and sector strategist, spoke with Sam Chamovitz and Morgen Peck, co-lead managers of the Fidelity Low-Priced Stock Fund (FLPSX) about their investment process, which focuses on the intersection of value and quality, and how co-management fosters mutual respect and trust in investment decisions. They also discussed why they target underappreciated businesses and how small caps can provide an attractive setup for active managers given the disparity in the quality of businesses. The podcast recorded on April 30.  See omnystudio.com/listener for privacy information.

Earnings expectations have shifted from the start of the year when analysts were forecasting 13% growth for large-cap stocks and are now predicting 9%. In this episode of Inside Active, host David Cohne, Bloomberg Intelligence mutual fund and active-management analyst, along with co-host Gina Martin Adams, BI’s chief equity strategist, spoke with Head of Mid-Cap & Large-Cap Equity at Madison Funds, Haruki Toyama, who’s also a portfolio manager for the firm’s Large Cap Fund (MNVAX) and Mid Cap Fund (MERAX). They discussed viewing investments as ownership stakes and why the quality of business and its moat are crucial for long-term investments. They also spoke about the critical role of management teams in driving company success and why market downturns can create opportunities for resilient companies.   See omnystudio.com/listener for privacy information.