Navigating the Mortgage Market Through Rate Volatility and Quantitative Tightening
The US agency mortgage backed-securities market makes up more than a quarter of the Bloomberg US Aggregate Bond index. This market segment is entering a period of uncertainty due to ongoing volatility in the rates market and the prospect of the Federal Reserve reducing its allocation to agency mortgage-backed securities.
The Case for Non-US Investing
After nearly a decade of outperformance by US stocks, the tide may be turning as the world faces new challenges in this post-pandemic environment. Get insights into non-US markets in an insightful discussion featuring Grady Burkett, CFA, and Krishna Mohanraj, CFA, international equity portfolio managers from Diamond Hill. This informative session will explore Grady and Krishna’s perspectives on why investing in non-US markets today may be beneficial for long-term results and how investors can position themselves for success in this environment. Thoughts on the war in Ukraine and an update on global supply chain headwinds will also be given
4 Reasons to Invest Internationally
Investing overseas has long been a prudent strategy to increase diversification and alpha potential within an overall equity allocation. More recently, non-U.S. investment allocations have dwindled as the U.S. stock market has continued its ascent and investors have followed those gains. But all categories cycle eventually and irregularly, and equity markets are adept for catching investors off guard. While the list is long, we highlight four reasons investing internationally remains a sound investment strategy, and why investors should assess their equity allocations today to ensure they are properly diversified and well positioned for the next 10 years—and beyond.
Exploring Opportunities in International Markets
Join Diamond Hill’s International Team for an exploration of non-US markets, why investors should consider international investment opportunities today and how a simple 5-point framework can help investors capitalize on those opportunities
Concentrating on Success
Outperforming the market, requires looking different than the market. Actively managed, concentrated portfolios are one way to help diversify risk while adding to alpha potential and can be a welcome complement to passive allocations. At Diamond Hill, our equity strategies range from concentrated to highly concentrated—learn more about two of our highly concentrated strategies: Large Cap Concentrated and All Cap Select.
Why Core? Finding Opportunities in the Securitized Market
Join Henry Song, portfolio manager for the Diamond Hill Core Bond and Short Duration Securitized Bond strategies for a discussion about opportunities in the investment-grade fixed income market including a breakdown of the securitized markets and the importance of looking beyond the benchmark for investments in investment-grade fixed income.
Mr. Song will also offer his insights into the importance of maintaining an allocation to core fixed income as a key component of an asset allocation.
Value Investing, Evolved
CIO Austin Hawley discusses the dramatic underperformance of value stocks relative to growth stocks over the past decade—and why a strategy focused on intrinsic value is still relevant. A shift toward a service- and knowledge-based economy focused on intangible assets, and the emergence of internet-based businesses means traditional definitions of value have become less useful. However, price remains an important factor in determining future returns.
Small Cap Stocks: Selective Opportunity
Since 2014, mega-cap stocks have substantially outperformed small-cap stocks. However, today we sit at the widest valuation gap between small caps and large caps in nearly two decades. This doesn’t seem to be a case of simple mean reversion. Rather, there have been several fundamental factors contributing to the performance gulf between large caps and small caps over the past few years—some of which have been more structural in nature, and many of which still exist today.
Revisiting Excess Cash in the Technology Sector
In August 2013, we provided an analysis of excess cash on the balance sheets of four technology holdings: Apple, Inc. (AAPL), Juniper Networks, Inc. (JNPR), Microsoft Corp. (MSFT), and Cisco Systems, Inc. (CSCO).
Global Energy: Positioning for the Long Term
A long-term orientation allows us to move from today’s headlines to tomorrow’s prospects. While current energy headlines are focused on OPEC’s ability to accelerate the rebalancing process, we are focused on two longer-term developments that are influencing our positioning in the energy sector.