Commentary

Investing For Retirement III: Understanding And Dealing With Sequence Risk

As one of us points out relentlessly, risk isn’t a number, rather it is a notion or a concept.

Commentary

Entering The Superbubble’s Final Act

Only a few market events in an investor’s career really matter, and among the most important of all are superbubbles.

Commentary

Let’s Not Get Carried Away

With the recent increases in interest rates, the carry trade has had a sudden resurgence in performance, which could make it a tempting strategy for investors.

Commentary

Emerging Countries Are More Resilient Than They Get Credit For

Over our decades of involvement in emerging country debt markets, we’ve witnessed many ups and downs.

Commentary

7-Year Asset Class Real Return Forecasts

Rick Friedman from GMO’s Asset Allocation team offers the following comments about the updated forecasts.

Commentary

Investors Still Seem Too Comfortable…and That Makes Us Nervous

As Robert Shiller has written, market participants are always in search of an explanatory narrative. J

Commentary

Time to Jump Aboard the Value Train

The market has spent much of 2022 worrying about inflation and associated interest rate rises, and Growth stocks have certainly borne the brunt of this.

Commentary

Time To Jump Aboard The Value Train

In a new piece, GMO’s Asset Allocation Team notes that even with the battering of growth stocks in 2022 there is still ample opportunity to benefit from betting on cheap value stocks versus expensive growth names.

Commentary

What Does 8% Yield Pay For?

The yield of the U.S. high yield (HY) market, currently at 8.4%, has risen by over 420 basis points since the start of the year.

Commentary

Inflation in Japan Should Be Cheered, Not Feared

Japan has been stuck in a low growth, low inflation (and at times, deflationary) environment.

Commentary

No Stone Unturned

We strongly believe that the traditional benchmark-led approach to investing in emerging market debt can be far from optimal.

Commentary

Growth Traps Snap Shut

What do Netflix, Peloton Interactive, Coinbase, and Palantir Technologies have in common?

Commentary

Who Needs Tips When You’ve Got Friends Like This?

Soaring commodity prices have helped drive inflation to 8.5%, by far the highest level in the last few decades.

Commentary

The Turn in Value is Just Getting Started

Over the past decade it has seemed like Value investors have been very much left on the sidelines, bemoaning rampant speculation and valuations untethered from fundamental reality, while Growth investors have, quite frankly, been living it up in some style.

Commentary

Watch Out For The Balance Sheet

It’s not just interest rate changes that affect the markets, changes in the Fed balance sheet can also be a source of negative returns to equity and bond markets.