Monthly Archives: December 2014

Investing in an Uncertain World

Investing in an Uncertain World June 9, 2014 by Gip Bartels The following commentary represents the views of the Multi-Cap Value Strategy Team. Since hitting bottom in March 2009, stocks have enjoyed an historic advance. The S&P 500 has surged more than 180%, capped off by last year’s 32+% gain. Yet even as the average […]

Fixed Income Perspectives

Treasuries While we maintain a bias toward 10-year rates ending the year around or above 3%, we continue to think short-dated rates will be anchored for the foreseeable future. This will leave the yield curve as steep or steeper than it is today (see figure). We currently recommend those seeking principal protection look to bonds maturing […]

Managing risks of Digital payoffs – Overhedging

When a new trade comes to the risk manager in a bank for approval, he tries to determine both the quality and the quantity of the risks inherent in the trade. If he’s not comfortable with either of the two, he may not approve it. Some of the factors that are considered are:- 1. Whether […]