Trading News

Merger arbitrage – commonly called “merger arb” – is an event-driven trading strategy. The goal with merger arbitrage is to profit from the price gap between a target company’s current market price and the value expected by a pending acquisition. When a merger or acquisition is announced, the target’s stock generally trades at a discount […]

Risk premia refer to various forms of risk-taking that have positive expected compensation in markets over time. Below we list out widely recognized risk premia. We cover what they do, their common correlations, and how to get access to them.   Key Takeaways – List of Risk Premia Core Macroeconomic and Market Premia Equity Risk […]

Forward-looking real return expectations for US, global developed, and emerging market equities have declined meaningfully compared to historical averages. We look at the projected ranges and drivers of return across these regions for the next 10 years and beyond, based on valuation, macroeconomic, and earnings growth inputs.   Key Takeaways – Expected Real Returns of […]

Risk parity is an investment strategy that aims to balance risk across asset classes, rather than allocating more capital to traditionally “safer” investments like bonds. The goal is to create a portfolio with consistent returns, regardless of market conditions. It’s also sometimes called balanced beta. It does not generally involve any tactical trading outside rebalancing to […]

Deciding whether to hire a financial advisor is an important decision that can significantly impact your financial future. With many factors to consider, from the benefits of hiring an expert to the potential costs and alternatives, this guide will help you make an informed choice. We’ll look into the advantages and disadvantages of hiring a […]

What are Platinum Group Metals (PGMs)? How do you get ahold of them? Can you trade them? We cover all of this in this article.   Key Takeaways – Platinum Group Metals (PGMs) PGMs are six ultra-rare, chemically related metals, which are primarily used as industrial catalysts, not monetary metals or stores of value. Demand […]

Below we have a list of “contra-currencies.” We pay a lot of attention to looking at whether our assets went up and down but much less attention to our currency risks.  Contra-currencies are assets or currencies that historically benefit relative to debasing fiat regimes. They’re fundamentally contra-currencies because they’re scarce, externally anchored, or institutionally constrained. […]

Currency debasement is an increasingly popular concern in markets and many traders are curious about the best ways to trade it. Is it gold? Other currencies? Commodities? Simply hanging out in equities? More complex rates trades? We’ll take a look at the various options.   Key Takeaways – Debasement Trade  Gold The classic hedge against […]

What should portfolios look like today from a more macro-oriented perspective? Not based on what’s worked in the past, but what’s most likely to work going forward. Here we’ll first look at what’s happened to this point and what that means going forward. (Note that this is my own personal perspective and is not financial […]

The neutral rate is the level of interest rates – often referring to a short-term overnight rate – that neither stimulates nor restrains economic activity.  When policy rates are considered near neutral, the economy is expected to grow close to its long run potential with inflation remaining stable.  The neutral rate is fundamentally a reference […]