2017 has been a good year for the U.S. economy, and we believe the bull market can continue in 2018.
A bond ladder is one of the most effective tools fixed-income investors can utilize. Even during a rising rate environment, we believe bond ladders can mitigate downside equity risk & diversify portfolios through good and bad market cycles.
Economic growth persists, and corporate earnings seem on track for another strong quarter. Tax reform prospects are uncertain, but any progress may provide a tailwind for equity prices. At the same time, we believe Fed policy should support markets.
Chief Investment Officer, Eugene Yashin, provides perspectives on the economy, financial markets, and strategies for stock investors. Hurricane-related disruption could reduce economic growth in the near-term. The prospect of tax reform helps fuel a rally in equity markets. Bond yields can rise without hurting stock prices, in our opinion.
Healthy earnings growth suggests to us that there is still upside in U.S. equities. We are encouraged that markets have shown a surprising level of stability given geopolitical and economic risks. Our quantitative assessment shows stocks that blend growth and value characteristics (growth at a reasonable price, or GARP) are well positioned for the late phase of economic expansion.