In this month’s report, “Sea of Liquidity”, Rockefeller Global Family Office Chief Investment Officer Jimmy Chang examines the evolution of two items on the Fed’s balance sheet – the Overnight Reverse Repo Facility (ON RRP) and Treasury General Account (TGA) – and how they impact market liquidity and asset prices. With the exception of 2022, the first half of this decade has seen market liquidity and asset prices buoyed by these programs. Jimmy also discusses how the Fed may respond after the current era of excess liquidity winds down in the not-too-distant future.
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The Basis Point Debate: What Will the Fed Do Next? The Federal Reserve’s next move is the talk of the market. 📉 Melissa Brown from SimCorp suggests that a 25-basis-point cut might leave markets wanting more. Kevin Zhao at UBS Asset Management believes Treasuries could shine with a 50-point cut. Goldman Sachs predicts that record-setting gold prices might dip with a quarter-point reduction. John Authers argues that Fed Chair Jerome Powell might just call the market’s bluff. What are your thoughts on the potential impact of these scenarios? Let’s discuss! 💬 #Finance #Investing #FederalReserve #MarketTrends #InterestRates #Economy
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The Basis Point Debate: What Will the Fed Do Next? The Federal Reserve’s next move is the talk of the market. 📉 Melissa Brown from SimCorp suggests that a 25-basis-point cut might leave markets wanting more. Kevin Zhao at UBS Asset Management believes Treasuries could shine with a 50-point cut. Goldman Sachs predicts that record-setting gold prices might dip with a quarter-point reduction. John Authers argues that Fed Chair Jerome Powell might just call the market’s bluff. What are your thoughts on the potential impact of these scenarios? Let’s discuss! 💬 #Finance #Investing #FederalReserve #MarketTrends #InterestRates #Economy
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⚡ Expert Analysis: $NVDA's Market Position – Time to Invest? 🔗 https://buff.ly/3A7oAK2 😱 The markets were on a rollercoaster this past week 🎢—opening higher, dipping midweek, and bouncing back by the weekend. With inflation and the U.S. election in focus, balancing information with adaptability is key for both investing and life. 📊💼 📈 TRADE OF THE WEEK: ProShares Short QQQ ETF (PSQ) #StockMarket #Investing #Finance #Inflation #USPolitics
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Before the Federal Reserve lowers short-term interest rates, #investors should consider incrementally exiting #moneymarket funds and #cash. It may be too late if you're waiting for a specific signal to extend #duration, such as the first cut in a Fed cycle. The chart below from Goldman Sachs shows the hypothetical #portfolio return following the first Fed cut (indexed to 100). On average, you'll miss 11pp of upside by waiting. While a #fixedincome portfolio's duration should differ for each investor, it's time to consider short-to-intermediate duration vs. little-to-none. #invest #investing #investments #investmentplanning #money #wealth #rich #income #goldmansachs #gs
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[YTD ATH - Year to Date All Time High] A balanced approach of long-term investing combined with short-term trading offers the best of both worlds. Long-term investing provides a solid emotional foundation, acting as a source of stability and patience. This, in turn, supports traders in navigating the volatility of short-term market fluctuations, offering the reassurance of being anchored even in the eye of the storm.
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In our latest CIO Monthly Perspective, "Sea of Liquidity", Rockefeller Global Family Office Chief Investment Officer Jimmy Chang discusses recent market dynamics, emphasizing economic and electoral uncertainty and geopolitical tensions, advising investors to prepare for a market shift.
Early August saw a sharp market sell-off quickly stabilize in part due to the Bank of Japan halting rate hikes and the U.S. Treasury injecting $230 billion of liquidity. However, July labor data showing a surging unemployment rate prompted a dovish Fed Chair Powell to signal the start of a rate cut cycle, leading to a boost in equities, bonds and gold, but ultimately weakening the U.S. dollar. In our latest CIO Monthly Perspective, "Sea of Liquidity", Rockefeller Global Family Office Chief Investment Officer Jimmy Chang discusses recent market dynamics, emphasizing economic and electoral uncertainty and geopolitical tensions, advising investors to prepare for a market shift.
Rockefeller Global Family Office | CIO Monthly Perspective - Sea of Liquidity
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While Wall Street bankers and the financial mass media trumpet almost daily about new all-time highs in the equity market, year-to-date, gold has not only significantly outperformed both US and global equity markets with much lower volatility, but long-dated government bonds (as proxied by the TLT ETF) remain negative for the year.
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Money Flows into ETFs and Funds Drive Feedback Loops (e.g.: ARKK), Inflation and Geopolitical Risk Mutually Reinforce, The Most Capable Institutional Investors Increasingly Do Not Outperform ... … our favorites from this week's reading. We summarized them for you! Follow us for your weekly dose of investment insight: https://lnkd.in/g2ySYFYv #ETF #MutualFund #Inflation #GeopoliticalRisk #InstitutionalInvestor
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Taking Advantage of the Dynamic Market With the Federal Reserve's policy meeting set for September 17-18, 2024, a rate cut seems highly likely, leading many traders to adjust their strategies in anticipation of a shift in interest rates. In our recent webinar, "End of Summer Market Update and Income Spotlight," our expert panelists, Sejal U. Penkar, Timothy Wei, CIMA®, and moderator Jeffrey W. Weston, CFP®, MBA offered valuable insights and outlined strategies specifically focused on generating income in this dynamic market. Click here to watch the full webinar and explore all the strategies discussed: https://lnkd.in/gr_Gh8fS #investing #federalreserve #fixedincome #incomestrategy #passiveincome #wealthmanagement #tortugawealth #capitalgroup
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Our Chief Investment Officer, Chris Wyllie, appeared on Bloomberg's 'The Opening Trade' show yesterday morning. The discussion marked the end of 2024 by covering everything from the current inflation and interest rate cycle, the role of The Fed and the possible impact of the imminent new Trump administration. Watch the full interview by clicking below: https://lnkd.in/dhASExZS #investmentmanagement #wealthmanagement #bloomberg #marketnews #stocksandshares
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