Neutral is STILL a Moving Target

A few weeks ago, I introduced you to the concept of pro-forma portfolios, and explained how we use them to estimate our current portfolios’ position in terms of volatility and beta. There is an Italian saying that could be translated as “to trust is good, not to trust is better.” While the pro-forma portfolios give…

Neutral is a Moving Target

Over the past few weeks the Investment Team has been reviewing our tactics for getting our portfolio back to a neutral stance and explaining them to our clients and other interested parties. However, the way we measure the positioning of our portfolios and define a neutral stance is itself worthy of discussion.

Employment: Good, But Not Great

Today the market seemed to be spooked by the latest payroll employment report. According to the Bureau of Labor Statistics (BLS), nonfarm payroll employment rose by 115,000 in April. The official expectation was for 160,000, although the whispered number was 125,000 to 150,000. What is most interesting is that in actuality, nonfarm payroll employment rose…