News & Insights

January 10, 2012
Q4 International Equity Newsletter
As the last quarter of 2011 drew to a close, international markets made a solid positive move across the board, up mid-single digits in Europe and Asia. However, this was insufficient to offset the price actions in the previous quarter, as investor concerns around debts, deficits and defaults overshadowed an improvement in individual corporate fundamentals. As a result, equity returns on an international basis were negative for the year, with European markets down in the mid- teens range as were the larger Asian markets.

January 6, 2012
Q4 US & Global Equity Newsletter
At the end of 2010 we made a positive case for equity returns in 2011 based on our belief that the U.S. economy would continue to recover, albeit slowly, and that global growth would remain positive, buoyed by continued strong economic activity in the emerging markets. These two factors broadly came to pass and earnings growth in the portfolio was in the high teens, roughly in line with our forecasts. However, we also identified two major threats to equity markets, namely a Sovereign debt crisis in Europe and a rise in inflation in the emerging markets. As a result, equity returns on a global basis were negative for the year with only the U.S. recording a very marginal positive return. In Europe, markets were down in the mid-teens range as were the larger Asian markets.

December 2, 2011
November Newsletter
The last six months have been a volatile ride for equity investors.  The daily and monthly portfolio swings in value have been significant and have created a heightened concern among clients.  Governments around the world are not doing us any favors either as they play "political chicken" with topics such as European sovereign debt, U.S. debt ceilings and the failed U.S. Super Committee effort to find budget cuts.  And the media is having a field day dramatizing all of this to hook viewers to their TVs and computers.