The stock market plunged on rising interest rates worries after stronger-than-expected job and wage numbers were reported on February 2nd. The sharp sell-off in the following trading sessions sent the S&P 500 Index down by 8.5% in five days. Investors were concerned that the Federal Reserve may increase interest rates more aggressively as inflation may … Read more
The GOP Tax Cuts and Job Act was passed in the Congress and signed into law by the Trump Administration. The bill marks the largest tax overhaul in thirty years since 1986. Although the timing and fairness of the tax cuts are debatable, the bill will provide a boost to corporate earnings, and thus the … Read more
As the stock markets continue setting records day after day, many investors are becoming more and more concerned about the potential over-valuation and a possible market correction. The widely-followed cyclically-adjusted price-earnings ratio (Shiller PE) reached 31.2, almost twice as much as the historical average of 16.8. While market valuation may not be a good timing … Read more
BOSTON, MA – November 16, 2017 – Julex Capital Management, LLC., announced today that its Dynamic Sector and Dynamic Income strategies were recognized with “Top Guns designation by Informa Investment Solutions’ PSN manager database, North America’s longest running database of investment managers, for Q3 2017. JULEX DYNAMIC SECTOR Informa Investment Solution’s PSN “TOP GUNS” Status … Read more
TrueAlpha™ ESG US Equity is a quantitative equity strategy aiming to deliver “true” stock selection alpha unrelated to risk factors such as value, size or momentum. It normally invested in 30-40 under-valued high quality stocks with above-average ESG (environmental, social and governance) rankings based on Thomson Reuters ESG ratings. The strategy strives to outperform Thomson Reuters ESG US Index … Read more
The bull market is in a full swing and everything is becoming more and more expensive. The US equity markets are hitting record highs day after day. The cyclically-adjusted PE ratio (Shiller PE) has reached 31.2, which is 90% higher than its historical average of 16.8 since 1880 (see Figure 1). High yield bonds, the … Read more
Since I published the article “An Economic Analysis of Active vs. Passive”, I have received a lot of feedback from friends and colleagues. A number of people were very concerned about the potential impacts of increasing passive investments on the health of financial markets. When I did a google search, words like “the greatest bubble … Read more
BOSTON, MA –August 16, 2017 – Julex Capital Management, LLC., announced today that its Dynamic Income was recognized with “Top Guns” status within the Informa Investment Solutions’ PSN investment manager ranking database for Q2 2017. Dynamic Income for One-Year Performance in Core Fixed Category for One-Year Performance in ETF US Fixed Income Category Utilizing … Read more
Since the end of the financial crisis, the US has led the global equity market recoveries for over eight years. Table 1 shows the total returns of US and international equity market ETFs. The S&P 500 Index ETF (SPY) gained 303.8% after it bottomed on March 9, 2009, while the MSCI EAFE Index ETF (EFA) … Read more
Jeremy Grantham, one of the most notable “top-down” value investor, recently had a changing heart on value investing. In his widely-read quarterly newsletter titled “This Time Seems Very, Very Different”, he noticed the average P/E ratio of the S&P 500 after 1996 was 65% to 70% higher than the long term average. He attributed higher … Read more