Category Archives: Economic trends

Arnerich Massena Sponsors the Intentional Endowments Network (IEN) 2020 Higher Education Climate Leadership Summit

Arnerich Massena representatives headed to Atlanta, Georgia in February to attend the Intentional Endowments Network (IEN) 2020 Higher Education Climate Leadership Summit, the “largest national gathering of higher education presidents, chancellors, trustees, and other senior leaders working to accelerate climate solutions through all aspects of institutional activities,” including endowment investing. “It was great to see universities are actively moving toward aligning themselves with an ethos of long-term sustainability,” said Bryan Shipley, CFA, CAIA, co-CEO and co-CIO, who attended the summit and co-hosted a roundtable. “Hopefully this is the first step in moving beyond divestment and toward building true solutions.” His co-host, senior consultant Chris Van Dyke, CFA, CAIA, agrees. “They are definitely looking to become part of the conversation and taking a progressive and proactive stance. This is just the beginning of driving the needle forward, but we came away feeling reinvigorated in our commitment to building real investment solutions.” Read more »

Capital Market Outlook: What’s in Store for the 2020s?

To view a larger version, click here: Capital markets outlook

While Arnerich Massena believes these forward-looking     expectations are reasonable, we can provide no assurance  of their accuracy. Expected returns for each asset class  are conditional on an economic scenario; actual returns in the event the scenario comes to pass could be higher or   lower, as they have in the past, so an investor should not expect to achieve returns similar to these expectations.  Actual investment portfolio results may vary due to market risk, investment selection, timing, expenses, taxes, and  other factors. This information is not intended as a      recommendation to invest in any particular asset class or strategy or as a promise of future performance.

In the 2010s, U.S. equities hurtled to new highs in the wake of the global financial crisis. However, as we move into the 2020s, the question on many investors’ minds is, “can these good times continue?” Our short answer is yes, but the location of the good times may change. Read more »

The Unintended Consequences of the Rise of Index Investing

For the first time in history, the total assets in passive investment vehicles such as index mutual funds and exchange-traded funds (ETFs) surpassed the total amount of assets in actively managed investment funds. In September 2019, assets in passive investment vehicles grew to $4.4 trillion, outpacing the $4.3 trillion in actively managed strategies. This trend is amazing considering that in 2009, only ten years ago, assets in passive strategies totaled only $0.7 trillion (Morningstar). With the momentum in passive investing accelerating, what are the long-term unintended consequences for the market? Read more »

Listen to Arnerich Massena’s Year-End Research Focus Podcast

As we launch a brand new decade, it’s a good time to take a look back at where we are coming from and think about where we’re headed. In this podcast, Co-CEO and Co-CIO Bryan Shipley, CFA, CAIA, sits down with research analyst Ben Larsen to recap the markets in 2019 and discuss our outlook for the coming years. They take a deep dive into some of the market highlights of the year, and talk about what that means for investors and for our positioning going forward. In this Research Focus podcast, for those who want to take a deeper look into Arnerich Massena’s analytical process and thinking, you’ll hear about index concentration, investment style blurring, the flight to quality, frontier and emerging markets, impact investing trends, and more. Read more »

Watch Arnerich Massena’s Fourth Quarter 2019 MarketCast

Arnerich Massena’s fourth quarter 2019 MarketCast is available for viewing. In this MarketCast, Co-CEO and co-CIO Bryan P. Shipley, CFA, CAIA, delivers a brief introduction; senior research analyst Arthur Coyne, CFA,  provides a look at the fourth quarter of 2019, with an economic overview and market commentary, and investment and philanthropic advisor Katherine Fox, CFP®, CAP®, discusses what this means for client portfolios. Read more »

Listen to the Podcast: Tectonic Shifts in the Investment Landscape: Investment Trends to Watch for in 2020

Join senior research analyst Arthur Coyne, CFA, and research analyst Melissa Liu as they talk about the coming cultural, economic, and political changes that may affect the investment landscape in 2020. Each year, we gather together our analytical team to talk about what we see as the major trends in culture, economics, and politics that could affect the investment landscape in the coming year. Out of that discussion, we compile our investment trends list; these are not intended to be investment recommendations, but are an interesting look into the potential future environment investors will face in the coming year. Read more »

Tectonic Shifts in the Investment Landscape: Investment Trends to Watch For in 2020

Last year, we saw the first trillion-dollar companies; this year, we saw the beginning of billion-dollar IPOs, better known as unicorns. Last year, we talked about robotics and machine learning; this year, we’ve jumped to 5G, the Internet of Things, and quantum computing. Global uncertainty remains elevated, with a continued trade war with China; massive protests across areas like Hong Kong, France, Chile, and Iraq; and a pivotal Presidential election coming up in the U.S. The landscape for investors has already changed over the last year; what can investors expect going into 2020? Read more »

Arnerich Massena Brings Impact Investing Experts to Portland for a Learn Share Connect Impact Investing Forum

Arnerich Massena gathered together three of our Approved Impact Investment Managers, along with a representative from the United Nations-supported Principles for Responsible Investment (PRI), to provide investors with context and information about the opportunities in impact investing. In hosting this exciting forum, we hoped to offer both a broad overview of impact investing, as well as dive into some of the specific opportunities our managers are finding in the impact and Environmental, Social, and Governance (ESG) universe. We assembled at Portland’s Multnomah Athletic Club on November 13 for lunch, discussion, and roundtables. The event was a tremendous success, offering attendees the opportunity not just to hear from our investment managers, but to sit down and ask them questions directly. Read more »

Sustainable Investing is Seeing Incredible Growth

2019 is on track to triple the previous annual record for inflows into sustainable and ESG mutual funds and ETFs. We’ll take a look at the rapidly growing popularity of impact investing and what it means for the investment landscape.

Morningstar reports that 2019 has seen record fund flows into sustainable and ESG investments. The calendar-year record to date was in 2018, with just over $5.5 billion in assets going into sustainable investments, and no quarter (before this year) had seen inflows greater than $2 billion. But in 2019, each of the first three quarters has been marked by more than $4 billion in funds headed into sustainable mutual funds and ETFs. This year as a whole is likely to triple the previous record. Read more »