Does the Economy Predict Stock Returns?

Investors, economists and the media spend an enormous amount of time and energy trying to forecast the economy. The idea is that forecasting economic growth will give us an idea of where the stock market is headed. Surprisingly, no predictive relationship exists between current economic conditions and the current stock market. US Gross Domestic Product (GDP), a measure of the overall output of the US economy, grew at an average rate of 6.5% before inflation over the past 58 years. The GDP growth rate itself was relatively stable and positive…

Mortgage rates fall to a 1-year low

The 30-year fixed-rate mortgage averaged 4.35% in the February 21 week, mortgage guarantor Freddie Mac said Thursday. That was down from 4.37% in the prior week and the lowest since early February 2018. The popular product has eked out a weekly increase only once in 2019. The 15-year adjustable-rate mortgage averaged 3.78%, down three basis points. The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.88%, down from 3.84%. Those rates don’t include fees associated with obtaining mortgage loans. Mortgage rates move in near lockstep with the 10-year U.S. Treasury noteTMUBMUSD10Y, -1.73% although sometimes it…

ETF Of The Week: Gold Miners Glitter

Choppy seas in equities have been good for gold—and gold miners. On Wednesday, the gold price hit a 10-month high of $1,346.80/ounce, as investors sought a safe-haven hedge against geopolitical uncertainty and rising interest rates. But rising gold prices aren’t just good for holders of bullion. They also spell good news for the miners bringing the precious metal out of the ground, who benefit from increased profitability and higher operating leverage. Several gold miner ETFs have topped our best performers’ list over the last 30 days , including the Sprott…

Fiduciary Trust Co. Trims Position in iShares Cohen & Steers REIT ETF (ICF)

Fiduciary Trust Co. lowered its position in iShares Cohen & Steers REIT ETF (BATS:ICF) by 2.7% in the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 77,074 shares of the company’s stock after selling 2,167 shares during the quarter. Fiduciary Trust Co.’s holdings in iShares Cohen & Steers REIT ETF were worth $7,376,000 as of its most recent filing with the Securities and Exchange Commission. A number of other hedge funds and other institutional investors have…

Fintech Innovation: How to Access This Growing Industry

Innovative developments and new technologies has helped advance various industries, including the financial services segment where Fintech, a combination of finance and technology, has made it easier to manage financial operations. On the upcoming webcast, Fintech Innovation: How to Access This Growing Industry, Renato Leggi, Client Portfolio Manager for ARK Invest, and Maximilian Friedrich, Analyst at ARK Invest, will delve into the innovative Fintech space and outline potential investment strategies that can help financial advisors access this quickly growing industry. The ARK Fintech Innovation ETF (ARKF) can help ETF investors…