EWM Weekly Capital Market highlights for Week Ended 1/4/2019

By | Financial Markets & Economy, Weekly Capital Market Updates
  • The holiday-shortened week was led by a sharp rally in Latin America, primarily Brazil and Argentina. US equities rebounded sharply on Friday’s strong jobs report to end the week nearly unchanged. European equities also rebounded to end the week generating modest gains (0.5-1.0%)
  • Treasury yields were lower, even after a strong rally on Friday. Yields on five- and ten-year issues were up roughly ten basis points on Friday in response to the jobs report, but still ended the week lower by five and ten basis points, respectively.
  • The US Dollar Index was down slightly this week. Thursday’s sharp equity market selloff took the trade-weighted dollar down with it. A brief rally on Friday in conjunction with the equity markets fizzled out.
  • Crude oil had its best week since the end of the third quarter, up roughly 6%. The advance was driven by lower-than-expected changes in US stockpiles and hopes for settlement of trade issues with China.
  • Among other economic data released this week: US manufacturing grew at the slowest pace in nearly two years, as indicated by the ISM Index falling to 54.1% from November’s reading of 59.3%.

Click here to download the complete weekly report: EWMWeeklyReview 1.7.19

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By | Alternative Investments, Monthly Commentary, Tax Planning

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EWM Weekly Capital Market highlights for Week Ended 12/28/2018

By | Financial Markets & Economy, Weekly Capital Market Updates
  • Among Equities, large caps underperformed small caps; growth stocks led value stocks; domestic stocks outperformed international stocks; and emerging markets outperformed developed markets.
  • Treasury yields trended downward during the week. The yield on the 10- Year Treasury Note fell roughly five basis points during the week and ended around 2.74%.
  • Commodity indices were mixed during the week. Crude oil and natural gas both declined marginally, and gold and silver prices steadily increased throughout the week.
  • The US dollar declined over the week. The Federal government shutdown and weaker economic indicators weighed on the currency.
  • Among economic data released this week, consumer confidence fell more than expected as consumers indicated increased unease over the outlook for economic growth in 2019. Jobless claims for the week ending December 22 declined faintly to 216,000, but still remained within consensus expectations.

Click here to download the complete weekly report: EWMWeeklyReview 12.28.18

Endowment Index™ Posts 1.61% Gain For Week Ended 12/28/2018

By | Endowment Index™
The Endowment Index™ calculated by Nasdaq OMX® (Symbol: ENDOW) closed at 1,145.22 today, rising 1.61% from last Friday’s close of 1,127.10. The Endowment Index™ represents the investable opportunity for managers of portfolios utilizing the Endowment Investment Philosophy™ or otherwise incorporate alternative investments within a comprehensive asset allocation strategy. The Endowment Index™ measures performance for a multi-asset, globally-diversified, three-dimensional portfolio that includes Global Equity, Global Income, and Alternative Investments (like Private Equity, Hedge Funds and Real Assets). The Index uses an objective, rules-based construction methodology based upon the portfolio allocations of over 800 educational institutions managing over $500 billion in total assets. Each of the 19 sub-indexes that currently comprise the index are investable, and contained within those sub-indexes are over 30,000 underlying securities. You can obtain real-time pricing data on the Endowment Index™ under the symbol “ENDOW” through major quote providers, including Bloomberg, Google Finance and others. The Morningstar® Index ID for the Endowment Index™ is F00000TPG6. Past performance is not necessarily indicative of future results. You cannot invest directly in an index. Indexes do not contain fees.

EWM Weekly Capital Market Highlights for Week Ended 12/21/2018

By | Financial Markets & Economy, Weekly Capital Market Updates
  • Domestic equities traded mostly lower over the week, with the S&P 500 Index on track for its worst year since 2008. Value stocks outpaced growth stocks, but both were sold pretty heavily. International and emerging markets equities outpaced domestic stocks.
  • December selloff continues. With Christmas around the corner and no Santa Claus rally in sight, stocks continued to face selling pressure this week. The Dow Jones Industrial Average is on track for its worst December since 1931, and more than the half of the S&P 500 Index stocks have entered bear market territory, defined as a decline of greater than 20% from their high. Some of the largest stocks in bear territory include Amazon (AMZN), Apple (AAPL), Bank of America (BAC), Walmart (WMT), Exxon Mobil (XOM), and AT&T (ATT), among others.
  • The yield on the 10-Year Treasury Note traded lower on the week, reaching 2.75% on Thursday, its lowest level in nine months, and the yield on the 30-Year Treasury Bond traded below 3%.
  • Gold was higher, as investors flocked to the safe haven asset. Oil traded lower. Commodities as a whole were lower, but outpaced domestic equities.
  • Bitcoin marked the one-year anniversary of its all-time high near $20,000, and is down more than 80% since this week last year.
  • The Federal Reserve raised its benchmark rate. On Wednesday, the Federal Open Market Committee (FOMC) voted to increase the federal funds rate 25 basis points to 2.25%-2.50%, its fourth increase in 2018 and ninth since 2015. The Fed also cut its projection for 2019 rate hikes to two from three, but with a less dovish tone in its messaging.

Click here to download the complete weekly report: EWMWeeklyReview 12.21.18

Endowment Index™ Falls For Week Ended 12/21/2018

By | Endowment Index™
The Endowment Index™ calculated by Nasdaq OMX® (Symbol: ENDOW) closed at 1,127.10 today, falling 3.56% from last Friday’s close of 1,168.65. The Endowment Index™ represents the investable opportunity for managers of portfolios utilizing the Endowment Investment Philosophy™ or otherwise incorporate alternative investments within a comprehensive asset allocation strategy. The Endowment Index™ measures performance for a multi-asset, globally-diversified, three-dimensional portfolio that includes Global Equity, Global Income, and Alternative Investments (like Private Equity, Hedge Funds and Real Assets). The Index uses an objective, rules-based construction methodology based upon the portfolio allocations of over 800 educational institutions managing over $500 billion in total assets. Each of the 19 sub-indexes that currently comprise the index are investable, and contained within those sub-indexes are over 30,000 underlying securities. You can obtain real-time pricing data on the Endowment Index™ under the symbol “ENDOW” through major quote providers, including Bloomberg, Google Finance and others. The Morningstar® Index ID for the Endowment Index™ is F00000TPG6. Past performance is not necessarily indicative of future results. You cannot invest directly in an index. Indexes do not contain fees.

Endowment Index™ Posts Loss For Week Ended 12/14/18

By | Endowment Index™
The Endowment Index™ calculated by Nasdaq OMX® (Symbol: ENDOW) closed at 1,168.65 on Friday, falling 0.76% from the previous Friday’s close of 1,177.55. The Endowment Index™ represents the investable opportunity for managers of portfolios utilizing the Endowment Investment Philosophy™ or otherwise incorporate alternative investments within a comprehensive asset allocation strategy. The Endowment Index™ measures performance for a multi-asset, globally-diversified, three-dimensional portfolio that includes Global Equity, Global Income, and Alternative Investments (like Private Equity, Hedge Funds and Real Assets). The Index uses an objective, rules-based construction methodology based upon the portfolio allocations of over 800 educational institutions managing over $500 billion in total assets. Each of the 19 sub-indexes that currently comprise the index are investable, and contained within those sub-indexes are over 30,000 underlying securities. You can obtain real-time pricing data on the Endowment Index™ under the symbol “ENDOW” through major quote providers, including Bloomberg, Google Finance and others. The Morningstar® Index ID for the Endowment Index™ is F00000TPG6. Past performance is not necessarily indicative of future results. You cannot invest directly in an index. Indexes do not contain fees.

EWM Weekly Capital Market Highlights for Week Ended 12/14/2018

By | Financial Markets & Economy, Weekly Capital Market Updates

US equities traded sideways most of the week, but succumbed to global growth worries on Friday to close the week in red. Emerging markets also lost ground for the week, affected by China’s economic data miss. The weaker-than-expected economic data pushed European stocks lower on Friday, but they still managed to log a small increase for the week.

Treasury yields ticked higher across the curve, with the yield on the 10-year note up four basis points. The yield curve continued to flatten. curve with the yield on the 10-year note up four basis points. The yield curve continued to flatten.

The dollar gained ground during the week, reflecting investor fears of an economic slowdown in China,and was further supported by weakness in the euro and pound.

Commodity prices fell on concerns of weaker demand and a stronger dollar. Energy continued to face weakness on fears of oversupply and slower demand coming from China. Gold also eased as the dollar rose.

US producer prices unexpectedly rose in November, as increases in the costs for services offset a sharp decline for energy products. The core Consumer Price Index, which excludes volatile food and energy costs, rose 0.2% from the prior month and 2.2% from a year earlier. Initial jobless claims dropped to 206,000, a decrease of 27,000 from the previous week’s revised level of 233,000.


Click here to download the complete weekly report: https://www.endowmentwm.com/wp-content/uploads/EWMWeeklyReview-12.14.18.pdf

EWM Weekly Capital Market Highlights for Week Ended 12/07/2018

By | Financial Markets & Economy, Weekly Capital Market Updates

Domestic equities were down for the week, with small cap stocks falling the most. International equities ended the week in negative territory as well, with emerging markets stocks outperforming their developed counterparts.

Treasury yields were mixed through end of day Thursday, with longer-term yields falling more than ten basis points, whereas shorter yields rose, leading to a flatter yield curve.

The US dollar weakened during the week, as the yield on the 10-Year Treasury Note fell to three-month lows.

Commodities were up over all, on the back of a strong upward movement in the price of crude oil, after a surprising announcement that the Organization of the Petroleum Exporting Countries (OPEC) and its allies will cut production more than expected.

In other economic news, the Institute of Supply Management (ISM) has released the November Non-Manufacturing Purchasing Managers’ Index (PMI), and reported a headline composite number of 60.7, up .04 since last month. This represents continued growth, and at a slightly faster rate, in the non-manufacturing sector.

Click here to download the complete weekly report: 

Endowment Index™ Falls for Week Ended 12/7/2018

By | Endowment Index™

The Endowment Index™ calculated by Nasdaq OMX® (Symbol: ENDOW) closed at 1,177.55 today, falling 2.15% from last Friday’s close of 1,203.45.

The Endowment Index™ represents the investable opportunity for managers of portfolios utilizing the Endowment Investment Philosophy™ or otherwise incorporate alternative investments within a comprehensive asset allocation strategy. The Endowment Index™ measures performance for a multi-asset, globally-diversified, three-dimensional portfolio that includes Global Equity, Global Income, and Alternative Investments (like Private Equity, Hedge Funds and Real Assets). The Index uses an objective, rules-based construction methodology based upon the portfolio allocations of over 800 educational institutions managing over $500 billion in total assets. Each of the 19 sub-indexes that currently comprise the index are investable, and contained within those sub-indexes are over 30,000 underlying securities. You can obtain real-time pricing data on the Endowment Index™ under the symbol “ENDOW” through major quote providers, including Bloomberg, Google Finance and others. The Morningstar® Index ID for the Endowment Index™ is F00000TPG6.

Past performance is not necessarily indicative of future results. You cannot invest directly in an index. Indexes do not contain fees.