For Immediate Release
NorthCoast Asset Management To Join Focus Partner Firm Connectus Wealth Advisers, Further Expanding Connectus' U.S. Footprint
NorthCoast ETF Portfolios highlighted in the Investor's Business Daily... click the link to read the article: https://www.investors.com/etfs-and-funds/large-cap-rally-fuels-gains-for-northcoast-etf-portfolios/
NorthCoast ETF Portfolios highlighted in the Investor's Business Daily... click the link to read the article: https://www.investors.com/etfs-and-funds/retirement/etf-retirement-portfolios-northcoast-asset-management-captures-rally-in-q1/
What do you make of the recent volatility in the market and how has it, or hasn’t it, impacted your outlook and investment decisions for the portfolios?
NorthCoast ETF Portfolios highlighted in the Investor's Business Daily... click the link to read the article: https://www.investors.com/etfs-and-funds/retirement/northcoast-asset-management-shifted-to-short-term-treasury-etfs-in-q4/
Excerpts from a recent Q&A with our Portfolio Management Team.
An interest rate hedged high yield bond ETF HYGH was added to the Tactical Income strategy during Q3. What factors led to this buy?
The U.S. stock market experienced volatility swings that haven’t been seen in a few years. What is your posture toward U.S. large-cap equities (IVV) going forward?
President & CEO Dan Kraninger reflects on the first quarter of 2018 and provides insight moving forward.
“Something good can come from every defeat and disappointment.”
- Jay Wright, Head Coach, Villanova Men's Basketball
President & CEO Dan Kraninger reflects on 2017 and provides insight moving forward
“The greatest trick the devil ever pulled was convincing the world he didn’t exist.”
- The Usual Suspects (1995)
My wife and I like the movies. We go throughout the year but between Christmas and New Year’s, we really pick up steam. With the cold weather, time off work, and family gatherings, we certainly didn’t disappoint this year. One in particular stood out and I’m glad we saw it again -- The Usual Suspects. Interestingly, the line above hit me as soon as I heard it as the lead in to this quarter’s letter. I’ll simply change a few words -- the greatest trick the market ever pulled was convincing the world volatility didn’t exist.
Consider volatility. Despite the geopolitical maelstrom in 2017, the North Korean conflict, fear of China’s economic slowdown, the stock market’s advance, and instability in South America, the stock price daily volatility of the S&P 500 Index was the lowest in a half-century. You have to go back to 1964 to find the average daily change for the market as low as it was in 2017.
What has been the most notable performer in 2017 in your Tactical Income portfolio, and to what do you attribute its gains?
CLY, the iShares 10+ Year Credit Bond ETF, was certainly among the top performing positions in our Tactical Income portfolio this year. The security was up 12.1% and we currently hold about a 15% position in our portfolio. With the U.S. economy remaining fundamentally strong, the default rate of corporate bonds is relatively low. Our ETF scoring model showed an attractive aggregate for CLY throughout the year with valuations and sentiment signals being the strongest contributors. Exposure to global infrastructure from IGF (iShares Global Infrastructure ETF) was another noteworthy holding in 2017. As investors anticipated pro-growth policies and more infrastructure spending in the U.S., IGF climbed throughout 2017, finishing the year +19%.
What drove the additional allocation to U.S. equities in the growth portfolios and how do you like the asset class heading into 2018?
