Is There Life After BRICs for Emerging Market Investors?

For more than a decade, Brazil, Russia, India and China have dominated the landscape in emerging markets. But as the BRICs-driven commodities boom wanes, investors may need to rethink their approach.

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Quality Can Deliver in Times of Rising Rates

By Chris Marx (pictured) and Kent Hargis As talk of an early Fed “tapering” triggered a sell-off in bonds, safe-haven equities have also suffered. Can low-volatility strategies survive rising rates and an unraveling of the safety trade, in which investors rushed headlong into safe assets no matter the cost? We say, yes—but you’ll need an [...]

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Managing Equity Risk: Some Rules for the Road

Under the surface of May’s strong equity returns were major shifts in sector leadership, notably a rotation from defensive to traditional cyclical sectors. Given the market’s tendency to change gears, it helps to be flexible in managing portfolio risk. In fact, it should be a daily exercise.

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Sector Distortions Can Be Costly in Passive Investing

Joseph G. Paul (pictured) and Kevin Simms Passive investing strategies that emulate an index have become increasingly popular. But passive investing can go awry when sector concentrations leave investors exposed to unintended risks.

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Looking for Growth? Go Small and Global

Liliana Castillo Dearth (pictured) and Bruce K. Aronow In the hunt for growth in today’s low-growth world, up-and-coming small- and mid-sized companies are a good place to start. But you need to look everywhere, from Indiana to Indonesia.

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Cyclical Stocks Appeal After Defensive-Led Rally

This year’s equity market rally was initially led by defensive stocks, as macroeconomic concerns persisted despite improved risk appetite. With valuations in these sectors looking stretched and cyclically oriented stocks starting to rebound in May, is a bigger shift starting to unfold? 

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Big Numbers Obscure Emerging Market Trends

Big is not necessarily beautiful when it comes to forecasting emerging markets. In fact, the kind of big numbers that are often bandied around can actually make it harder for investors to understand what’s really going on. We think there is a better way.

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Finding Healthy Stocks in Europe’s Troubled Landscape

European equity markets continue to face severe stress as the continent struggles to contain fallout from the sovereign-debt crisis. Yet this seemingly toxic environment is creating some exceptional investment opportunities in relatively healthy companies that can control their own destinies.

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Japan and the Euphoric Volatility Trap

Ashwin Alankar (pictured), Michael DePalma and Arnab Nilim When equity markets are buoyant and optimism abounds, fears of volatility tend to subside. But recent events in Japan remind us that euphoria itself can generate turbulence.

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In Memory of Remington Rand: Why Tech Is Entering a New Era

Who remembers Remington Rand? Very few of the people reading this post, I’ll bet. Yet in 1952, Remington Rand was the biggest computer company in the US. It disappeared as part of the process of creative destruction which is the hallmark of the technology industry—and it’s happening again today.

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