Tag Archives: S&P 500 High Beta Index
Momentum’s Mystique
I confess some superhero powers underwhelm me (really, Hawkeye, arrows?) or stretch credulity further than Hulk’s hyper-elastic jeans. However, one I can appreciate is Mystique, the shape-shifting mutant who constantly alters her appearance to stay one step ahead. If factors were superheroes, I’d argue the S&P 500® Momentum Index (“Momentum”) and Mystique share commonalities, both…
- Categories Factors
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Rising Rates’ Repercussions
Which of the figures in Exhibit 1 belong together? Even if puzzles aren’t your strong suit, it’s not hard to observe that A and C are similar, as are B and D. A and C are not like B and D. Exhibit 1’s puzzle is rooted in recent economic news, specifically in the consensus view…
- Categories Factors, S&P 500 & DJIA
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- Factors, S&P 500 & DJIA
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Battle of Factors: Low Volatility versus High Beta
2020 has surprised us all with a number of firsts. Not only did we witness wild swings in the market from one quarter to the next, we also saw an unusual performance of commonly followed factors. While this blog will not attempt to predict factor performance, it will address recent factor behavior and put this…
Rising Rates Arrive
Which of the figures below belong together? It’s obvious, even if analogies aren’t your strong suit, that A is like C and B is like D. A and C are not like B and D. The economic relevance of this simple visual exercise is this: At its March 2017 meeting, the Federal Open Market…
- Categories Equities, Factors, Fixed Income, Strategy, Uncategorized
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2017, defensive strategies, equities, Equity, Factor, Fed Funds Rate, Fed Policy, Fed Rate Policy, Federal Funds Target Rate, Federal Reserve, Fei Mei Chan, high beta, Higher Interest rates, Index Investment Strategy, institutional investor, interest rates, low volatility, Raising Fed Funds, rising rates, risk, S&P 500, S&P 500 (TR), S&P 500 Low Volatility, S&P 500 Low Volatility High Dividend Index, smart beta, stock, U.S. Federal Reserve
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- Equities, Factors, Fixed Income, Strategy, Uncategorized
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- 2017, defensive strategies, equities, Equity, Factor, Fed Funds Rate, Fed Policy, Fed Rate Policy, Federal Funds Target Rate, Federal Reserve, Fei Mei Chan, high beta, Higher Interest rates, Index Investment Strategy, institutional investor, interest rates, low volatility, Raising Fed Funds, rising rates, risk, S&P 500, S&P 500 (TR), S&P 500 Low Volatility, S&P 500 Low Volatility High Dividend Index, smart beta, stock, U.S. Federal Reserve
Low Volatility and High Beta: When Opposite Paths Meet
By design, the S&P 500® Low Volatility Index sometimes takes large positions in sectors. Particularly in times of turmoil, the rankings-based methodology of the S&P 500 Low Volatility Index offered refuge by steering clear of sectors such as financials in 2008 and the technology sector during the 2000-2002 deflation of the bubble. On the flip side,…
- Categories S&P 500 & DJIA, Strategy
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