Issue Vol. 4 No. 13 July 12, 2017

In This Issue

Recommended Readings
Latest Resources

Recommended Readings

Your Asset Allocation Model is Wrong
by Alton Cogert, View from the NW Quadrant Blog

With the wrong asset allocation model, your company is its own worst enemy since it can be producing much better investment results.

Knowing this, how do we know if the model we are using is useful?

View Blog

SwissRe Shifts Entire $130bn Portfolio to ESG Indices
by Oliver Ralph of the Financial Times

SwissRe shifts entire $130bn portfolio to ESG indices. When will we see more of this with US Insurers?

"Swiss Re says it is the first insurer to base its whole portfolio on ethical principles. Guido Fürer, the chief investment officer, says that in future both internal and external managers of its money will be told to use MSCI?s environmental, governance and social indices, rather than more traditional benchmarks."

View Article

Insurer Private Placement Holdings Increase
via A.M. BestTV

Has your insurer considered private placements? More insurers are per A.M. Best, though spreads are tightening.

View Video

Updates to Best Rating Methodology (BCRM)
via BestTV

Important BCRM update draft from A.M. Best. The process continues.

View Video

Will Your High Yield Bond Fall Through This Trap Door?
by Robert Smith of the Financial Times

The Junk Bond ?trap door? your next investment might fall through. Just another effect of low rates for longer.

"High-yield investors successfully pushed Superior Industries to strip out a controversial clause in a debt sale on Thursday, marking a rare victory for bond buyers in their tussle with sellers over aggressive deal terms."

View Report

Latest Resources

Illinois has a Budget...Finally
by Lyle Fitterer, CFA, CPA of WFAM: AdvantageVoice

Terrific article about a subject of importance for all muni investors.

"As we read countless articles about Illinois, it will likely be essential for municipal investors to look at fundamental data and valuations. Illinois offers a compelling combination of outsized yields, a difficult fiscal situation, a positive economic backdrop, and financial flexibility to be the most compelling story in the municipal market, in our opinion."
Is the Fed Helping or Hurting the Economy?
Barnett, Sivon & Natter

Will the Fed?s moves bring the economic expansion to a premature end? Bill Longbrake puts it into perspective.

View Report