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Wealth Watch Newsletter

The markets are complex.  In today’s data age, it’s easy to find more points of information.  However, it’s harder than ever to find out what parts of that information actually matter to you.  That’s the reason behind Wealth Watch.  At BDF, we want to make sure we are always thinking about what’s relevant and keeping you in the loop.

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It’s All Relative – Why Facts and Performance Disconnect

Here we are, now exactly one month since the market bottom. Will that be the final bottom? We can never know that for sure, but we do know the markets have put some distance between the bottom and where we are today. On March 23, the S&P 500 was at 2237, and today we stand […]

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Markets Move Quickly

Market volatility is not gone.  As you can see below, the volatility index (VIX), which helps quantify the level of volatility, is still at a very heightened level.  Thankfully recent volatility has been of the good kind when markets go up: Risk & Reward Volatility, when it is this high, can lead to uneasy feelings […]

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It Passes: The Coronavirus, Economic Stimulus, and the Market

Congress passed and President Trump signed into law the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, which at $2.2 trillion (9.2% of GDP) is the largest fiscal stimulus package in U.S. history. By comparison, the Recovery Act of 2009 was $831 billion (5.7% of GDP at the time). Federal Reserve In addition to fiscal […]

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Rebalancing For the Future

Tax Loss Harvesting As both the news and market continue to be volatile, trading opportunities can present themselves.  One area is tax-loss harvesting.  This creates a tax asset that is there going forward by selling out of an investment at a taxable loss while reinvesting the proceeds at the same time to capture future market […]

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Handling the Hard Times

Yesterday, the market continued its nasty descent.  Not only was it a bad day, it turned out to the be the 4th worst day in Dow Jones history, falling by -9.99% in a single trading day.  Travel restrictions, continual event closings, and other matters weighed heavily on the minds of investors.  The Fed attempted to […]

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Coronavirus Uncertainty Leads to a Bear Market

This Coronavirus (COVID-19) has continued to bring not just volatility to the market, but negativity.  With the classification officially moving to pandemic on Wednesday, we’ve seen even more worry.  This week alone we’ve seen the biggest point decline of the Dow ever followed immediately by over a 1,000-point jump and then another day of volatility […]

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Coronavirus and Market Volatility Revisited

The wild ride that has been the market as of late continues. Driven by a surge in cases of the Coronavirus in South Korea, Italy, Iran, and the United States, last week was the worst week for the stock market since the financial crisis. U.S. equities dropped by double digits with the Dow Jones Index […]

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Coronavirus – The Market Says It’s Supposed to Get Worse

The year 2020 has started with quite the lineup of geopolitical issues.  The one stealing all eyes as of late has been the Coronavirus.  This past weekend, news got worse.  South Korea, Italy and Iran all reported new and escalating cases with Italy now reporting to be the largest impact area outside of China.  All […]

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Factor Primer Series: Multifactor

All good things must come to an end, and this piece concludes our series on factor investing (What is a Factor?; Small-Cap; Value; Momentum; Profitability).  Here we’ll look at bringing all the factors together, in what we will refer to as multifactor investing. As a reminder, we have defined factors as a source of excess […]

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Mind Over Markets

On January 16th and January 23rd, BDF held its Annual Client Event in Itasca and Downtown Chicago, respectively, with over 400 clients and guests in attendance. For those not able to attend, here is a recap of the event. Market Review Chad Carlson, Director of Investment Research, reviewed 2019 – an excellent year for the […]

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Factor Primer Series: Profitability

As we ease into not only a new year but a new decade, we continue our series on factor investing (What is a Factor?; Small-Cap; Value; Momentum). Today, we dig into the profitability factor. As a reminder, we have defined factors as a source of excess return that is sensible, persistent over long time periods, […]

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Good 2019, Good 2020?

The year 2019 has been filled mostly with joy from a market perspective.  Most days, weeks, and certainly months you could look at your statement and feel quite good about the progress made.  So good, it leads many to ask whether the gifts the market has been giving can keep on coming or has the […]

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