The Columbia Management Perspectives blog offers our insights on current market events and investment opportunities.
Many large companies derive significant revenue outside of the U.S. International markets offer both growth opportunities and attractive equity yields. Investors should consider global dividend funds as part of their current portfolio. The line between domestic and global securities has blurred. The top constituents by market capitalization of the S&P 500 index include Apple, Exxon Read More
Surge in tax receipts allows the U.S. Treasury to report the largest budget surplus in five years. What is good for the Treasury and the budget presents some burden on households, as taxpayer refunds are down 3.5% this year versus last. Recent deficit improvement may give a false sense of security and delay critical entitlement Read More
Within equities, we maintained an overweight to U.S. stocks, with emphasis on large-cap stocks and high-quality, dividend-paying equities. For fixed income, we continue to prefer investment grade corporate bonds. We believe low correlation absolute return strategies should continue to be a part of diversified portfolios. The Columbia Management Asset Allocation Team meets to review global economic Read More
Americans are generating more waste than ever, but a greater proportion is being recycled. Recycling business is profitable, but sales depend on commodity prices and revenue is less predictable. Traditional landfill waste companies may see slower growth as recycling continues to expand. Oh, I love trash! Anything dirty or dingy or dusty Anything ragged or Read More
The U.S. petroleum trade balance has shifted. Development of domestic energy sources benefits domestic goods producers with lower costs. Energy exports modest, but on the increase. Investors should note the recent shift in the U.S. petroleum trade balance. For many decades, the United States has largely imported oil and petroleum products, widening our trade deficit Read More
First quarter advance estimate of GDP shows annualized growth of 2.5%, which was below expectations. Positive contributions from personal consumption, fixed investment and inventories were shaved by negative contributions from net exports and government expenditures. This quarter’s weaker economic data will temper views of the Fed backing away from quantitative easing (QE) sooner rather than Read More
Emerging market economies have been prudent with their fiscal performance over the last decade. The average credit rating for emerging market countries is now solid investment grade. While developed market economies are now being forced to face their own overdue fiscal adjustments, emerging market economies are generally in a position to continue growing economically. By Read More
The views expressed are as of the date given, may change as market or other conditions change, and may differ from views expressed by other Columbia Management Investment Advisers, LLC (CMIA) associates or affiliates, Actual investments or investment decisions made by CMIA and its affiliates, whether for its own account or on behalf of clients, will not necessarily reflect the views expressed. This information is not intended to provide investment advice and does not account for individual investor circumstances. Investment decisions should always be made based on an investor's specific financial needs, objectives, goals, time horizon, and risk tolerance. Asset classes described may not be suitable for all investors. Past performance does not guarantee future results and no forecast should be considered a guarantee either. Since economic and market conditions change frequently, there can be no assurance that the trends described here will continue or that any forecasts are accurate. Please see our social media guidelines.
