Market insights and analysis

How dynamic, risk-managed investment solutions are performing in the current market environment

1st Quarter | 2021

Market insights and analysis

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Updates on how dynamic, risk-managed investment solutions are performing in the current market environment.

In investing, as in life, it’s all relative

A couple of years ago, I was at physical therapy for a back ailment. They had me begin on the treadmill. Trudging along, time seemed to drag. Reaching the end of the exercise interval seemed like a distant goal. As I looked around the room in abject boredom, I noticed a group of therapists chatting away with another client. They were animated. The level of chatter increased. They were so engaged!

Gold prices continued to fall last week, approaching a support level at $1,675.00 per ounce.

The major stock market indexes tumbled last week. The Dow Jones Industrial Average lost 1.8%, the S&P 500 Index declined 2.5%, the NASDAQ Composite fell 4.9%, and the Russell 2000 small-capitalization index dipped 2.9%. The 10-year Treasury bond yield rose 6 basis points to 1.405%, as its price weakened. Spot gold closed the week at $1,734.04, down $50.21 per ounce, or 2.8%.

Visualizing the benefits of risk management

A few weeks ago, I wrote about a financial adviser’s analogy between the strategy in a Kansas City Chiefs 2021 playoff game and investor behavior. In that example, the point was how financial advisers could help their clients with the concept of “behavioral adherence,” or sticking with a well-constructed and risk-managed investment plan even when times get tough.

Last week, the gold spot price was down 2.81% and the U.S. Dollar Index was up 0.57%.