Arnott Says U.S. Stocks are “Dead Money”

The founder and CEO of Research Affiliates argues that investors should load up on emerging market  stocks and sell off overpriced U.S. equities, according to a recent Barron’s article. In a recent interview, Arnott shared his insights on the subject: Should an investor make emerging markets a larger part of their portfolio? It depends on their level of risk tolerance, Arnott says. For instance, if an investor becomes “panicky” if share price gains are not immediate, then maybe not. “If you aren’t panicky,” says Arnott, “then I would be [disinclined] to own U.S. equities now.” On predicting performance of emerging […]

Bloomberg: It Could Be Time to Run with the Bulls

The election of Emmanuel Macron as French president should be the “signal for equity investors to take advantage of a less febrile political environment and buy European stocks,” according to a Bloomberg article from earlier this month. For the past year or so, the article says, economic growth in the euro zone has matched that of the U.S.: The article cites data from Morgan Stanley indicating that first-quarter results submitted by more than 250 companies reflects that “the net number beating earnings expectations is on course to be the highest in more than a decade.” However, the article argues that […]