Asset Allocation Reports
Asset Allocation Bi-Weekly – Copper, Gold, Treasurys, and the New World (June 10, 2024)
by the Asset Allocation Committee | PDF Early 2023 served as a stark reminder that correlations can break down when least expected. Last year, a decline in the copper/gold ratio led many investors to anticipate a fall in longer-term yields, particularly for the 10-year Treasury note. However, these expectations were shattered as yields not only… Read More »
Asset Allocation Bi-Weekly – The Importance of the Federal Reserve’s Inflation Target (May 28, 2024)
by the Asset Allocation Committee | PDF Money has three characteristics: medium of exchange, store of value, and unit of account. When money is taught in undergraduate economics classes, these three functions are treated as self-evident, but careful observation suggests that that the first two characteristics are contradictory. If a monetary authority emphasizes the medium… Read More »
Asset Allocation Bi-Weekly – The Immigration Paradox (May 13, 2024)
by the Asset Allocation Committee | PDF Throughout history, immigration has been a politically charged issue, creating a rift between capital and labor. Employers have advocated for looser immigration policies to fill job vacancies, particularly for positions that don’t offer high pay. Conversely, labor unions often push for stricter policies to prevent an influx of… Read More »
Asset Allocation Bi-Weekly – The Peace Dividend, Government Debt, and Yield Curve Control (April 29, 2024)
by the Asset Allocation Committee | PDF Danish Prime Minister Mette Frederiksen recently castigated the European governments that slashed their defense spending at the end of the Cold War and then remained far too complacent about the growing threat from Russia in recent years. According to Frederiksen, hiking their defense budgets as is now necessary… Read More »
Asset Allocation Quarterly (Second Quarter 2024)
by the Asset Allocation Committee | PDF Our forecast does not include a recession during the three-year period. The US economy is expected to be relatively strong throughout the forecast period. We expect heightened geopolitical tensions to persist as the deglobalization trend continues. Inflation is likely to remain higher due to structural forces such as… Read More »
Asset Allocation Bi-Weekly – The Incremental Uranium Demand for Weapons (April 15, 2024)
by the Asset Allocation Committee | PDF In our Asset Allocation Bi-Weekly report from March 4, 2024, we began to explain more fully our recent decision to introduce uranium and uranium miners into our Asset Allocation strategies. Our key thesis was that current and planned investments in new nuclear reactors for electricity generation, especially in… Read More »