September 7, 2017

Why Does the Market Not Take a Hit when Natural Disasters Happen?

Growing up in a small coastal city of Southern Georgia taught me to never underestimate hurricanes. They are not just something you see on TV; they are actual monsters to fear. Riding out a storm was never an option with my parents. The sheer magnitude of devastation they leave in their wake quickly brings you to your knees. My heart aches for those preparing to overcome Hurricane Harvey in Houston. Not only that one but Hurricane Irma, which is barreling directly toward South Florida. What damage will be left in the wake of her landfall for those residents is yet to be determined. While the heartbreak and gut-wrenching scenes of havoc play out before our very eyes, I was recently asked why the stock market has not taken a hit of epic proportions with these destructive storms displacing so many Americans. After all, Houston is the fourth largest city in […]
November 3, 2016
big news headlines

Big Headlines Drive the Markets? – Weekly Update

Do big headlines drive the markets? At first glance, last week’s headlines may lead you to think that the markets are fluctuating more than they actually are. Yes, Hillary Clinton’s emails are in the news again (more on that below), but despite that surprise, the major indexes stuck to the same range-bound performance we’ve seen for the past three months. The S&P 500 ended down 0.69%, the NASDAQ was off 1.28%, and MSCI EAFE lost 0.44%. The Dow Jones Industrial Index eked out a 0.09% increase. Three Key Events Last Week 1. FBI Announces Renewed Look at Hillary Clinton’s Emails What happened? On Friday, October 28, FBI Director James Comey sent a letter to Congress alerting them that the agency would be reviewing new Hillary Clinton emails discovered during their investigation of former Congressman Anthony Weiner. When news of Comey’s letter broke, the major indexes responded quickly-and negatively. For example, […]
October 18, 2016
2016 Election and the Stock Market

The 2016 Election and the Stock Market

Over the past few months, the election and the stock market are topics of discussion on everyone’s lips. Now we are less than a month away from the big day. Despite much debate regarding how the outcome will affect different areas, we have yet seen how it will affect the stock market. With the United States as a key driver of the global economy, the result is likely to yield a reaction. No matter which of the paths we take, we can be sure after the election things will look very different. Overall, we should see a huge impact on health care, taxes, federal regulations, immigration policies, and more in the coming years. However, before we make predictions regarding this election and the stock market; let’s see what effect previous elections had on the stock market and global economy. Which combination is best? According to history, the stock market performed […]
October 18, 2016

How Much Will Hurricane Matthew Cost?

Counting the Cost of Hurricanes Whenever disaster strikes, people often wonder: What’s all this going to cost? Though the human toll of injury and death may be incalculable, experts have gotten pretty good at estimating the economic costs of lost production and physical damage due to major storms. According to one economist, about two-thirds of the financial losses of a hurricane are related to property damage while one-third come from economic losses. The insurance costs of property damage due to Matthew’s wind and storm surge are currently estimated to be between $4 billion and $6 billion, though those figures may rise as claims start rolling in. The chart below shows storm damage estimates for four major hurricanes since 1979. We can see that Hurricane Sandy and Hurricane Katrina dwarf Matthew regarding overall damage. However, Matthew is estimated to have a higher percentage of losses due to wind damage, which could […]
September 26, 2016
Investing under a Clinton Presidency

Investing Under a Clinton Presidency

Yesterday we took a look at some areas that could potentially be big investment areas under a Trump presidency. Today we’re dissecting the agenda of Democratic nominee Hilary Clinton. The two candidates are polar opposites on just about every issue at hand, so where do you go to bat if she becomes the next president of the United States. Here’s a few we foresee being possible winners. Managed Healthcare Companies Clinton has made no bones about what a fan she is of socialized medicine. She recently stated she wanted to take the Affordable Care Act a step further than President Obama did. If she has the opportunity to capitalize on that promise, then someone has to manage it, which is where the managed healthcare providers come in to play. A four or eight-year term under Clinton will likely turn the heads of investors this direction making these companies ones to […]
September 25, 2016
Investing under a Trump Presidency

Investing under a Trump Presidency

Should i Investing under a Trump Presidency? Lets find out. The upcoming Presidential election is polarizing the nation. Two of arguably the least liked candidates in history are set to battle it out on the debate stage in just a few days. No matter where you stand on politics in just a couple of months one of them will be sworn in as the next President of the United States. With that transition some major policy changes are inevitable, so what should we expect to see in the investment world? Obviously, that depends on the winner and in order to figure that out, we’ll need to dissect the platforms of both candidates so you get a pretty good idea of what to invest your money in. Let’s start by taking a look at the areas you may be wise to invest in with a Trump presidency. Investing under a Trump […]