Monday, July 14, 2014
Heard on the Boards
Stocks' ascent has prompted some investors to lighten up on equities, while others are taking a hands-off approach.
Video Report
Combining strategic-beta approaches with each other, or with traditional cap-weighted holdings, can offer diversification benefits, though these strategies require long-term commitments, says Russell's David Koenig.
Video Report
The bank-loan market has supportive conditions for at least the next year, but near-term fundamental strength might not hold up against long-term outflows, says Western Asset's Michael Buchanan.
Morningstar Minute
Sector Update
Carbon-emissions laws have forced several coal-oriented utilities to improve their plants with multi-million-dollar investments, which, in turn, should contribute to dividend-growth opportunities.
    Morningstar Specialists
    Sam Lee: Rational Investing
    High-yield bonds are expensive, but if you absolutely demand high income, here's a closed-end fund to consider.
      Russ Kinnel: Fund Investing
      In all, we changed Morningstar Analyst Ratings on 15 funds in June.
        Rekenthaler Report
        The idea is good, but the benefits are overstated.
          Bob Johnson: Reading Indicators
          A possible bank default and soft industrial production figures have rekindled some nervousness about the European recovery, says Morningstar's Bob Johnson.
            Christine Benz: Real-life Finance
            In Part 3 of a three-part interview, T. Rowe Price's Christine Fahlund addresses the highly debated issue of withdrawal rates and the merits of "practicing retirement."
              Josh Peters: Dividend Investing
              Companies are buying back shares at near-record levels, but Morningstar's Josh Peters says firms can serve shareholders much better with dividends rather than stock repurchases.
                Matt Coffina: Wide-Moat Investing
                With the uptick in merger and acquisition activity, whether it be for tax-inversion or strategic reasons, investors should focus on the target company, which can benefit from the deal immediately, says Morningstar's Matt Coffina.
                  Stocks
                  Stock Strategist
                  China's expanding middle class will give e-commerce
                  a boost.
                    Real Life Finance
                    Personal Finance
                    Removing some decision-making from investors' hands can prevent poorly timed moves, but other risks can arise.
                      Mutual Funds
                      Fund Times
                      With no explanation, Waddell & Reed fires the manager of a $12 billion fund.
                        ETFs
                        ETF Spotlight
                        But this low-cost ETF has held up as interest rates have stayed low.
                          Bonds
                          Video Report
                          The risk of bank-loan defaults is muted at the same time investor demand for such products remains elevated, but this volatile asset class is not for near-term cash needs, says Fidelity's Eric Mollenhauer.
                            Perspectives
                            Perspectives: Knowledge@Wharton
                            The after-effects of the Great Recession have dealt a blow to the middle market. Companies must change their innovation strategies to respond.
                              Closed-End Funds
                              CEF Weekly
                              Despite a bounceback in the muni market, some closed-end funds remain undervalued.
                                Market Barometer
                                Lg
                                Md
                                Sm
                                Value—Growth
                                Day Return
                                +1.25%
                                0
                                -1.25%
                                1Wk Return
                                +1.25%
                                0
                                -1.25%
                                1Mo Return
                                +4%
                                0
                                -4%
                                3Mo Return
                                +8%
                                0
                                -8%
                                1Yr Return
                                +20%
                                0
                                -20%
                                3Yr Return
                                +20%
                                0
                                -20%
                                1Wk1Mo3Mo1Yr3Yr
                                Market Consensus
                                $70.0B
                                Actual
                                $70.5B
                                Market Consensus
                                0.7%
                                Actual
                                Market Consensus
                                0.6%
                                Actual
                                Market Consensus
                                13.2
                                Actual
                                Market Consensus
                                NA
                                Actual
                                Market Consensus
                                NA
                                Actual
                                Market Indexes
                                DJIA
                                16,944
                                28.7
                                0.2%
                                S&P 500
                                1,968
                                2.9
                                0.1%
                                NASDAQ
                                4,415
                                19.3
                                0.4%
                                Morningstar U.S. Market
                                4,966
                                5.0
                                0.1%
                                Morningstar Small Cap
                                7,542
                                -18.8
                                -0.2%
                                Commodity Futures
                                Gold
                                $1,318.80
                                -1.49%
                                Jul 14
                                Light Crude
                                $100.36
                                -2.50%
                                Aug 14
                                Natural Gas
                                $4.11
                                -0.34%
                                Aug 14
                                Maturity
                                %Yield
                                6 Month
                                0.07
                                2 Year
                                0.48
                                5 Year
                                1.65
                                10 Year
                                2.53
                                30 Year
                                3.34
                                1 Yr Ago
                                Last Close
                                Data as of last close