Markets take the stairs up and the elevator down

A common saying in finance is that “markets take the stairs up and the elevator down.” After more than 3,000 days of steady stair climbing and very little volatility, that changed violently and suddenly on Friday, February 2, and Monday, February 5, 2018.

Fallout from the Equifax Security Breach

More than 145 million people may be impacted by the Equifax security breach, including five million Georgians and five million North Carolinians. Balentine shares five steps every person should take, as well as three questions to ask any potential advisor or partner.

The Fundamental Things Apply

As we look to 2014, many are reflecting on a very strong year for domestic stock markets. However, a key component that is missed by many investors and the media alike is the failure to appreciate how much (or rather how little) of that rally has been justified by an improvement in underlying fundamentals. As […]

Bridging the Gap: A Tactical Rebalancing Act

Portfolio rebalancing is the process of bringing a portfolio that has deviated from a target allocation back in line. The prevailing notion for much of the investment industry has been to set and then forget an investment portfolio and only rebalance on a regularly scheduled basis, either monthly quarterly or in some cases yearly. Despite the fact that this has long been the industry standard, in the current low-return environment, this “set it and forget it,” autopilot strategy simply is not good enough.

Drought May Buoy Advisers’ Portfolios

“As long-term investors, it is very difficult to play short-term events, and it is difficult to say how far-reaching the drought’s impact will be,” said David Damiani, director of risk management at Balentine LLC, an Atlanta-based registered investment adviser overseeing $1.5 billion.

The Case for Cash

At Balentine we have long extolled the importance of keeping a strategic liquid reserve (Cash) in investment portfolios. This idea of a risk first approach to investment with an emphasis on immunizing spending needs is gaining in popularity in our industry. To that end, CFA Institute Magazine recently published “The Case for Cash,” written by David Damiani, Balentine’s Director of Risk Management in its Viewpoint column.

How the Euro Affects Your Investments

Alan McKnight, the director of global investment strategy at Balentine, said taking on currency exposure adds the risk that movements in the currency can influence the overall value of the asset regardless of the underlying characteristics of the asset.

Freaky Friday the 13th: Risk returns to market

“Profit levels are already at record highs. So Corporate America has to start showing sustainable revenue growth to justify current stock valuations. That is key. And there are considerable headwinds for companies to digest,” said Adrian Cronje, chief investment officer at Balentine in Atlanta.

When Cash is King: Liquidity Management (Part Two)

Managing cash is an important component of risk management. By “immunizing” near-term spending requirements in an appropriate way, Balentine helps clients pursue their long-term investment goals while maintaining a pool of assets and reserves. Last fall in “When Cash is King,” we outlined Balentine’s reasons for holding cash and other liquid reserves and our process for determining how much to hold at any given time. In part two of our discussion, we will discuss how and when to refund cash and implementation options for this part of the portfolio.