3Q Factor Research Quarterly

Jim McDonald gives an inside look into our new capital market assumptions research, which identifies the key investment theme shifting the global asset allocation, risk and return landscape over the next five years.

In this quarter's call, our top experts discuss how factors have behaved in the recent market environment. You'll gain insight into:

•What to expect from small caps in a volatile environment
•Why your value investments may be underperforming
•Current factor valuations and forecasts

Get an inside look at how our top experts are viewing today's biggest headlines through a factor lens.

Are we heading toward a pricing cliff for factor-based strategies? Michael Hunstad provides some opportunities to consider when contemplating factor-based investments.

• Factors typically do well when equity market returns are relatively benign
• Factors may provide excess return to a portfolio

Interest rates and credit spreads have increased this year, but we expect those trends to reverse over the next year. Additionally, we think concerns about accelerating inflation are overblown. Jim McDonald explains.

Many investors are concerned about recent volatility, but it’s really a return to the norm. However, there are two events we think may cause more volatility in the markets.

•Can the Fed be wrong?
•Trade war

Every advisor wants to avoid tough conversations with clients about faltering portfolios. Michael Hunstad explains how using factors may help.

• Getting paid for the risk you take
• Factors tend to deliver consistent excess returns
• Factors can be used as “levers” to achieve desired outcome

With the 10-year Treasury reaching 3% it’s understandable why advisors and clients are concerned about rates going forward. Here’s our take.
•Intermediate – short-term part of the yield curve
•High quality credit
•Purpose of bonds in portfolio

Despite the Federal Reserve rate hike, and an indication of more hikes yet to come, the 10-year Treasury yield actually declined. CIO Bob Browne explains what this means for investors and the economy.

We recommended a shift in asset allocation toward U.S. assets this month. Jim McDonald explains what this could mean for investors.

Volatility has returned in markets across the world. In this quarter's call, our top quantitative experts discuss how factors have behaved as a result of volatility in the last quarter.

With the U.S. 10-year Treasury yield decisively breaking 3% this past week, and the Fed likely to hike again in June, CIO Bob Browne revisits our view on rate hikes and bond yields.

While the Fed is likely to raise rates in June, we think it could be a mistake. Colin Robertson, explains.

Our most recent insights into equity factors around current market events and trends. Find out how timely market events have been affecting equity valuations and returns from the industry experts.

Get Smarter in 60 Seconds - Watch as Northern Trust Asset Management tackles three of the biggest myths surrounding performance, use, and acceptance of environmental, social and governance (ESG) investing.

Over recent years we have seen interest in sustainability and demand for sustainable investment solutions grow – this is set to continue in 2018, but what is driving the growth. Join Julia Kochetygova and Emily Lawrence as they discuss the big themes behind the interest and take a look at how these translate in to investment trends and opportunities.

In this webinar we will discuss:
-Climate change
-Resource scarcity
-Population dynamics

The global economy is showing broad momentum and inflation is putting little pressure on monetary policy. Can this global momentum continue in 2018? Jim McDonald explains.

With Bitcoin breaking $10,000 and equity markets hitting new highs, it easy to get caught up in market prices. But don’t take your eyes off the true drivers of our economy.

Our most recent insights into equity factors around current market events and trends. Find out how timely market events have been affecting equity valuations and returns from the industry experts.

Jim McDonald examines the current drivers of economic growth -- and four factors that could derail the market expansion -- in this week's MarketScape.