J.P.Morgan is not overweight equities in their model portfolio and Jan Loeys the analyst team in the Global Asset Allocation group think they owe investors an answer. In an August 19 research report and a J.P.Morgan View video posted to Reuters Insider they point to trend growth not being good enough and the potential for an eventual recession. We want better than trend growth Equities have significantly outperformed credit investments over the last six weeks as recession risks faded, the August 20 report titled “Why no equity overweight?” observed. “For the moment, we simply explain the outperformance of equities as…
JPMorgan: Lower Productivity Growth, Higher Wages To Weigh On Stocks
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.