Orion's The Weighing Machine

The world of investing is constantly evolving. The traditional approach of diversifying portfolios is no longer the only way to go. Today, thematic investing is one of the most exciting investment strategies.The popularity of thematic investing continues to skyrocket, and for good reason. It allows investors to invest in themes or sectors that may be performing well now or have the potential for growth in the future based on current trends and market conditions.In today’s episode, Rusty and Robyn talk with Jay Jacobs, Head of Research and Strategy at Global X ETFs, about the biggest investing themes of 2022 and how these trends impact the market. Key Takeaways [03:15] - How Global X formulated the outlook for 2022. [04:46] - The eight major themes of Charting Disruption. [05:46] - What investors need to know about robotics and artificial intelligence. [07:31] - What the future holds for mobility. [08:41] - The future of blockchain, cryptocurrencies, and digital assets. [10:27] - Why climate change is a very complex theme. [12:44] - How the digital economy is becoming a major part of the market economy. [15:49] - Why robotics and artificial intelligence will be a trend in the future. [17:07] - The most overlooked theme for the coming years. [18:48] - The market's response to electric vehicles and infrastructures. [20:47] - Why thematic investing is on the rise. [22:41] - An ideal investment for thematic investing. [23:56] - How Jay maintains a high level of physical and mental performance. Quotes[11:00] - "We're at this inflection point in the world where, especially coming out of the COVID 19 pandemic, I think there's this enhanced sense of collaboration that if we tackle this pandemic, we can tackle the next big challenges for the world. And that certainly is looking like climate change." - Jay Jacobs[13:42] - “What we're seeing in the post-pandemic is that people have shifted to this digital world and are getting more and more comfortable with it. And more of that economy is happening online." - Jay Jacobs[19:14] - "Thematic investing is really done best when focused on long-term trends. Not just taking profits or cutting losses in the short term, but seeing it fully through over the decades that it takes for a theme to fully play out." - Jay JacobsLinks  Jay Jacobs on LinkedIn Jay Jacobs on Twitter All Along the Watchtower with Jimi Hendrix Paul Reed Smith Guitars Marshall Amps Global X ETFs Website Global X ETFs on Twitter Global E ETFs Research Charting Disruption Erik Brynjolfsson Elon Musk Coinbase Costco Grand Theft Auto V Peleton Project Hail Mary The Martian A Gentleman in Moscow Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 3107-OPS-12/14/2021

In today’s episode, Rusty and Robyn talk with Brie Williams, Vice President and Head of Practice Management at SPDR Exchange Traded Funds.Women make up half of the population, but they are vastly underrepresented in the investment industry.  Traditionally, they have been economically disadvantaged relative to their male counterparts.  In recent years, however, there has been a changing role for women as financial decision-makers. How can financial advisors help women break through the barrier of navigating into the investing world?Rusty and Robyn talk with Brie about the SHEconomy, the changing role of women as financial decision-makers, and how to encourage women to be part of the investment industry.Key Takeaways [3:16] - What attracted Brie to the marketing field. [5:59] - How advertising contributed to her early success. [7:35] - Her role at SPDR Exchange Traded Funds. [10:33] - What the statue of the fearless girl represents. [13:13] - The impact of the fearless girl after four years. [16:06] - How the dynamic is shifting to make women the new face of wealth. [19:12] - Why women's overall experience in the investment industry is less than positive. [25:24] - The unique challenges women investors face. [27:26] - How financial advisors recognize and overcome gender bias. [29:33] - The things advisors should take into account when working with women investors. [33:37] - How traditional male-female partnerships work to make important financial decisions. [36:18] - The impact of the pandemic on women's financial and investment goals. [41:17] -  Strategies to attract more women to careers in investment and financial advice. Quotes[18:34] - "When you have an affluent woman taking over financial decisions in her household, she typically is going to be seeking out a new wealth management relationship to better suit her needs. We currently have a gap in advice when it comes to how we connect with women and we need to close that gap." - Brie Williams[35:34] - "When you can talk about money productively as a couple and truly work together as a team, then you can have a better handle on owning your own worth, owning your family's worth, and are in a much better position to tackle the curveball when life throws it to you." - Brie WilliamsLinks  Brie Williams on LinkedIn Lizzo The Beatles Girl on Fire Southern Methodist University Emerson College Frito-Lay McDonald’s Corporation SPDR Exchange Traded Funds State Street Corporation Arnold Worldwide Putnam Investments Money Smart Resources Women’s Worth: Finding  Your Financial Confidence Get a Financial Life: Personal Finance in Your Twenties and Thirties The Business of Family: How to Stay Rich for Generations Practice Made (More) Perfect Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 3106-OPS-12/14/2021

In an economy characterized by uncertainty, can decentralized finance offer a better solution to protect your money and investments?In today’s episode, Rusty and Robyn talk with Jeremy Schwartz, Global Chief Investment Officer at WisdomTree Asset Management.Jeremy had an innate interest in numbers as a kid, and grew up reading the Wall Street Journal and watching stock prices. He began his career as a head research assistant to Wharton finance professor, Jeremy Siegel. Their work, The Future for Investors, has become a key element of WisdomTree.Jeremy talks with Rusty and Robyn about WisdonTree’s market outlook, how they are embracing digital assets, and how Jeremy Siegel played a significant role in his career development.Key Takeaways [4:20] - What drew Jeremy to investing. [6:13] - The many roles he’s played at WisdomTree. [7:52] - What makes a good research team. [9:46] - What he learned from Jeremy Siegel, personally and professionally. [13:02] - His favorite podcast topics. [15:36] - WisdomTree's current view of the economy and inflation. [18:56] - How long does inflation last and what's the best way to hedge it? [21:09] - Where investors can find real value over the next few years. [24:22] - How WisdomTree works with digital assets. [28:18] - The qualities of a good investment manager. [30:14] - How Jeremy keeps his performance at a high level. Quotes[19:39] - "Equities are the best hedge for inflation. If you look at the 60-year dividend growth on the S&P 500, 5.7% over 60+ years inflation, you’ve got real growth on top of inflation. On average, the S&P can give you 2% real growth on top of inflation. That’s one of the reasons why we think that stocks are the ultimate real assets. " - Jeremy Schwartz[23:59] - "For us, it's more than bitcoin, ether, and exposures, it's trying to tokenize all sorts of assets like treasuries, like gold - have a WisdomTree wallet that these things are operating in. So DeFi to us is something we're investing a lot of resources on." - Jeremy SchwartzLinks  Jeremy Schwartz on LinkedIn Jeremy Schwartz on Twitter All In by Lighthouse WisdomTree Asset Management Jeremy Siegel Patrick Harker Liqian Ren SiriusXM 132 Robert Shiller The Future For Investors Stocks For The Long Run 5/E Scott Welch Dynasty Financial Partners Vanguard Behind the Markets Podcast Phil Huber The Allocator’s Edge Corey Hoffstein Valmark Financial Group Michael McClary James Bullard Ritholtz Wealth Management Onramp Invest Gemini Myers-Briggs Type Indicator Flirting with Models Podcast Genius Makers Hacking Darwin Basis Points Podcast China of Tomorrow Podcast Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 3071-OPS-12/8/2021

The economy is changing. Markets are shifting. As you make decisions about retirement or other long-term goals, it's important to think about the types of investments that will be appropriate for those goals. How does focusing on conventional investment strategies limit your potential to succeed?In today’s episode, Rusty and Robyn talk with Brian Selmo, Partner and Portfolio Manager at First Pacific Advisors (FPA).Prior to joining FPA, Brian was the founder and managing member of Eagle Lake Capital as well as an analyst at Third Avenue Management and Rothschild, Inc. With his extensive experience in the financial services industry, Brian is well versed in formulating strategies that will adapt to the world's ever-changing economy.Brain talks with Rusty and Robyn about FPA Crescent Fund, why it is different from other asset allocation funds, and how it works in the financial markets.Key Takeaways [03:50] - Brian's role at FPA. [06:32] - The qualities FPA looks for in an analyst. [09:42] - What sets Crescent Fund apart from other asset allocation funds. [13:13] - How Crescent Fund manages its three different types of equity investments. [16:23] - Crescent Fund’s unique investment strategy. [20:19] - Why FPA's Crescent Fund is more net long than usual. [27:16] - Qualities of a good financial manager. Quotes[10:18] - "We don't start from a position of trying to fit in a box. I think our overarching idea or goal is to treat the fund as if it was 100% of a wealthy family's assets and to manage it accordingly." - Brian Selmo[21:31] - "When we own on average higher-quality businesses, we want to be more fully invested than if you own a portfolio of lower quality, more cyclical businesses at a different point." - Brian Selmo[26:03] - "I think the world is constantly changing and evolving and you have to respond to it as it exists, not try to look at it through the rearview mirror." - Brian SelmoLinks  Brian Selmo on FPA Funds  First Pacific Advisors Website Bing Crosby White Christmas  Mark Landecker Steven Romick Modern Finance Podcast Acquired Podcast Kate Murphy You’re Not Listening: What You're Missing and Why It Matters Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 3031-OPS-12/1/2021

Inflation is one of the many things that can erode your investment returns, leaving you with far less than you anticipated.  How can you protect yourself from inflation and maximize your yield?In today’s episode, Rusty and Robyn talk with Scott Henderson, Senior Vice President and Portfolio Specialist at Calamos Investments. Being with Calamos Investments since the beginning of his career, Scott has gained a deep understanding of alternative investments and convertible funds. Because of the many hats he wears, he has been part of the company's transformation into a diversified global investment firm today.Scott talks with Rusty and Robyn about alternative and convertible bond investing, the pros and cons of convertible funds, and what makes a good investment manager and a good investor.Key Takeaways [4:14] - Scott's role at Calamos Investments. [5:38] - What attracted Scott to the world of investment. [7:06] - How market-neutral funds work. [7:40] - What sets Calamos’ market-neutral fund apart from other market-neutral funds. [9:15] - Simple rules for evaluating alternative funds. [11:26] - The challenge of chasing yield in income funds. [12:40] - Scott's recommendations for managing investments in alternative and convertible bonds. [13:59] - The concept of convertible funds. [17:02] - The pros and cons of convertible bonds. [18:50] - How financial advisors and investors maximize current yields. [20:08] - What makes a good investment manager. [21:33] - The qualities of a good investor. Quotes[9:15] - "The problem with alternative investments, many of the firms that do the analytic work try to just compartmentalize a lot of different funds into one category. So my thinking when it comes to market-neutral funds or even alternative funds is to really start by asking the question, what problem is this investment trying to help me solve?" - Scott Henderson[11:51] - "I think one of the challenges that we tend to see with chasing yield is that we either try to extend our durations in our bond portfolio out very long to get more yield or we dip down into lower credit quality." - Scott Henderson[17:07] - "Convertibles can be complicated investments. So you need someone that's really looking at the convertibles, looking at the credit quality, or looking at the upside potential. But if they're managed correctly, convertibles can provide an attractive risk/reward as well as that yield advantage over the common stock." - Scott Henderson[20:18] - "Good managers should possess benchmark awareness. They need to have a strong understanding of the risks in their asset class that they invest in and make a sound decision with those risks in mind, not just increase their portfolio's risk in order to match or exceed the benchmark returns." - Scott Henderson[21:33] - "A good financial advisor is one that's keeping up to date with the market environment, listens to the needs of their client, provides education to them, does a thorough analysis, and looks into the client's willingness and ability to take those risks." - Scott HendersonLinks  Scott Henderson on LinkedIn Jimmy Buffett One Particular Harbour Johnny Clegg Scatterlings of Africa Calamos Investments Calamos Investments on Twitter Calamos Investments on LinkedIn John Calamos Morningstar Tesla Motors Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 3030-OPS-12/1/2021

The world is changing and it's time to change with it. As global debt and inflation rise, how can investors navigate the challenges of the global economy?In today’s episode, Rusty and Robyn talk with Dirk Hofschire, Senior Vice President of Asset Allocation Research at Fidelity Investments.Prior to joining Fidelity, Dirk was a foreign service officer for the U.S. Department of State and a financial economist for the Bureau of Western Hemisphere Affairs. As he traveled the world, he developed an interest in economics.Dirk talks with Rusty and Robyn about the risks of rising global debt, how investors can stay ahead of an unsustainably challenging economy, the business cycle, and other risks to the global economy.Key Takeaways [5:16] - Dirk Hofschire’s role at Fidelity Investments. [6:58] - How multi-time horizon asset allocation works. [8:18] - Why analyzing the business cycle is important. [12:48] - Why debt has ballooned so much around the world in recent years. [18:01] - What investors need to remember when dealing with a highly-indebted world. [26:31] - How professional investment managers view government as a larger part of the global economy. [35:24] - Dirk's perspective on digital assets. Quotes[19:12] - "Diversification is obviously the bread and butter for long-term portfolio building. But over the past 10 or 15 years, it would've been very easy to learn the opposite. If you had owned a US dominant 60-40 portfolio, that’s all you needed. So the diversification in part is against inflation, but it’s actually much broader than that. It's against the sort of extreme events with policy that could mean a much weaker dollar." - Dirk Hofschire[27:54] - "When you think about government regulation and you just think about government policy being more involved in general, I'm not worried that the US is going to become a socialist country by any actual meaning of the term. But what I do worry about is when you sum up all the different things that are happening, all of those things have the potential to seep into reducing corporate profitability, potentially acting as a drag on growth, or potentially being more inflationary, but maybe not. But at the bottom line, it's hard to see how this is positive for profits." - Dirk Hofschire[29:49] - Some of the things like shorter duration on the bond side, or on the stock side, commodities and traditional hedges, as well as some of the things like real assets, real estate and gold, and other types of commodities—those will all still be pretty good inflation hedges. Even if they get expensive, they should still hedge, somewhat, that surprise of potentially even higher inflation or greater inflation that's already priced in." - Dirk HofschireLinks  Dirk Hofschire on LinkedIn Fidelity Fidelity Podcasts John Maynard Keynes  Lords of Finance Mike Duncan Podcast  Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 2901-OPS-11/13/2021

In today’s episode, Rusty and Robyn talk with Frank Nickel, Head of Quantitative Strategies and Investments at Brinker Capital.Frank oversees the setup of the investment process that drives direct investing strategies and risk mitigation across various platforms at Brinker. Prior, Frank spent 27 years in various roles at Morgan Stanley—from asset allocation strategist to director of investment strategy to portfolio manager.  Frank talks with Rusty and Robyn about the ins and outs of direct investing, the concept of “searching for alpha”, and the impact of direct investing on the future of investing (especially with ETFs).“We have the ability to give investors a high price momentum, a version of our direct indexing strategies that allow them to have that ‘search for alpha’. I think the way traditional people think about the ‘search for alpha’, it’s at the individual security level. We are not going to really attempt to provide that. Our search for alpha is providing some type of factor exposures that investors believe can outperform.” ~ Frank NickelMain Takeaways  With a direct indexing strategy, you may see bigger returns, compared to a traditional separately managed account. Direct indexing has been on the roll because of tech innovation. From high-net-worth individuals to the mainstream area, firms can manage to bring it to smaller accounts. Direct indexing won't kill ETFs. The only two viable reasons for ETFs to fail are if the government changes taxation, or if technological evolution can lower direct indexing's minimum. Fractional shares trading might be the future with how tech is evolving right now. This can also help to bring the account minimums down. Searching for the alpha involves investing in areas of the market that are projected to outperform. Right now, there's a growing interest in biotech and cybersecurity. Links Frank Nickel on LinkedIn Brinker Capital September by Earth, Wind, and Fire Morgan Stanley Wealth Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 2742-OPS-10/27/2021

In today’s episode, Rusty and Robyn talk with Simeon Hyman, Global Investment Strategist at ProShares.From the initial idea of an ETF to product development to the roll-out, Simeon creates—and even customizes—a smooth product strategy to ensure every client and prospect understands the ETF's scope. Prior to creating successful ETFs with ProShares, Simeon held investment leadership roles at Bloomberg Wealth and UBS.Simeon talks with Rusty and Robyn about all things Bitcoin Futures ETF, and the rationale behind its advantage over Bitcoin or other altcoins."Bitcoin’s a volatile thing. Nobody can tell you it’s not. And our ETF, BITO, delivered. That volatility in itself is a ‘feature’ from our perspective, not a bug. There are fewer and fewer things that don’t approach this kind of correlation, so finding something that behaves differently is a very valuable diversifier.” ~ Simeon HymanMain Takeaways  Bitcoin is volatile, but it can be a great inflation hedge and diversifier. Through Bitcoin ETFs you can gain Bitcoin exposure while maintaining a well-performing portfolio over time. The value of a digital asset will greatly differ depending on how a person uses it. For investors, they keep watch on how it will compete in their investment portfolio. For a typical cryptocurrency user, it's just another modicum of exchange. BITO recognizes Bitcoin and other crypto volatility. With the advent of a regulated futures market, it's easy to appropriately place Bitcoin in your portfolio. The cryptocurrency market is unregulated by nature, so there’s no safe and tactical approach on how to invest in Bitcoin and it would be difficult to speculate and diversify with altcoins. Links Simeon Hyman ProShares ProShares Bitcoin Strategy ETF (BITO) Bitcoin Triumph - Magic Power Bloomberg Wealth UBS Lehman Brothers Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 2742-OPS-10/27/2021

In today’s episode, Rusty and Robyn talk with Mike Van Wyk, Vice President of Research and Insights for Capital Group.Mike has studied human behavior throughout his two-decade career to better understand what truly drives consumer behavior and business growth. Whether it be packaged goods or financial services, Mike brings game-changing insights to the table. His research helps others skyrocket the growth of their business or their professional career.Mike talks with Rusty and Robyn about the difference between a “sage” and “caregiver” advisor and the three success factors of existing high-growth firms."Every financial professional has to have a side that's more quant-focused and can talk the numbers, but you also have to be able to connect emotionally with your clients and be there as a support for them. Those who are most successful are those who understand there's an aspect of being a sage that they need to bring to the job daily, and there's an aspect of being a caregiver that needs to be present there as well.” ~ Mike Van WykMain Takeaways  Three success factors of the highest growth firms are the always-on acquisition factor, relationship alpha, and strategic skills. All habits, behaviors, and practices during client engagement should be refined to achieve high performance and increase revenues. Spend more time on high-value business activities. Advisors easily get distracted with small tasks, when they should be spending their time on growth creation. Advisors need help, too. It's best to tap into resources about advisor-client engagement that are backed by robust data. There are two types of advisors: the ‘sages’ who like numbers and the ‘caregivers’ who like helping people. An effective advisor has to find a balance between these two. Links Mike Van Wyk on LinkedIn Capital Group PracticeLab Coca-Cola Walmart Proctor and Gamble Capital System Pathways to Growth: Advisor Benchmarking Study Noise: A Flaw in Human Judgment by Daniel Kahneman What Retirees Want: A Holistic View of Life’s Third Age by Ken Dychtwald Hidden Brain Podcast Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 2731-OPS-10/25/2021

In today’s episode, Rusty and Robyn talk with Maria Quinn, national spokesperson and thought leadership ambassador at Vanguard.Maria provides her expertise in Vanguard’s largest business line by working externally with financial advisors and intermediaries. Before starting her journey with the firm, Maria was involved with non-profit organizations that provide marginalized people with access to education. Maria talks with Rusty and Robyn about what causes the behavior gap in investing, how human psychology and behavior affect financial success, and how we can use the Advisor Alpha model and the “Three P’s” framework to foster long-term relationships with clients."The way we think about planning is having those deep conversations with clients that require a lot of trust. We define their values (what is of greatest importance to them). And then, we find a way to translate them into a goal.” ~ Maria QuinnMain Takeaways  With the help of an advisor, a client's chance of achieving financial success is significantly higher. In addition, according to Advisor's Alpha, there are seven key areas improved through best practices, which increases your value up to three percent. Behavioral coaching practices should focus on investment management and wealth management to help improve client retention. Every investment outcome is heavily driven by psychology and human behavior. Factors like overconfidence, recency bias, and over-competence should be avoided if you want rational and perfectly timed decisions. Providing a financial plan is foundational. Use the “Three P’s” framework as a guide. Plan thoughtfully, be proactive, and imbibe positivity. Global equity investing has the following benefits: diversification in the portfolio, mitigation of some potential volatility, and increase in portfolio exposure. Links Maria Quinn on LinkedIn Vanguard George Washington University Good News: There’s a Labor Shortage. By David Autor | New York Times Nessun Dorma by Luciano Pavarotti John Bogle Teach for America Bain & Company Deloitte 2021 Value of an Advisor Study | Russell Investments Alpha, Beta, and Now...Gamma | Morningstar The Value of Gamma-Efficient Portfolio | Morningstar The Essential Advisor: Building Value in the Investor-Advisor Relationship by Bill Crager and Jay Hummel 2021 Quantitative Analysis of Investor Behavior - Variable Annuities ("QAIB-VA") ‘Mind The Gap’ | Morningstar Richard Thaler Putting a value on your value: Quantifying Advisor's Alpha JP Morgan Twitter Financial Times The Economist The Wall Street Journal TheNew York Times Connect with our hosts Rusty Vanneman Robyn Murray Subscribe and stay in touch Apple Podcasts Spotify Google Podcasts 2651-OPS-10/13/2021