January 2024 - Drags on Cash Performance
January 23, 2024
Dear Investors and Friends, In prior letters we articulated why savvy investors invest their cash in short term US Treasury bonds. Specifically: In Active Cash Management we provide an overview of what it means, at least for RCM, to actively manage US Treasuries and what the actual be …
December 2023 - Why We Love Munis
December 21, 2023
Dear Investors and Friends, While RCM has a 14-year track record in municipal bonds, for the last several years we generally discouraged municipal bond portfolios for our clients. There are variety of factors that influenced this decision, but they all flow back to one basic issue – s …
November 2023 - US Equities vs. Emerging Market Equities
November 29, 2023
Dear Investors and Friends, In last month’s letter, Mike and I did a deep dive into what historical data says about the performance of US equities vs. developed country equities and the implication on RCM’s approach to equity asset allocation. In this month’s letter, we continue our d …
October 2023 - US Equities vs. Developed Country Equities
October 24, 2023
Dear Investors and Friends, A few months ago, Mike and I wrote about equities and the long-term where we emphasized the upside potential of equities versus bonds and the implications of time horizon on our approach to asset allocation. In this month’s letter, we return to the topic of …
September 2023 - Do TIPS Bond Funds Hedge Inflation? Yes, But…
September 27, 2023
Dear Investors and Friends, Inflation, the subtle force that erodes the purchasing power of our hard-earned money, is ubiquitous as it is insidious and silently permeates the fabric of our daily lives. Hedging against inflation is prudent and many people attempt to do so by buying fun …
August 2023 - Active Cash Management
August 01, 2023
Dear Investors and Friends, At Roosevelt Capital Management (RCM), we are active managers of fixed income securities including U.S. Treasuries. Most people understand the first part of that sentence but struggle to understand how Treasuries can be actively managed. So much so in fact, …
July 2023 - Equities & The Long-Term
July 26, 2023
Dear Investors and Friends, Several months ago, Mike and I wrote a letter on the importance of time horizon when making asset allocation decisions. While we made note of the well-established fact that equities outperform bonds over the long term, most of that letter was focused on man …
June 2023 - The Silver-Lining in Today’s Market
June 27, 2023
Dear Investors and Friends, There are a lot of potential downsides in the current volatile financial landscape. For investors holding cash, however, there is one significant and simple upside. We believe that the best place, by far, to park cash in the current environment is directly …
May 2023 - The Debt Limit Debate
May 02, 2023
Dear Investors and Friends, We are receiving many questions about the debt limit debate. The purpose of this letter is to provide our readers with the questions we are receiving regarding the debate and our answers.
April 2023 - Q1 2023 Performance Review
April 25, 2023
Dear Investors and Friends, The increase in interest rates that began in 2022 sent shockwaves through every corner of the market and woke investors up to three stark realities: Higher inflation is back after a nearly 40-year hibernation, Interest rate risk is real as evidenced by the …