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Sheaff Brock | rising interest rates | Dave Gilreath Sheaff Brock | income-bearing investment strategies | REITs | Preferred Stocks

Do Rising Interest Rates Put Investors Behind the Curve? It Ain’t Necessarily So.

Rates are rising. They will likely keep rising; accept that and adjust, is the message astute investors should be receiving. Rates are rising. They will likely keep rising; accept that and adjust, is the message astute investors should be receiving. When we compare the rates on U.S. Treasury bonds now to those of one year ago, Sheaff Brock Managing Director Dave Gilreath observes, at every maturity, rates are higher now by 60 to 95 basis points. Actually, he adds, U.S. 10-year [...]

Sheaff Brock Investment Advisors | active investing to outperform the market | portfolio managers

Passive vs. Active – The Beauty of Both

One question any investor must consider is whether to take an active or passive approach to investing. Per Investopedia, “The predominant investment strategy today is active investing,” which attempts to beat a particular benchmark and “outperform the market.” Continuing, the article points out, “anomalies and irregularities in the capital markets can be exploited by those with skill and insight.” By contrast, passive investing, the authors explain, is an approach based on investing in exactly the same securities, in the same proportions, [...]

Sheaff Brock REITs portfolio investment performance rising interest rates

REITs in a Rising Interest Rate Environment

Concerned that, as soon as interest rates start moving in an upward direction, any real estate-related investments you have will be slated to take a “hit”? ’Tain’t necessarily so, according to Alfred Galli in Seeking Alpha. He concludes that “on an historical basis, there is no strong correlation between rates and prices (of real estate).” Michael Orzano of S&P Dow Jones Indices admits there’s growing concern today about how REITs will perform “when interest rates ultimately rise from their [...]

Salzinger Sheaff Brock | Mark Salzinger | Exchange-Traded Funds | investment strategy

The Anomalies and Advantages of Exchange-Traded Funds

Exchange-Traded Funds (ETFs), often described as “baskets” of marketable securities, contain anywhere from 30 or 40 stocks to thousands, with the typical ETF containing companies numbering in the hundreds. Asked to compare owning ETFs to owning individual stocks, Sheaff Brock joint venture partner Mark Salzinger sees the “baskets” as a risk-reduction strategy, because with ETFs, investors are exposed to a broad range of companies. In fact, through ETFs, investors can gain exposure to “satellite” or niche positions, Salzinger adds—anything from [...]

Sheaff Brock Investment Advisors REITs portfolio performance investing in apartments

REITs – The Timing may be Just Right

Investment income can be rather hard to find these days, as you’ve no doubt noticed. With interest rates in “the 2’s,” (not to mention the risk of principal loss when, as Kiplinger predicts, those rates likely rise), it’s time to get strategic, taking a broader look at portfolio possibilities. When both stock and bond markets become more unpredictable, Sheaff Brock feels it becomes important to diversify into assets that are less correlated with traditional stock, bond, and cash holdings. [...]

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Getting Strategic with Asset Allocation

When it comes to asset allocation, getting strategic means dealing with the big picture and working on ways to achieve financial goals over time, explains Mark Salzinger, wealth manager and a founder of Salzinger Sheaff Brock, LLC. Time horizon According to Salzinger, asset allocation should always be guided by the length of time the assets can remain in the market. As Salzinger explains, a one- to two-year time-frame will be marked by volatility. If you, as an investor, are unlikely to [...]

sheaff brock investment advisors active management style portfolio investing

Active vs. Passive: “Stand Up and Be Counted”

One question any investor must consider, Sheaff Brock Managing Director Dave Gilreath agrees, is whether to take an active or passive approach to investing. While there is certainly room for both approaches in an investor’s portfolio, he concedes, ’tis the season for the stock picker and sector picker to stand up and be counted. Why? “Markets are not cheap right now,” Gilreath explained in an interview with our SheaffBriefs editor, “whether judged by ‘price-to-sales’ or ‘price-to-book.’” Unlike 2009, for example, [...]

Active portfolio management for REIT investment strategy at Sheaff Brock Investment Advisors

You Can’t “Peanut Butter” REIT Diversification

Sure, diversification is key when selecting holdings for a Real Estate Investment Trust portfolio, Sheaff Brock Director Jim Murphy acknowledges. But you can’t just take a “peanut butter” approach to the real estate market, he cautions, spreading resources evenly among different sectors and assuming investment magic will ensue. After all, he reminded our SheaffBriefs editor, different sectors perform differently in different economic times. In times of high population growth and high job creation, for example, it may make sense to [...]

apartment reits in diversified real estate & income portfolio sheaff brock investment advisors

Make Room for REITs in Your Portfolio

Real estate investment trusts, or REITs, are companies that own, and in most cases manage, income-producing real estate. In today’s environment, REITs may make a lot of sense for investors seeking diversification and yield. Perhaps you’ve avoided owning income-producing real estate because you’re uncomfortable losing liquidity. Since REITs trade on major exchanges like stocks, they offer the potential for a more liquid stake in real estate. In fact, as Investopedia explains, the three primary advantages of REITs include: active [...]

Healthcare REITs, real estate investment trust, Sheaff Brock REIT portfolio

Is There a Vacancy in Your Portfolio?

As markets have become more unpredictable, investors have begun to seek assets that are less correlated with traditional stock, bond, and cash holdings. While owning real estate has always been one way to diversify assets, direct ownership of property has two big challenges: as an investment, real estate is illiquid; maintaining property can be expensive and time consuming. Since 1960, however, as Sheaff Brock Director Jim Murphy explains, REITs (Real Estate Investment Trusts) have allowed investors the best of both [...]