Investors and their financial advisors have sharply different expectations about returns, according to research by Natixis Global Asset Management. Investors think they need to earn 8.5% a year (beyond inflation) to reach their financial goals, while advisors say gains of 5.9% after inflation are more realistic. A Natixis survey also found that advisors feel increased pressure to comply with regulations and to keep costs low.
Christopher Hyzy, the chief investment officer for Bank of America’s Global Wealth and Investment Management unit, assesses the global markets in the midyear issue of Kiplinger’s Personal Finance magazine. “We’re in a buffalo market. It’s not a bear, not technically a bull – but it’s in the bull family,” says Hyzy. “It’s heavy, rather hairy and unattractive at times. It can roam for long periods, but then get nervous out of the blue and run the other way.” Hyzy anticipates a general shift from growth to cyclical value through 2017.
Read the full interview here
CNNMoney cited U.S. Trust’s “Insights on Wealth and Worth” study, in discussing the investments of wealthy millennials: “The overwhelming majority of Millennials surveyed – 93% – believe that a company's social and environmental impact is key to their investing decisions. That's up from 74% two years ago.” U.S. Trust’s Jackie VanderBrug tells CNNMoney: "Impact investing is hitting the mainstream.”