Musings.

The world, the economy, the markets, and our lives are dynamic. Events can have a large or small impact on us. They can create excitement, cause fears, raise questions, and spark insight.

Listed here are our most spontaneous, timely, and succinct comments on wealth, life, and more.

May 17, 2012 - ExPatriotic Senators.
Senators Chuck Schumer (D-NY) and Bob Casey (D-PA) proposed an Act that could significantly affect current and past citizens living abroad. (read Schumer's ill-conceived proposal).
May 17, 2012 - Saverin Act
SAVERIN (Stop Anyone Voluntarily Existing, Returning, Immigrating, or Naturalizing) would be a better acronym for Schumer's ill-conceived Act.
May 16, 2012 - Don't Get Fooled Again.
Jason Zweig suggests that investing would be simpler if we follow the Feynman principle: "You must not fool yourself—and you are the easiest person to fool." (read WSJ's Intelligent Investor)
May 15, 2012 - Taxes poison wealth.
Recent Powershares advertising says, "Taxes can be venomous to wealth creation." (see an ad copy here) Taxes can be more poisonous to wealth distribution.
May 14, 2012 - The Long-Term Care Debate
Purchasing LTC insurance is a personal decision that should consider your personal situation. Hawk100 can advise members to a wise decision that aligns with your life. (see WSJ article)
May 10, 2012 - Where Governments Fail
The Greek debt crisis continues to fester despite EU attempts to rescue the country from its troubled financial status. (see WSJ story)
May 09, 2012 - Hawk100 at CFA Annual Conference
Hawk100 is live Tweeting from the CFA Conference featuring Eugene Fama.
May 09, 2012 - Follow Hawk100
Follow us at Twitter #Hawk100, @Hawk100Clemens.
May 08, 2012 - 65th Annual CFA Conference
Hawk100 is attending Day 3 of CFA Institute Annual Conference featuring Daniel Kahneman. Follow our live comments on Twitter @Hawk100Clemens or search #CFA12.
May 06, 2012 - CFA Annual Conference
CFA Institute seeks to lead the investment profession globally by promoting the highest standards of ethics education and professional excellence "to the ultimate benefit of society."
May 06, 2012 - CFA Annual Conference
CFA Institute seeks to lead the investment profession globally by promoting the highest standards of ethics education and professional excellence "to the ultimate benefit of society."
May 06, 2012 - James Montier @ CFA2012

Over optimism, illusion of control, self serving bias, myopia, inattentional blindness prevent recognizing predictable surprises. U
May 04, 2012 - Ben Franklin's Wise Advice
Ben Franklin's wisdom continues to shine through. Here are 14 lessons that Business Insider reminds us to follow. (see article)
May 04, 2012 - Employment and MarketsClick to enlarge
DOL report shows jobs gained 115,000. Nasdaq composite stock index drops 1.15% just after open. (WSJ story)
May 02, 2012 - Fraud Waste and Abuse
The US charged "more than 100 people" with medicare fraud. Great! Charging 0.0002083% of enrolled medicare participants with fraud should dramatically bend the cost curve. (see WSJ story)
May 01, 2012 - Two Scoops, Please
The Economist supposes that Britain's economy has "fallen back into recession" to perhaps complete the double dip that Hawk100 has long forecasted. (see Economist story)
April 30, 2012 - Stocks Down
The SP500 Index lost 0.75% in April breaking a string of consecutive monthly gains that started with December.
April 27, 2012 - Following the debacle of Dodd-Frank, this is the last thi
Following the debacle of Dodd-Frank, this is the last thing we need. The Investment Advisor Oversight Act of 2012. (proposed House Bill)
April 25, 2012 - Durable Goods Fall
The Commerce Department reports that activity for durable goods posted its worst monthly decline since January 2009. (WSJ story)
April 25, 2012 - Fed Musings
The Fed released a table summarizing forecasts and projections for the US economy as surveyed among Fed Governors and Presidents. (Federal Reserve Table)
April 24, 2012 - Apple of my i
Apple reported stronger than expected Q2 results on sales of its iPhone and iPad gadgets, and its shares surge. (Reuters story)
April 23, 2012 - Another Manic Monday
Stocks fell today and the Basic Materials Sector led the way posting a decline of 1.42% (Dow Jones).
April 20, 2012 - Euro "Remedy Insufficient"
The Economist calls the Euro-zone remedy "insufficient" given the demands on Italian and Spanish debt. (click for story)
April 19, 2012 - Europe Plan Faltering Again
The EU rescue plan faltering again serves as further evidence of the inherent weakness of economies built upon government intervention instead of production. (click for story)
April 18, 2012 - Not Fussy About Bonds
Bond market veteran, Dan Fuss, CFA, told Hawk100 and CFA Columbus that Peace, People, Politics, and Prosperity are key economic (and therefore market) drivers. Mr. Fuss says, "the winds [of declining yields] have changed for bonds."
April 18, 2012 - More Bond Fussiness
Dan Fuss, CFA, recently told Reuters that he still likes corporate bonds. (see story)
April 17, 2012 - Argentine Mistakes
Argentina moves to nationalize local unit of spanish firm, Repsol (see WSJ story). Hawk100 warned of Argentina's tendancy to nationalize wealth in January 2011 HawkTalon.
April 16, 2012 - Tax Day Extension
With April 15 falling on Sunday and the US celebrating Patriots Day today in honor of Revolutionary battles in Lexington and Concord, Massachusetts, US tax returns are extended to April 17 this year.
April 13, 2012 - Play Ball!
Earnings Season kicks off with mixed results from the big banks. (e.g., see story on JPM)
April 12, 2012 - Retailer Woes
Talbot's (TLB) reported Q4 losses and declining sales. After much hoorah, the holiday shopping season resulted in so much Ho Ho Hum. (see Edgar Filing)
April 11, 2012 - Retirement Income
Russell Research offers income planning options for retirees. (click for paper)
April 10, 2012 - Why Government Regulation Rarely Works
Commerce is more nimble than the most rigorously written regulations. Look no further than shadow banking to understand what happens when governments hand is too heavy. (click for story)
April 10, 2012 - Santorum Suspends Campaign
With Senator Santorum suspending his campaign, Romney will surely turn his and the GOP's attention to defeating Obama. (click for story)
April 09, 2012 - IMF Coordination
At a crucial time when the IMF is stretched to cover the Euro crisis, Japan and China agreed to "consult each other very closely" when making contribution decisions. (Japan Times)
April 08, 2012 - Peace and Joy
Hawk100 wishes you and your family peace and joy while celebrating the Easter holiday.
April 06, 2012 - Workforce Growth Slows
The US Dept of Labor reported that nonfarm payrolls added 120,000 in March. The figure was below economist expectations. (WSJ story) (DOL report)
April 05, 2012 - Gift Annuities
Gift annuities can be a sensible way to achieving emotional wealth with your charitable wealth advisor. (see story)
April 04, 2012 - Tax Tips
Morningstar shares six tips for retirees while filing their taxes. (view video)
April 03, 2012 - Doctor's Orders for Euro
The Economist's Charlemagne writes that the Euro is still "sickly" and offers a protocol to health. (Economist story)
April 02, 2012 - Stocks Up for QuarterClick to enlarge
The SP500 returned 12.6% in the first quarter, a rate that outpaced 91% of all quarters since 1924.
March 30, 2012 - Portfolio CheckUp
Hawk100 uses a systematic approach to align portfolios. Mornginstar offers a similar checklist to checkup your portfolio. (click for story)
March 30, 2012 - Personal IncomeClick to enlarge
US Personal Income for February came in at the low end of consensus estimates and below recent trend at 0.2%. (click for report) (image source Telemet Orion)
March 29, 2012 - Best (stock to) Buy
Shaking the weight of bricks and mortar, Best Buy plans make it look virtually attractive. (click for story)
March 28, 2012 - Constitutional Care
Hawk100 applauds the Supreme Court for being the first institution to carefully consider the constitutionality of ObamaCare. We hope its decision renders wisdom in place of expediency. (click for story)
March 27, 2012 - Capitalism, the natural economic state.
Humans seek liberty. Liberty is the freedom to choose. Choice leads to control. Control grants ownership. Ownership means capital. Capital creates wealth. Wealth aligns with life
March 26, 2012 - Castro Capitalism
The Economist notes Cuba is trending toward capitalism. (click for story)
March 26, 2012 - Heather Brilliant, CFA
My friend and colleague, Heather Brilliant lives up to her name. (click for story)
March 19, 2012 - Recovery?
Contrary to The Economist, we believe the scheduled 2013 tax hikes are too much to overcome for a sustainable recovery. (click for story)
March 16, 2012 - The New iPad is Here
My son says of his new iPad, "the retina display looks absolutely amazing." (click for WSJ story)
March 15, 2012 - Intelligence to the Google Power
Google is revamping its signature search engine to provide deeper information about search results. (click for WSJ story)
March 14, 2012 - Santorum Sweeps SouthClick to enlarge
With Santorum sweeping the south Tuesday, he worked down Romney's delegate lead. Trackers like the one at Washington Post will become increasingly interesting during the coming months. (click for delegate tracker)
March 12, 2012 - March Madness
Columbusites don't consider the Buckeye capital to be a city for the "damned." (click for full story)
March 11, 2012 - Fundraising 101 at Top Colleges
Stanford tops AdvisorOne's list of the top 20 colleges at raising money from alumni. (click for full story)
March 11, 2012 - The Richest Colleges
AdvisorOne tells which colleges have the largest endowments. Of course, Harvard leads the way. (click for full story)
March 09, 2012 - 2012 AICPA Economic Survey
The 1st qtr AICPA Economic Outlook Survey shows growing confidence but subdued hiring. (click for survey results)
March 08, 2012 - Robert Shiller's Broken Tax Plan
Yale's economist suggests complex tax code social engineering to correct what he sees as a "problem of wasteful and resentment-inducing consumption" among wealthy. (click for full story)
March 07, 2012 - "The new iPad"Click to enlarge
Apple shares fall 1.8% during the nearly 90-minute event to launch "The new iPad."
March 06, 2012 - Vote!
Hawk100 employees took a moment to cast ballots today for favored representatives and government leaders.
March 05, 2012 - Ready When Rates Rise
Here is a sensible plan for rising rates. Hawk100 recommends understanding interest rate risk when investing in bonds...and equities. (Click Here for Morningstar Video)
March 05, 2012 - Another Edge to the Sword
Rob Arnott explains to the WSJ why deomographics present another financial challenge for retiring boomers. (click to read WSJ article)
March 01, 2012 - Sword fight!
DC bureaucrats are slaying retirees with a triple-edged sword. Near-zero Fed Funds rate, extended social-security tax holiday, and pending increased taxes on dividend income are slashing retirement incomes.
February 29, 2012 - Happy Leap Day!
Contact Hawk100 and share your story of how you used the extra day to pursue your purpose.
February 28, 2012 - "Ghost Town" Google+
Google appears to acknowledge it is a virtual ghost town of inactivity. My account's top line asks, "not enough posts in your stream?" (click to read story)
February 28, 2012 - Chardon
We at Hawk100 pray for the families of Chardon, Ohio whose school children are forced to deal with a deplorable tragedy. (click here for story)
February 27, 2012 - Hawk100 wants to hear your opinion.
Having had more than a year to observe the Arab Spring, how has it affected your outlook for the global economy? (click here to respond)
February 27, 2012 - Capitalism, consisely stated.
Ian Bremmer, the brilliant political scientist and president of Eurasia Group, calls state capitalism "by no means a viable alternative to free market capitalism." (click here for Bremmer's comments)
February 24, 2012 - Correlation Risk of Indexing
Jason Zweig highlights the risks of increased correlation, when stock values move in concert, with more investors flocking to index funds. (WSJ)
February 23, 2012 - Mr. Romney's Tax Plan
Please Mitt, add a fourth goal to expand opportunity for all Americans. (WSJ)
February 22, 2012 - One View of Life Insurance
Our life insurance advisor recommends an unbiased perspective of whole life products. (ProducersWeb)
February 21, 2012 - Concerned Scientific Approach
A consortium of scientists respond to backlash against their global warming skepticism. They defend a scientific approach akin to a prudent investment process. (WSJ)
February 20, 2012 - Saving all my love for...Bobbi
The untimely death of Whitney Houston will likely join an unfortunately long list of stars who leave a legacy of estate planning lessons. (Investment News)
February 20, 2012 - New Educational Material
Hawk100 has posted new Educational content and Insights (Hawk100).
February 17, 2012 - Planning Retirement Withdrawals
Hawk100 can help quickly guide you to answers for the basic and the complex questions that retirees face. (Morningstar)
February 16, 2012 - Keynes Paradox of Thrift
WSJ's Intelligent Investor, Jason Zweig says, "Americans don't save anymore." (WSJ Video)
February 16, 2012 - How Much Is Enough
Following the comment by Zweig, in our earlier musing, Hawk100 offers a quick chart of historical savings rates in the US. (Hawk100)
February 15, 2012 - Apple iClouds Markets
With its stratospheric $472 billion market cap, AAPL has clouded analytical tools that use market-cap to weight statistics such as the SP500 index. (WSJ)
February 13, 2012 - Pumping Up Gas PricesClick to enlarge
During a recent trip to Orlando, we observed gas prices around $6.00/gallon and actually paid $5.89.
February 10, 2012 - Barack the Bold
At least we will say this, it takes a bold president to propose a budget that ignores exploding entitlement spending. (WSJ)
February 09, 2012 - Another Depression-Era Policy
Greek austerity reminds The Economist of 1931 Britain. Let's hope for a better outcome. (Economist)
February 08, 2012 - Santorum Surprise
With Rick Santorum sweeping Minnesota, Missouri, and Colorado, he threw a surprise at the GOP field and Mitt Romney (WSJ)
February 07, 2012 - SEC Money Market Plan
The SEC is weighing controversial plans to protect money market funds but risk further constricting returns available from money funds. (WSJ)
February 06, 2012 - Obama Aborts the Catholic Vote
Peggy Noonan writes that "President Obama just may have lost the election" with his signature on a Health and Human Services directive compelling charitable hospitals, including those that are Catholic, provide insurance coverage for abortion inducing contraception or meet stiff penalties. (WSJ)
February 03, 2012 - Dick Cheney
Dick Cheney tells #TDAI2012 that Obama is "playing small ball" by avoiding entitlement reform.
February 02, 2012 - TD Ameritrade Day 2
Shiela Bair of the FDIC supports Dodd Frank and says it ends too big to fail in comments to #TDAI2012.
February 01, 2012 - TD Ameritrade Conference
#TDAI2012 opens with the scout law. (BSA)
February 01, 2012 - Technology Investments
With technologyou if you do not invest to move forward, you fall behind your competition.
January 25, 2012 - And we'll tak a cup o'kindness yet
Hawk100 was in Scotland during last year's historic election that raised the prospects for Scottish independence. Iain Martin has an interesting view on this quixotic adventure and the poetry of Robert Burns.
January 25, 2012 - Solar Rain
Astronomers have been forecasting an active year for the sun in 2012. The first month hasn't disappointed. (WSJ)
January 25, 2012 - Fed extends zero-rate duration
The Fed revised its previously publicized zero-rate policy duration from expiring in 2013 to now carry through 2014. It rather looks like manipulation to carry longer-duration treasury notes with no ill effect on the Fed's balance sheet. (Federal Reserve)
January 24, 2012 - CFA Columbus Forecast
CFA Columbus hosted its annual forecast event and the panelists unanimously favor SPY over AGG, EEM, and GLD for 2012.
January 22, 2012 - Debt Limit Satire
This short spoof on the US debt ceiling provides a satirical, but realistic, view. (YouTube)
January 19, 2012 - Critical Retirement Trends
Be sure to examine your 401k account reports for new fee disclosures this year. (AdvisorOne)
January 13, 2012 - Custodian Security
Hawk100 member acounts held at TD Ameritrade are protected through various accounti nsurance programs. Click her to read more.
January 10, 2012 - Tax-Free US Businesses
According to Edgar Online data, 106 publicly traded firms with revenues in excess of $10 million reported net income but paid no income taxes in their most recent fiscal year. (Related story on WSJ)
January 09, 2012 - Detroit Auto Show
The 2012 Detroit Auto Show hopes to rekindle interest in American auto manufacturing. Ford's 5.46 PE shows comparatively subdued investor interest among its industry peers. (Edgar Online) (WSJ)
January 07, 2012 - Lexington on Santorum
The Economist's Lexington column derides Rick Santorum, who seeks to become the GOP Presidential nominee, for his faith-based values. This affront from a reputable magazine underscores why American politics is beyond devisive heading into 2012. (Economist)
January 06, 2012 - The Complexity of Markets
If as The Economist says, "Human brains are the most complex objects in the known universe," then markets as the interaction of a multitude of humans makes them exponentially complex. (Economist)
January 05, 2012 - Worst Cities for Educated Workers
Brookings Institute's list of cities attractive to educated job seekers posts McAllen, Texas at the bottom of the heap. (AdvisorOne)
January 04, 2012 - Best Cities for Educated Workers
Brookings Institute lists Madison, Wisconsin atop its ranking of best cities for educated job seekers. (AdvisorOne)
January 03, 2012 - Stocks Greet 2012
Stocks welcomed 2012 with a resounding advance on the first trading day of the new year. The global Dow is up 2% as of noon ET.
January 01, 2012 - 2012 Resolution
Align your wealth with your life in 2012. Contact Hawk100 to learn how. info@hawk100.com
December 31, 2011 - Happy New Year!
Hawk100 wishes you and yours a happy, healthy, and prosperous 2012...and safe celebrations this evening.
December 30, 2011 - 12 Planning Tips for '12
Financial Planning offers a dozen tips to make 2012 an even better year for you and your family. #1 Get started. #12 See a financial planner. (Financial Planning)
December 30, 2011 - And the Year Closes...
Unchanged! The SP500 Index closed 2012 essentially unchanged for the year at 1257.60. It was 1257.64 at the end of 2010.
December 29, 2011 - Newt on Reagan
Newt Gingrich offers readers of the WSJ an insight into why he remains popular among conservatives. (WSJ)
December 22, 2011 - The best to you and yours.
Daniel Henninger's satirical look at Christmas. "These days time doesn't fly. It barely exists. In such a world, Christmas gets squished." (WSJ)
December 20, 2011 - Tips For Online ID Safety
As you make last minute holiday purchases online, be sure to protect your personal information. The AICPA recommends safety tips. (AICPA)
December 20, 2011 - Stocks Advance
Financial markets advanced on expectations that UK support of the latest EU moves to shore up sovereign debts with tighter credit will result in a more sustainable rescue. (WSJ)
December 19, 2011 - Monday Wrap
Efforts to tighten credit in Europe led to declining stock values globally. AT&T dropped its bid to acquire T-Mobile's US operations and North Korea's Kim Jong Il passed away.
December 18, 2011 - Arab Winter
The transition to democracy in Egypt has turned toward ugly violence. (AP/Dispatch)
December 18, 2011 - Share Christmas with Christ
Columbus's JoEllen Landman soundly advises families to include church in their Christmas celebrations. (Dispatch)
December 16, 2011 - Required IRA Distributions
IRA distributions must be taken by Dec 30. If you are required to take a distribution, follow the advice of Hawk100 and Morningstar.
December 15, 2011 - Iraq War Officially EndsClick to enlarge
From the date the "shock and awe" started March 12, 2003 through yesterday's close, the SP500 averaged 4.8% annual return.
December 14, 2011 - 10 Year YieldClick to enlarge
The 10-year treasury note index yield has fallen to 1.91%, befuddling bond vigilantes who expected nominal interest to rise by the end of 2011.
December 13, 2011 - Comparing Uglies
Kenneth Brody of Taconic Capital Advisors explains to CFA Columbus why the Euro remains worth $1.31 despite Europe's extensive problems. "It's a case of comparing the uglies."
December 13, 2011 - AICPA Economic Outlook Survey
Q4 survey of CPA decision makers about outlook for 2012 indicates optimism increased 10% (from 58 to 64) from Q3. In past, survey has led GDP by 2 quarters. (AICPA)
December 12, 2011 - Quanex Earnings
Quanex Building Products (NX) reported Q4 2011 results with roughly 5% growth YOY although the report fell short of consensus analyst forecasts.
December 10, 2011 - STRS OH Forecasts Insolvency
In its latest eUPDATE to members, STRS Ohio "recognized that the current health care program is only expected to remain solvent until 2024, and there is little likelihood for additional funding." (STRSOH)
December 09, 2011 - High Interest in High Yields
Market activitiy has picked up for high yield debt. High yield bonds verage 8.43% and Emerging market debt averages 6.03% according to data from the WSJ. (WSJ)
December 08, 2011 - MDA Lockup
Hawk100 and its President, Richard Clemens CFA, support Muscular Dystrophy Association. Help MDA!
December 08, 2011 - Retirement Account Deadlines
December 30 is the final day for 2011 to:
- Take Required Minimum Distributions from IRAs and QRPs
- Make Roth IRA Conversions
- Establish a QRP
December 07, 2011 - Crude Inventories UptickClick to enlarge
The EIA Petroleum Status Report showed inventories increased 1.3 million barrels to 336.1 million. Crude prices fell but hold above $100. (image source Econoday)
December 06, 2011 - Watching the EIA
With oil trading for $101+ per barrel, Hawk100 will be watching the EIA petroleum status report on US inventory levels tomorrow.
December 02, 2011 - Unemployment Drops to 8.6%Click to enlarge
"The key to the drop in the broader unemployment rate was due to a 378,000 drop in the number of people employed part time but who would prefer full-time work." (WSJ)
December 01, 2011 - Jobless Claims Soften MarketsClick to enlarge
Labor department report of 402,000 weekly jobless claims brought a moment's rest to stock gyrations. (DOL)

(Image Source Telemet)
November 30, 2011 - The Big Bank Boost
Globally coordinated intervention among central banks helped boost equity markets to close November with three consecutive advances.
November 29, 2011 - Lifelong Learning Raises IQ
A commitment to lifelong learning can stimulate and improve your IQ according to a recent study in Britain. (WSJ)
November 28, 2011 - Roller Coaster
Daily up and down swings in stock values continued today with the SP500 rising 2.9% while the EU works on yet another pact. (Morningstar)
November 26, 2011 - Go Buckeyes!
As an avid supporter of Ohio State academics and athletics, Hawk100 wishes success to Ohio State and Coach Fickell today versus Michigan.
November 24, 2011 - Happy Thanksgiving!
Hawk100 wishes you and your family a blessed Thanksgiving holiday and always.
November 24, 2011 - Uncle Sam and Baby Bell.
Past performance apparently guarantees future results when predicting US Justice Department treatment of AT&T. Decades after the forced break up of AT&T under antitrust laws, Justice is at it again seeking to block AT&T's deal for TMobile. (WSJ)
November 23, 2011 - Ohio Stocks
Hawk100 is conducting targeted research on stocks of Ohio-based companies. Results are surprising...more to come in HawkTalon.
November 22, 2011 - GDP Flattens
In the first revision to third quarter GDP, the US BEA now estimates the US economy grew just 2.0%, revised down from 2.5%, annualized. (BEA)
November 21, 2011 - Super Failure
The congressional supercommittee assembled at the end of the August debt debate admits what we expected...it was a failure.
November 18, 2011 - Data looks good.
Recent economic reports have led Morningstar's Bob Johnson, CFA, to call the data "good." Hawk100 questions whether it will last through the holiday season. (Morningstar)
November 17, 2011 - Congress's $729,750 house of cards
Numbers stack up to reveal bleak prospects for FHA. "FHA has a 0.24% capital reserve, well below its statutory 2% minimum for the third year running. A 422-to-1 leverage ratio, up from 33-to-1 in 2009 (makes) Lehman Brothers (appear) risk-averse." (WSJ)
November 16, 2011 - On the heals of Solyndra
Solar stocks can burn investors. "Avoid investing in solar firms right now," says Morningstar.
November 15, 2011 - Path to Purpose
Michele Borba visited Dublin Schools last week and recommended William Damon's "The Path to Purpose." This book appears to align well with the Hawk100 message. (The Path to Purpose)
November 14, 2011 - OECD grim outlook
The OECD says "all major economies headed for slowdowns." (Reuters)
November 10, 2011 - CECE Earnings Advance
Ceco Environmental (CECE) reported strong Q3 results. $0.34 EPS converts to annualized earnings multiple under 5x. (CECE)
November 09, 2011 - Step 7, Heads Roll
This week's ouster of Italy's Berlusconi and Greece's Papandreou reminds me of November 2007 when several headline CEOs resigned (e.g., Merrill--O'Neal, Citigroup--Prince).
November 09, 2011 - 12-step Recovery
Writing in 2007, I described the response to the mortgage mess like a 12-step addiction recovery. The EU is firmly in step 7, heads roll. (Berlusconi) (Papandreou)
November 09, 2011 - Next Steps
As mused in 2007, next EU steps would be: 8 significant market collapse, 9 government policy changes, 10 investor capitulation, 11 business and investor grapple with new environment, and 12 resume normalcy.
November 09, 2011 - US Stock FallClick to enlarge
The SP500 lost 3.7% today to close at 1229.10. Today's loss was the sixth day in 2011 the index fell at least 3%. (Chart data source Interactive Data)
November 08, 2011 - Complicating College Costs
"Washington's rising subsidies for college are a big reason tuition keeps rising faster than inflation." (WSJ)
November 07, 2011 - USEG and 1:55 PM EST
Immediately following a report of Q3 financial results by tiny stock, USEG, stocks lifted from negative territory into net gains on the day.
November 07, 2011 - Consumer CreditClick to enlarge
The Federal Reserve says consumer credit grew $7.4 B (3.6%) in September and debt-to-income ratio appears to be rising from a base. (Image Source Econoday)
November 04, 2011 - Greece and the EU
Evidently, it was easier for Greece to enter the European Union than for it would be to exit. WSJ today says, "Greek Euro-zone Exit Would Be Mess for Athens." (WSJ)
November 03, 2011 - Stocks Bounce Back
I recently mused that that investors may be tempted to trade “blocks of stocks for a box of rocks.” Before October, stocks dropped in five consecutive months and just suffered the worst quarterly loss, -13.9%, since 2008. Then October 4, Federal Reserve Chair Bernanke delivered glum comments to Congress’s Joint Economic Committee. HawkTalon
November 03, 2011 - Greece is Slippery
Even with a strong month for US stocks, European stocks performed better. The MSCI EMU Index, representing large stocks from across the European Union, was up 12.9% during the month. MSCI tracks a country index for eight of the seventeen countries on the euro currency. Five of those eight gained over 12% in October. Italy astonishingly rose 13.5%. HawkTalon
November 02, 2011 - Man Made Global Quaking
A UK firm, leading efforts to explore shale gas, reports that it believes fracking was a "highly probable" cause of minor earthquakes in that country. (WSJ)
November 02, 2011 - PhDs at the Phed
PhDs (Philosophical Differences) arise again in the latest Fed announcement. QE 2.5 is well under way, but Charles Evans wants more accomodation. (FOMC Announcement)
November 01, 2011 - Fed 2-day Meetings
About the only "action" available to the Fed is to pause. (Reuters)
October 31, 2011 - Baby-Proof Finances
Preparing to welcome a baby into your family should include a financial review. Hawk100 recommends prudent strategies to align with your additional family member. (Dispatch)
October 31, 2011 - Stocks Resume Decline
US equities lost nearly 2.5% today as MF Global -- the firm led by former Goldman Chair and New Jersey Governor -- filed for bankruptcy protection. (WSJ)
October 28, 2011 - Lively Cat BounceClick to enlarge
From Jul-21 to Oct-3, stocks (SP500) lost 18.2%. Stocks gained 16.9% since Oct-3. That's no dead cat.
October 28, 2011 - Study Tips
Hawk100 pursues pedagogy with passion and encourages education for members and their families. Here is sound advice to pass a tough test. (WSJ)
October 27, 2011 - Stocks Rise 3.4%
Hearing that the EU struck a deal to resolve Greek's debt crisis stoked stocks worldwide. The SP500 rose 3.4% and MSCI EAFE rose 5.3%.
October 26, 2011 - World's Oldest Bank on Brink
The financial crisis has brought Siena, Italy based Banca Monte dei Paschi di Siena SpA, the world's oldest bank, to brink of failure. A financial crisis is only complete when at least one venerable bank collapses. (WSJ)
October 26, 2011 - Same Old Argentina
As Hawk100 warned in Jan 2011 HawkTalon, Kirchner's latest order risks further declines in foreign investment flowing to Argentina. (Bloomberg)
October 26, 2011 - Looking for A Glimmer
Economic analysts are becoming more sanguine in their outlook. Meanwhile consumers are less optimistic. (WSJ) (Reuters)
October 25, 2011 - Credit Spreads TightenClick to enlarge
Off a recent peak, credit spreads tighten while investor appetites for risk return. (Chart Source WSJ)
October 24, 2011 - Obama to Announce Actions on Student Loans
Obama administration plans to announce rules affecting housing and student loan markets that sidestep congressional approval. (Reuters)
October 23, 2011 - EU makes sovereign debt progress
EU leaders made progress to aid Italy's sovereign debt crisis. Forgotten is the Italian tendency to follow Greece. (Reuters)
October 22, 2011 - IRS Inflates Tables
IRS Rev Proc 2011-52 and IR 2011-103 adjust 2012 tax tables for inflation and cost of living. (Journal of Accountancy)

http://www.journalofaccountancy.com/Web/20114692.htm
October 21, 2011 - Morningstar Series
For it's final installment, Morningstar suggests to know your behavioral tenancies and avoid cognitive errors to become a better investor. (Morningstar)
October 20, 2011 - Morningstar Series
Day four of Morningstar's investment series discusses rebalancing techniques. (Morningstar)
October 20, 2011 - SVU
10-Q from SVU today showed mixed signals of improvement and deterioration. (iMetrix)
October 20, 2011 - NVRClick to enlarge
NVR reported earnings today and some short-term signals could support a rebound. (iMetrix)
October 19, 2011 - Morningstar Series
Today, Morningstar suggests systems to pick investments for building your portfolio. (Morningstar)
October 18, 2011 - Morningstar Series.
Morningstar suggests asset allocation is the primary factor driving investment results and offers a short analysis to begin choosing how much equity to hold. (Morningstar)
October 18, 2011 - Goldman in the red
When Goldman catches a cold (it's cheeks are red with losses), stocks get the flu. Goldman reported losses and NYSE Composite drops 71 BPs. (WSJ)
October 17, 2011 - Was Enron Entirely Fraud?
Even with mountains of evidence, public derision, and prosecutorial resources dedicated to the case against Enron, only a few convictions stuck. Ken Lay's conviction was vacated after he passed. "Just 7 of 13 people who went on trial over Enron were convicted, and 4 convictions were reversed on appeal, according to Davis Polk." (WSJ)
October 17, 2011 - Morningstar Series
Morningstar is starting a series today called "5 days to better investing." Hawk100 musings will connect you to the series. (Morningstar)
October 14, 2011 - Profits look good.
Q3 earnings season is underway, and Mattel, SAP, and Pepsi are among companies offering positive news.
October 14, 2011 - EU Presses Commodities
The EU is pressing to limit commodities speculation. Increased transparency may actually spur investment activity. (WSJ)
October 13, 2011 - What to save, shred, or recycle?
Morningstar offers a useful tip sheet to get organized, protect your identity, and maintain secure files. (Morningstar)
October 12, 2011 - Make volatility your friend
Jack Hough offers a few insights that align with the Hawk100 approach to volatility. (WSJ)
October 11, 2011 - Educated Workers, Unite!
Capitals dominate AdvisorOne's list of top 10 cities for educated workers to find jobs. (AdvisorOne)
October 11, 2011 - Farewell, my friend.
CFA Institute, the global investment professional assn, is changing its mgmt structure and Bob Johnson departs. (CFA Institute)
October 07, 2011 - This is Herman Cain!
Cains rise in GOP polls shows right minds are open to ideas while Riley suggests left minds are closed to race. (WSJ)
October 07, 2011 - Emerging Market CurrencyLatest trade data shows emerging market currencies on rebound. http://on.wsj.com/qwgVRl
October 06, 2011 - A Game Changer
Andrew Gluck has called TD Ameritrade "A Game Changer" for its recent technology developments. (Financial Advisor)
October 06, 2011 - Apple Shares FallClick to enlarge
AAPL fell 0.23% to $377.37, while SP500 rose 1.83%, in 1st trading day after death of Steve Jobs. (Image source WSJ)
October 05, 2011 - Putin Redux
Putin makes public on plans to return to Russia's Presidency and surprises nearly no one. (WSJ)
October 05, 2011 - God Bless Steve Jobs
WSJ is reporting that Apple Founder, Steve Jobs, died today at the age of 56 to draw an inspiring life to an end.
October 05, 2011 - Apple Statement
"Apple has lost a visionary and creative genius, and the world has lost an amazing human being."
October 05, 2011 - A Family Mourns
WSJ: "Mr. Jobs is survived by his wife, Laurene, and four children." A family who perseveres becomes our noblest legacy.
October 04, 2011 - Rubber StocksClick to enlarge
Stocks enjoyed a late day bounce to finish the day up 2.3% after Bernanke promised more intervention.
October 04, 2011 - Wealth Transfer Tip.
Contact Hawk100 to learn how historically low Applicable Federal Rates present a gift to wealthy Members. (IRS)
October 03, 2011 - Neither Clean Nor Energetic
SP Global Clean Energy Index lost 42.7% in 3rd qtr to lag all indices. Losses like that leave a black mark on any portfolio.
September 30, 2011 - Currency WarsClick to enlarge
Emerging markets, which rely--somewhat--on relatively cheap currencies to prop global trade, should be poised to perform. (Economist)
September 30, 2011 - Stocks Lose 2.5% on Last Day of Quarter.
SP500 Index dropped 29 points, 2.5%, today closing at 1131 and brings loss for the quarter to 14.3%.
September 29, 2011 - Fed Can't Stop Meddling.
WSJ: Boston Fed Pres. calls for tighter regulation of money funds. iMoneyNet avg money fund yield is just 0.02 under current Fed policy.
September 28, 2011 - Google Burning Cash.
We have been noting huge cash balances idling on corporate balance sheets. Google decided to burn $75MM. http://on.wsj.com/oeDbYU
September 28, 2011 - Bernanke Tells US to Learn from Emerging Markets.
Bernanke says US should learn "lessons from...emerging...economies, such as...disciplined fiscal policies." www.hawk100.com/insights/musings
September 28, 2011 - Hawk100 Lessons from Emerging Markets.
Hawk100 cites the better emerging economy lesson is freedom and risk enable wealth akin to Ulrich Beck. www.hawk100.com/insights/musings
September 27, 2011 - Commodities Rally
Commodities have long preference for inflation protection, but stocks prove better over the long haul. http://on.wsj.com/poCDfZ
September 26, 2011 - Regulation Time Out
"Businesses are buried under a mountain of paperwork" that raises cost, reduces hiring, and impedes growth.http://on.wsj.com/qEN50H
September 24, 2011 - Don't Buy on Double Dips
@JasonZweigWSJ says buying on dips not always good. #Hawk100 agrees to check risk before leaping. http://on.wsj.com/mPFUEg
September 23, 2011 - Twist and Shout
Central Banks' latest moves show how little powder remains in their chambers. #Hawk100 http://bit.ly/r13Btz
September 22, 2011 - Stocks Decline Again
US stocks fell 3.2% today (7.1% week-to-date) and erased all of last week's 5.4% rise.
September 21, 2011 - Jittery Market Prescription
Brett Arends writes a humorous prescription for stock market volatility. (WSJ)
September 20, 2011 - How Much Does That Fund Cost?
Investors often overlook mutual funds' embedded costs. This Morningstar article highlights the expense drag on returns. http://bit.ly/rmG48K
September 19, 2011 - Write Investments
Hawk100 joins the rank of advisors who frequently publish newsletters to keep their clients informed and to entertain.

(WSJ)
September 16, 2011 - Paths to Create Wealth
The four paths to create wealth: receive, earn, save, and return. Hawk100 can write Your Wealth Alignment Plan to get you on the right path.
September 15, 2011 - What is Wealth Alignment?
Wealth Alignment strategically visualizes life in terms of your purpose, values, aspirations, and goals. Hawk100 advises your total wealth including your human, permanent, emotional and financial wealth. Wealth Alignment aligns your wealth to enable and support the life you desire.
September 15, 2011 - World's Reserve Currency
Under dollar liquidity pressures, central banks coordinated to inject dollars into European markets. (WSJ)
September 14, 2011 - Is your portfolio efficiently diversified?Click to enlarge
When market volatility increases, portfolio diversification becomes increasingly critical. Check your portfolio here.
September 14, 2011 - Watching Business InventoriesClick to enlarge
Hawk100 is watching whether business inventories rise relative to sales which would build on evidence of recession. Here's the recent trend.
September 13, 2011 - Retirement Plan Risks
Fidelity cautions 5 retirement risks: health costs, living long, inflation, growth, and withdrawal rates.
September 13, 2011 - Income falls to 1996 levels
Median US household income dropped for 3rd straight year according to US Census Bureau. (Census Report) (WSJ)
September 13, 2011 - Income Falls Again
Declining 2.3% in 2010 income averaged $49,445 and is below $50,000 for the first year since 1996. (Census Bureau) (WSJ)
September 13, 2011 - Full Time Employment Falls.
Since 2007, 9.4 million fewer people hold full-time jobs in the US. (Census Bureau)
September 13, 2011 - Less Jobs Recovery
1.6 million fewer workers with earnings in 2010 marks the first decline ever recorded in the year after a recession. (Census Bureau)
September 12, 2011 - Bank of America to cut costs and jobs
B of A plans to reduce its investment in retail financial operations and lay off 30,000 employees. (WSJ)
September 11, 2011 - We'll never get over it.
Peggy Noonan's poignant remembrance of 9/11 evokes an emotional response. "You've got to be loyal to pain sometimes to be loyal to the glory that came out of it." (WSJ)
September 09, 2011 - Volatility RisingClick to enlarge
Volatility--whether implied by option prices in the CBOE VIX Index or calculated from intraday value changes--is on the rise.
September 09, 2011 - Stocks Falling
Stocks fell further due to Europe's debt crisis and Obama's lackluster jobs plan. SP500 has lost 15.6% since April 29. (WSJ)
September 06, 2011 - King Bond
30-yr bond yields 3.24% and 10-yr note dropped to 1.91%, the lowest level since 1940s. (WSJ)
September 04, 2011 - AIG's Tax-Bill IPO
IPOs should raise funds to expand productive capital. Instead, AIG leasing unit IPO funds are to repay US Treasury for TARP loan. (WSJ)
September 02, 2011 - Feds Ready to Sue Banks
Suits against the largest profligators of toxic mortgages are probably justified and should include Fannie and Freddie.

(WSJ)
September 01, 2011 - BNY Mellon Ousts CEO
BNY Mellon, the 16th largest regional bank in the world based on market cap of $25.5 billion, booted CEO Robert Kelly. (WSJ)
September 01, 2011 - Children's Credit Cards
Is your child ready for their own credit card? Karen Blumenthal advises of the benefits and pitfalls of an getting your kid a card. (WSJ)
September 01, 2011 - De-Risking Retirement Income
Stephen Huxley offers insight to liability-driven investing, particularly important to retirees drawing on their savings. (CFA Institute)
September 01, 2011 - De-Risking Retirement Income
Stephen Huxley offers insight to liability-driven investing, particularly important to retirees drawing on their savings. (CFA Institute)
August 30, 2011 - Christine Lagarde's Rosy View
"World economy...entering a 'dangerous new phase' driven by a sense that 'policymakers do not have the conviction' to take decisions." (The Economist)
August 29, 2011 - Irene's Legacy
Appears to have had little impact due to sound risk management...prepare for the worst, hope for the best.
August 29, 2011 - Different Take on Debt Crisis
William Blair's George Greig has a different take on Europe's sovereign debt crisis. (Morningstar)
August 29, 2011 - EPA Moratorium
Proposed EPA rules could be a boon for companies like Ceco Environmental. (WSJ)
August 26, 2011 - Market Likes Bernanke CommentsClick to enlarge
Chair Bernanke said the Fed does not plan more quantitative easing though it stands ready to support the economy. Investors cheer! Bernanke Gives No New Signs on Fed Move (WSJ)
August 24, 2011 - Steve Jobs Resigns from Apple
Morningstar reports that Steve Jobs is resigning from his post as the iconic CEO of AAPL.
August 24, 2011 - More on Jobs and Apple
During Jobs prior absence from AAPL, Sep 85--Dec 96, the firm nearly failed. Since bottoming Dec 97, AAPL has returned 11,290%.
August 24, 2011 - Letter from Steve Jobs
Here is a link to the letter Steve Jobs sent to the Apple board announcing his resignation.
August 22, 2011 - Bond Bubble
Jeremy Siegel, author of Stock for the Long Run, is bullish on stocks again. Hawk100 sees negative stock outlook if bonds burst. (WSJ)
August 19, 2011 - Coke to Invest in China
Coke announces plans to invest $4 billion to expand facilities in China. Corporate investment of their idle cash bodes well for the economy. (WSJ)
August 17, 2011 - Most Rich Used to be Poor or Middle Class
"Barney Kilgore, the man who made the Wall Street Journal into a national publication, was once asked why so many rich people favored higher taxes. That's easy, he replied. They already have their money." Buffett volunteers middle class for tax increase (WSJ).
August 16, 2011 - Gold Goes ParabolicClick to enlarge
We've seen this before...dot-com, dot-condo, dot-commodity?
August 15, 2011 - Recovery is vulnerable
World Bank President Robert Zoellick calls global economic recovery "vulnerable" in interview with The Weekend Australian.
August 15, 2011 - Nixon Shock Heard Round the World
Lewis Lehrman offers an interesting perspective on Nixon's abandoning the gold standard 40 years ago. (WSJ)
August 13, 2011 - Nixon's (un)Finest Hour
Lawrence Kudlow once described Nixon, Ford and Carter as "Murderer's row of economics." 40 years ago, Nixon abandoned the gold standard setting the stage for today's debt crisis.

The WSJ reports on abandoning Bretton Woods. The next HawkTalon provides Hawk100 coverage.
July 29, 2011 - Follow Us On Twitter
Follow Hawk100 and your wealth advisor on Twitter. Hawk100Clemens

http://twitter.com/#!/Hawk100clemens
July 14, 2011 - Moody's Weighs on Debt LimitClick to enlarge
Moody's says it placed the "US Government Aaa bond rating and related ratings on review for possible downgrade."

Moody's rationalized the action with reference to the increasing possiblity that the "debt limit will not be raised in time to prevent a missed payment of interest or principal on outstanding bonds and notes."

Buried in its release, Moody's acknowledges if the US does not default on its payments "the Aaa rating would likely be confirmed" but "substantial and credible" agreement to deficit recduction must accompany any debt limit increase to avoid being placed on negative outlook.

(Moody's)
July 05, 2011 - Repealed Ohio Estate Tax
Perhaps you missed the fireworks show just before the Independence Day holiday. On June 30, Governor Kasich repealed the Ohio estate tax for decedents dying on or after Jan 1, 2013. Ohio shows way on death tax repeal (WSJ)
June 30, 2011 - Talking Money with Mom & Dad
Hawk100 recommends that you connect with your parents to understand their financial and emotional situation, challenges, and objectives. Talking Money with Mom and Dad (Fidelity)
June 23, 2011 - Skeptical Millionaires
"Millionaires are less optimistic about the US economy than their financial advisers." (Reuters)
June 22, 2011 - Fed dims US outlook
"Federal Reserve officials downgraded their assessment of the U.S. economy's performance Wednesday, but gave no indication they intend to take new steps to boost growth and jobs." according to the Wall Street Journal.
June 10, 2011 - Feds Broaden Capital Review
The Fed dives deeper into banks' books. Fed looks to broaden capital review (WSJ)
June 07, 2011 - Second Mortgage Misery
Households continue paying down debt. Is that so bad? Second mortgage misery (WSJ)
May 30, 2011 - Fragile Reputations
Former Ohio State football coach Jim Tressel shows how fragile a reputation built on integrity can become if you treat it cheaply. My kids would say his mirror has cracked. Tressel may have been forced to resign (Dispatch)
May 26, 2011 - Congratulations!
Congratulations to the Columbus Business First Forty Under 40, Class of 2011. Welcome to the club from your 2006 class colleague. Well done and keep up your good work. Business First
May 26, 2011 - Medicare Reform
If you can avert your eyes from the somewhat disturbing photo, The Economist posts a well-written summary of the state of Medicare Reform with an aging, vibrant populace. The idea floated to make people posthumously responsible for their medical debts resembles the path America finds itself already. Welcome to the gerontocracy (The Economist)
May 19, 2011 - CFA Institute Annual Conference
After returning from CFA Institute Annual Conference and Strategic Leadership Retreat in Edinburgh, Scotland, I have been delayed in submitting new Hawk100 musings. There is much to discuss and I look forward to engaging with you in a discussion.
May 04, 2011 - Osama Bin Laden
Reports indicate spies obtained "massive intelligence" following the raid on Osama bin Laden. Great! Our Federal government could use massive intelligence, if only wisely handled. U.S. Spies Comb Trove of Computer Files Nabbed in bin Laden Raid for Terror Clues (WSJ)
April 29, 2011 - Thoughts & Prayers
Hawk100 sends its thoughts and prayers to families in the South and Central U.S. that were devastated by storms this week. It reminds us how fragile our otherwise comfortable lives can be. Hawk100 asks each of its members to spend time this weekend with those you cherish and consider your charitable support of those in need.
April 27, 2011 - FEDS Ending QE2
Federal Reserve makes it very clear that they are ending QE2. If only their own economic forecasts were as clear. The following table released today shows inconsistent forecast for GDP (revised down), unemployment (revised down), and inflation (revised up).
April 26, 2011 - Hey, Ben
Ben describes the Fed. "One of the Fed's most important responsibilities is conducting monetary policy." Hey, Ben, it's your only responsibility!
April 25, 2011 - Fiscal Challenges
So, here is the S&P offending language that caused such turmoil one week ago today. Seems like S&P offers plenty of lessons to those with an open mind. Fiscal Challenges Weighing...on US (S&P)
April 25, 2011 - Modern Portfolio Theory
Larry Kriesmer and Bernard Surovsky submit an excellent depiction of using options in the context of modern portfolio theory. The piece in Financial Advisor aligns well with what Hawk100 attempts for many Hawk100 members. Using Options to Modernize MPT (FA)
April 20, 2011 - DPL Merge with AES
Southwest Ohio will lose control of another familiar firm to its natives. DPL will be merged with AES for $3.5 billion ($30 per share in cash). Utilities Consolidate (WSJ)
April 19, 2011 - Investment in Retirement
Morningstar offers concise, clever advice to retirees. Investment in retirement (Morningstar)
April 18, 2011 - G-20 deems U.S. and six other nations,
G-20 deems U.S. and six other nations, "too big to ignore" since they are critical to the global economy. Those countries will face greater scrutiny of their policies to ensure they don't derail global expansion. The world is upside down when the smallest nations dictate policy to the largest. U.S. and China too big to fail. (Bloomberg)
April 18, 2011 - The tax filing deadline is upon us. How much time did it
The tax filing deadline is upon us. How much time did it take for you to complete your return? Or did you just extend (defer) to another day? Laffer cites a 30-Cent Tax Premium (WSJ)
April 16, 2011 - "If you look at a large quantity of data long enough, a h
"If you look at a large quantity of data long enough, a huge number of patterns will emerge-if only by chance." --Jason Zweig in his comments to The Intelligent Investor, written by Benjamin Graham, revised edition in 2003.
April 15, 2011 - I met Joe Battipaglia at the University of Dayton RISE fo
I met Joe Battipaglia at the University of Dayton RISE forum several years ago. He was a large man and even larger optimist for the investment profession. Fox's Neil Cavuto remembers Joe
April 15, 2011 - The tax man comes in the form of "Atlas Shrugged" this ye
The tax man comes in the form of "Atlas Shrugged" this year. Ayn Rand on tax day (Economist)
April 14, 2011 - Obama's speech on budget proposal sounded like an old
Obama's speech on budget proposal sounded like an old saw, cutting the country in two. The Presidential Divider, Obama's toxic speech and even worse plan for deficits and debt. (WSJ)
April 13, 2011 - Takeover offer for Tyco could draw a close to the final c
Takeover offer for Tyco could draw a close to the final chapter of one of the largest growth...then failure...stories in corporate history. TE Connectivity and Covidien (the remaining spinoffs from the broken up conglomerate) appear to be disconnected and immune, respectively, from takeover threats. Tyco Gets Takeover Offer of $30 Billion (WSJ)
April 11, 2011 - Obama and Congress will soon embark on negotiating a new
Obama and Congress will soon embark on negotiating a new debt ceiling, hopefully in place by May 15. Otherwise, the U.S. will likely default on its current debt outstanding and shatter the greenback as the world reserve currency. Boehner Prepares for Next Showdown (WSJ-Washington Wire)
April 05, 2011 - Demographics drive economics, and economics drive markets
Demographics drive economics, and economics drive markets. A troubling trend is appearing in India, as well as China. Increasingly sparse numbers of girls form their youthful populations. India's Sex Ratio (Economist)
April 04, 2011 - The Republicans take radical responsibility with a budget
The Republicans take radical responsibility with a budget proposal that includes overhauling Medicare and Medicaid. Though the proposal remains in its infancy, it could transform the American perception of retirement and healthcare. GOP Budget Aim: Cut $4 Trillion (WSJ)
March 31, 2011 - Stock options traded more heavily in March than any month
Stock options traded more heavily in March than any month in history--including May 2010 when the Flash Crash sent options volume soaring--while investors grappled with Japan's earthquake and the rising unrest in MENA. Options trading hit record (WSJ)
March 30, 2011 - Jobs report says, "Now not firing." Here are the latest
Jobs report says, "Now not firing." Here are the latest statistics from the Challenger Job-Cut Report (Econoday)
March 29, 2011 - The political uprising in MENA has swept the Syrian inner
The political uprising in MENA has swept the Syrian inner circle aside. How president Bashar Assad reacts will tell almost as much as the silence of Iranian media outlets. Syrian cabinet resigns (WSJ)
March 26, 2011 - "He may know more about investing than anyone alive," sai
"He may know more about investing than anyone alive," said Jason Zweig about Peter Bernstein in 2004. Nearly two years after his June 2009 death, Peter's advise about unknown risks remains as important as ever. Peter Bernstein interview by Jason Zweig
March 25, 2011 - When does this uprising reach high tide?
When does this uprising reach high tide? Syrian troops fire on protestors (WSJ)
March 23, 2011 - Hawk100 filed its latest Form ADV and firm brochure today
Hawk100 filed its latest Form ADV and firm brochure today, reflective of information as of December 31, 2010. Search under firm name Hawk100.
March 22, 2011 - I once worked for a firm that routinely fired the 51st em
I once worked for a firm that routinely fired the 51st employee to avoid regulations affecting employers of 50 or more. "Obamacare also creates penalties for firms with more than 50 workers that do not provide employees with a level of health coverage deemed adequate by Washington. This discourages small businesses from expanding." Happy Birthday Obamacare. (Heritage)
March 19, 2011 - Japan will rise again.
Japan will rise again. Jason Zweig (WSJ)
March 18, 2011 - Obama and the UN finally take a tough stance on Gadhafi.
Obama and the UN finally take a tough stance on Gadhafi. Stop killing your people, or we'll send you a nasty-gram. World rallies to curb Gadhafi (WSJ)
March 17, 2011 - Although radioactive material is expected to reach the US
Although radioactive material is expected to reach the US west coast tomorrow, Hawk100 urges its west coast friends to remain calm. After traveling across the breadth of the Pacific, any radioactive material likely dissipated and will cause little to no harm. No Health Risk Seen (LA Times)
March 11, 2011 - Our hearts go out to the people affected by today's
Our hearts go out to the people affected by today's quake and tsunami in Japan. Japan's earthquake (Economist)
March 10, 2011 - With just over one month remaining until the tax filing d
With just over one month remaining until the tax filing deadline, investors may be wondering how they can take some tax-saving moves in the middle of the year. Morningstar provides a quick video with simple tips for consideration. Mid-Year Tax-Cutting Tactics (Morningstar)
March 08, 2011 - Turns out Bill Gross, PIMCO's famous bond manager,
Turns out Bill Gross, PIMCO's famous bond manager, and I see eye-to-eye. Thanks to a Hawk100 member for sharing this piece. Two-Bits, Four-Bits, Six-Bits, A Dollar (PIMCO)
March 02, 2011 - In a move that will dilute its equity ownership, MetLife
In a move that will dilute its equity ownership, MetLife offers 69 million shares and ALICO offers 78 million shares to the public to settle the transfer of ownership of MetLife preferred shares from AIG to MetLife. Shares tumbled in response today. MetLife Announces Offerings of Common Stock and Common Equity Units (Company IR)
February 25, 2011 - Socio-Political unrest spreads more and more deeply acros
Socio-Political unrest spreads more and more deeply across the Middle East and North Africa. Reuters Video This may actually open buying opportunities for those with a stomach for risk. Libya is a Buying Opportunity (WSJ)
February 24, 2011 - Wonderful event hosted for the Hawk100 Member Guest last
Wonderful event hosted for the Hawk100 Member Guest last evening. Thank you to those who attended. May you fondly recall the fine wine, tasty hors d'oeuvres, and enlightening presentation from Dan Meader, CFA.
February 23, 2011 - Hawk100 is making final preparations for its Midwinter Me
Hawk100 is making final preparations for its Midwinter Member Guest Event this evening. We welcome those Hawk100 members and their guests who will join us.
February 23, 2011 - February 22, Hawk100 attended CFA Society of Columbus ann
February 22, Hawk100 attended CFA Society of Columbus annual forecast dinner. Hawk100 president was complimented by the panel moderator with comparison to Benjamin Graham.
February 23, 2011 - February 17--19, Hawk100 president, Richard Clemens, led
February 17--19, Hawk100 president, Richard Clemens, led the investment profession by setting the highest standards of ethics, education and professional excellence. He led meetings with his CFA Institute colleagues in New Orleans for leadership meetings among investment professionals representing Canada, the US, and Latin America.
February 17, 2011 - Hawk100 made a presentation to audience of 35 finance pro
Hawk100 made a presentation to audience of 35 finance professionals yesterday regarding financial market and economic update. In the final analysis, "The lesson ... is an old one: Nobody knows anything, and there's no substitute for messy, wasteful competition as a finder of solutions to problems we didn't even know we needed solutions for." Holman Jenkins, WSJ, 16-Feb-2011
February 15, 2011 - How will the US pay for a $1.645 trillion annual deficit?
How will the US pay for a $1.645 trillion annual deficit? The cynical and unrealistic White House budget (WSJ)
February 09, 2011 - A Hawk100 member shared this piece with me regarding a si
A Hawk100 member shared this piece with me regarding a significant issue facing today's college students. Particularly, they are not learning how to think. Lack of Rigor Leaves Students Adrift
February 09, 2011 - Time management skills are frequently requested from Hawk
Time management skills are frequently requested from Hawk100 members. To that end, I thought it would be instructive to share a link to the original 1955 article in The Economist that introduced Parkinsons Law, the concept that work expands to fill the time allotted. From The Economist Archives
February 08, 2011 - Told ya so!
Told ya so! US Probe absolves Toyota electronics
February 08, 2011 - We are as hawkish as anyone about the pressures on public
We are as hawkish as anyone about the pressures on public finance. The falloff in munis is largely a reversal of the prior advance in anticipation of tax increases. Today's yields are certainly more attractive than those in October. Patient investors needing tax exempt interest would be wise to continue investing in select munis.
February 08, 2011 - Today's issue of "Advisor Perspectives" contains a rebuttal
Today's issue of "Advisor Perspectives" contains a rebuttal to Meridith Whitney's doomsday scenario for the muni bond market. To point, the recent sell-off in munis is partly due to media hype in the aftermath of Whitney's claims. Undoing Meridith Whitney's Damage
January 31, 2011 - Hawk100 President served as an ambassador for the US Midw
Hawk100 President served as an ambassador for the US Midwest region during meetings among global investment professional leaders in Buenos Aires, Argentina.
January 28, 2011 - Mubarak crisis deepens in Egypt. This crisis could lead
Mubarak crisis deepens in Egypt. This crisis could lead to more hard line policies whether or not Mubarak retains power. Mubarak digs in(WSJ)
January 21, 2011 - CFA Institute reports two stories that indicate "Congress
CFA Institute reports two stories that indicate "Congress quietly considers letting states file for bankruptcy." (Reuters) (NY Times)
January 21, 2011 - In the same week that Steve Jobs takes leave from Apple,
In the same week that Steve Jobs takes leave from Apple, Eric Schmidt steps aside as Google CEO (becoming Executive Chairman). On the heals of a relatively flat CES earlier in January, look for XLK (Tech Sector Spider) to lag. Power Shifts Atop Google(WSJ)
January 19, 2011 - Verizon (VZ) share price continues to fall. The old saw
Verizon (VZ) share price continues to fall. The old saw in investment management, buy on the rumor and sell on the news, seems to have held true with VZ since the announcement of iPhone 4 availability to VZ customers.
January 14, 2011 - Industrial production forged ahead 0.8% in December, its
Industrial production forged ahead 0.8% in December, its highest monthly increase in five months, and exceeded most analysts forecasts. Capacity utilization inched up to 76%, too. The news is consistent with solid economic conditions in the US manufacturing sector. Industrial Production Beats in December (The Street) Econoday
January 13, 2011 - Food prices continue to rise and Hawk100 is scaring crows
Food prices continue to rise and Hawk100 is scaring crows to protect the crops. JJA should benefit from stories such as this report from the Journal that "Evidence of tightening global food supplies grew as the U.S. Agriculture Department cut its estimates for global harvests of key crops and raised some demand forecasts, adding to worries about rising food prices." Grain Prices Soar (WSJ)
January 13, 2011 - This weekend, Hawk100 will visit Tucson, AZ and will gain
This weekend, Hawk100 will visit Tucson, AZ and will gain first person perspective of the location of last weekend's shooting rampage. God bless the families and friends of those injured by this tragic event.
January 08, 2011 - We all struggle from time to time dealing with a silent c
We all struggle from time to time dealing with a silent critic. Here are a few thoughts how to overcome the challenge and run those thoughts toward a positive outcome. How to Conquer Self Doubt (WSJ)
January 07, 2011 - US unemployment rate drops as fewer seek jobs, and the nu
US unemployment rate drops as fewer seek jobs, and the number of unemployment applications drops to 425,000. (The Fiscal Times)
January 06, 2011 - UK Chancellor George Osborne suggests a series of bank st
UK Chancellor George Osborne suggests a series of bank stress tests will restore order to the financially troubled continent. We suggest applying such stress tests on sovereign debts in addition to corporate debts. The lingering lessons of financial crises always seem to fall on incomplete assessment of risk. So start testing. Osborne says EU needs tough bank stress tests. (Reuters)
January 06, 2011 - Hawk100 works primarily with families who create wealth,
Hawk100 works primarily with families who create wealth, sometimes in vast amounts that introduce conflicts within the family. An effective Wealth Alignment Plan helps establish sound governance within the family to preserve, provide, promote, and protect family interests. "Having good family governance is part of risk management because if you look at the families with large fortunes (multi-generational wealth), the biggest risk to destroying that fortune is not the market. The big risk comes from the family?s internal fighting. And that can ruin everything." --Barbara Hauser The Role of Family Governance in Private Wealth Management (CFA Institute)
January 05, 2011 - My friend Jason Zweig has put together great literature.
My friend Jason Zweig has put together great literature. Caution. This is heavy stuff. Jason Zweig, WSJ's Intelligent Investor
January 04, 2011 - Reuters presents an unsettling examination of California's
Reuters presents an unsettling examination of California's fiscal standing. Read the Special Report from Reuters.
January 03, 2011 - Hawk100 posted the latest issue of its HawkTalon monthly
Hawk100 posted the latest issue of its HawkTalon monthly publication. See the Talon archive under the Insights section of Hawk100.com.
January 01, 2011 - Happy new Year from Hawk100!
Happy new Year from Hawk100!
December 31, 2010 - The Centre for Economics and Business Research, a UK thin
The Centre for Economics and Business Research, a UK think tank, tells Reuters that the Euro has a slim chance of seeing 2020. In our opinion, the Euro's future depends German capacity and patience with its less austere brethren. (Reuters)
December 29, 2010 - With two days remaining in the year, you may be consideri
With two days remaining in the year, you may be considering a last minute Roth conversion to take advantage of special rules still in force for this calendar year only. Fidelity provides a quick checklist to consider in your decision whether to convert in 2010. Would you benefit from a 2010 Roth conversion?
December 27, 2010 - In a December 2007 commentary, I compared the financial c
In a December 2007 commentary, I compared the financial crisis to a 12 step recovery program. Step 7 was "Executives' heads roll." Well, given HP and BP, 2010 continued the wave of CEO turnover three years later. Year of Dramatic CEO Departures (WSJ)
December 23, 2010 - Wonder how many people expected this to happen in advance
Wonder how many people expected this to happen in advance of the Christmas holiday. Parcel bomb blasts embassies in Rome (WSJ) Was this what Janet Napolitano referred to when saying that the Dept of Homeland Defense is on the watch 364 days a year? Napolitano Calendar troubles(UPI)
December 22, 2010 - As the relentless march of last minute legislative priori
As the relentless march of last minute legislative priorities continues in this lame duck session of Congress, The Red Flag Clarification Act of 2010 became law December 18. The Journal of Accountancy reports that the law includes a rare positive by giving CPAs permanent exemption from requirements related to identity theft under the FTC Red Flags rule. Hawk100 advocates tight privacy standards for the protection of member information. Jounral of Accountancy
December 22, 2010 - Hawk100 received this action item from Forefield Advisor:
Hawk100 received this action item from Forefield Advisor: The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 "has created a federal generation-skipping transfer (GST) tax savings opportunity, but you must act quickly because it expires at midnight on December 31, 2010." GST tax is a separate tax imposed on transfers made to persons two or more generations below you. GST tax, had been repealed for 2010, is reinstated but with a tax rate of 0%. That rate applies both for outright gifts and money put in a trust for the sole benefit of grandchildren (or other skip persons). Such transfers will incur only federal gift tax at 35% (to the extent that the donor's $1 million gift tax exemption has been used), but will not incur GST tax. A provision in the new law, called the "step-down" rule, will prevent GST tax from being imposed on trust distributions for which GST tax was already imposed. (Note: On gift tax return, the donor should elect to "opt out" of the automatic allocation of the $5 million GST tax exemption.)
December 21, 2010 - I like this article about financial tips for the sandwich
I like this article about financial tips for the sandwich generation.
December 21, 2010 - "Net Neutrality" rules are set to pass through the FCC ma
"Net Neutrality" rules are set to pass through the FCC marking an executive branch circumvention of Congress after that body failed to pass internet regulation in the first two years of the Obama administration. The set of rules would make the first significant regulation of the internet in the U.S. and could open the way for censorship of web content. Hawk100 expects net neutrality to raise the cost of entertainment and commerce conducted online. FCC Gets Votes to Pass Net Neutrality (WSJ)
December 20, 2010 - The IRS has published employer withholding tables which r
The IRS has published employer withholding tables which reflect the extension of the Bush tax cuts which Obama signed into law last week. The withholding tables are useful for family and business budgeting. IRS Notice 1036
December 20, 2010 - E&Y is likely to face civil fraud charges, alleged by NY
E&Y is likely to face civil fraud charges, alleged by NY attorney general and governor elect Andrew Cuomo. The pending suit would claim that E&Y aided in the 2008 collapse of Lehman by supposedly helping the firm cover risky transactions that in effect defrauded investors of Lehman's true risk. New York Set to Allege Ernst & Young Stood By as Lehman Cooked Its Books (WSJ) Cuomo apparently hopes to overlook how quickly the crisis escalated in the third quarter of 2008 and to amplify the audit role as if E&Y was entrenched in day-to-day management of Lehman. Lehman's last annual audit report by a broker dealer was filed Feb 15, 2008 and its last audited 10-K annual report was filed Jan 29, 2008. Both events preceded the March 16, 2008 collapse of Bear Stearns by more than a month. We doubt that E&Y was complicit in any fraud that led to Lehman's collapse. Though we expect that E&Y will settle the case rather than go to trial. Disclosure: Hawk100's president was formerly employed by E&Y and certain Hawk100 members remain actively employed by E&Y.
December 17, 2010 - Hawk100 supports the tax-bill, generally, though any comp
Hawk100 supports the tax-bill, generally, though any compromise means that you don't receive 100% of what you ideally want. Pros: extending tax rates offers economic stability and encourages effective decision-making; lower rates stimulate economic growth and potentially tax revenues. Cons: the two-year horizon preserves doubt in long-term investment decision-making, increased spending attached to the bill puts greater strain on fiscal policy.
December 17, 2010 - WSJ reports that "Congress passed the most far-reaching t
WSJ reports that "Congress passed the most far-reaching tax bill in a decade late Thursday, averting across-the-board tax increases, enacting new breaks for individuals and businesses, and laying a marker for how Washington might work in an era of divided government."
December 17, 2010 - Hawk100 President Richard Clemens recently wrote each Ohi
Hawk100 President Richard Clemens recently wrote each Ohio Senator regarding the omnibus spending bill before Congress. Dear Senator: I strongly urge you to use your vote in the U.S. Senate to fight against the omnibus spending bill currently proposed. Any attempt to cram this 2000 page, earmark laden bill upon the American people, using a rushed legislative process, fails to meet minimum duties to the people. This reflects the behavior that rallied so many to vote overwhelmingly for Federal, State, and Local representatives who promise to fight irresponsible governance.
December 16, 2010 - Participating in Webinar on Family Business Wealth Manage
Participating in Webinar on Family Business Wealth Management hosted by CFA Institute. Panelists include Jean Brunel, Rick Pitcairn, and Elizabeth Miller. Hawk100 agrees with their consensus opinion that a family business needs to be considered in the alignment of total wealth for families and individuals.
December 10, 2010 - China raised its bank reserves for the third time this mo
China raised its bank reserves for the third time this month. Will further tightening constrain its economic growth? (Reuters)
December 08, 2010 - When selecting the amount and type of life insurance that
When selecting the amount and type of life insurance that aligns with your life, Hawk100 can help you ponder three serious questions. (1) How long will my family expect that my life has value to them? (2) How much would my family expect to be paid if I were wrongfully killed? (3) Is it more important to limit my family's suffering upon my imminent death or to accumulate material items that will be discarded when I am gone?
December 08, 2010 - The Dec 7 Journal had an intriguing story following the d
The Dec 7 Journal had an intriguing story following the decision of dead miners' families whether to settle or sue over their loss. In response to the company's offer of $3M to surviving families, a grieving father says, "I don't think it's justifiable that they want to put a dollar sign on my boy." I suspect the father already "put a dollar sign on [his] boy" by severely underinsuring his son's life, if he purchased any insurance at all. Dead Miners' Kin...(WSJ)
December 07, 2010 - Assange was arrested in London. What will be the future
Assange was arrested in London. What will be the future of Wikileaks and the others that are sure to follow? (WSJ)
December 06, 2010 - In a statement, Constance Horner, Pfizer's lead independent
Pfizer CEO Kindler resigns. (WSJ) "In a statement, Constance Horner, Pfizer's lead independent director and a former Washington official, praised Mr. Kindler's efforts to change Pfizer, and said it consequently 'is now a stronger, more diversified and more focused company.' " Connie, imagining a company simultaneously becomes more diversified and more focused reflects your Washington experience and business ineptitude.
December 03, 2010 - Some helpful tips advised when enrolling in Medicare: 1.
Some helpful tips advised when enrolling in Medicare: 1. Check deductibles and co-payments as well as the premium when evaluating costs. 2. Verify what drugs the Part D plan covers. 3. Verify what pharmacies you can use. 4. Decide whether you need ?donut hole? coverage. 5. Provide comprehensive information on the policies of interest to your Hawk100 wealth advisor. 5 Tips to Tackle Medicare(Financial Planning) Email Hawk100 to share your comment.
December 01, 2010 - The crisis in Europe appears to be widening, rather than
The crisis in Europe appears to be widening, rather than narrowing, following last week's emergency funding for Ireland. Europe Crisis Widens(WSJ) Email Hawk100 to share your comment.
November 30, 2010 - A friend shared a humorously accurate explanation of quan
A friend shared a humorously accurate explanation of quantitative easing. Enjoy! QE2 Explained (Breitbart) Email Hawk100 to share your comment.
November 23, 2010 - Since my visit to South Korea just nine months ago, it ha
Since my visit to South Korea just nine months ago, it has come under attack twice from North Korea. We pray for the peace and safety of our friends in the South and hope that world leaders show the steel to turn back this affront from the North. North Korea fires rockets (WSJ)
November 22, 2010 - Too much EU pork has led to bloated PIGS. Now, the EU ha
Too much EU pork has led to bloated PIGS. Now, the EU has a robust and growing to do list: Portugal - work in process (The Telegraph) Ireland - Done (The Guardian) Greece - One down 69 to go (The Economist) Spain - Devolving(FT)
November 22, 2010 - During a CFA event in Columbus last June, Hawk100 preside
During a CFA event in Columbus last June, Hawk100 president, Richard Clemens, questioned William Poole, past Federal Reserve Board governor, regarding the challenges of orchestrating the Fed's dual mandate. Maintaining "stable prices" and "full employment" often place the Fed in a quandary. Mr. Poole rejected the concept that these mandates are out of synch. Would he respond to the Wall Street Journal editors as dismissively? Fed's Bipolar Mandate (WSJ) Email Hawk100 to Express your Opinion
November 18, 2010 - There is an awful lot of celebration around GM share offe
There is an awful lot of celebration around GM share offering. Hawk100 wonders why it is considered a success to raise $18.1 billion to repay government sponsorship of $49.5 billion. GM Sale in High Gear (WSJ)
November 17, 2010 - Hawk100 President, Richard Clemens, spoke to audience of
Hawk100 President, Richard Clemens, spoke to audience of investment professionals in Omaha, Nebraska to lead the investment profession globally by setting the highest standards of ethics, education and professional excellence.
November 16, 2010 - Treasury traders have pushed interest rates higher despit
Treasury traders have pushed interest rates higher despite efforts by the Fed to suppress yields. The market will always outsmart the technocrats. The 10-year yield closed yesterday at 2.91%, its highest level since August 5, the week before the Fed initially announced QE2. Bond Market Defies Fed (WSJ)
November 11, 2010 - The White House Deficit Panel had some interesting recomm
The White House Deficit Panel had some interesting recommendations to trim the deficit. Yet, by ignoring Medicare, the Panel's recommendations are moot. Deficit Commission Proposed Spending Cuts (WSJ) Email Hawk100 to comment
November 06, 2010 - Tom Lauricella appears to agree with Hawk100 as to the Fe
Tom Lauricella appears to agree with Hawk100 as to the Fed?s latest QE policy, Dump the Dollar Save the Economy (WSJ) Email Hawk100
November 05, 2010 - CFA Institute's presidents council chairperson complimented
CFA Institute's presidents council chairperson complimented Hawk100's president following wrap up of CFA Institute Board of Governors meetings, today. "When you speak, people should listen."
November 04, 2010 - Your influence is determined by how abundantly you place
Your influence is determined by how abundantly you place other people's interests first. The Go Giver by Bob Burg and John David Mann
November 03, 2010 - Your income is determined by how many people you serve an
Your income is determined by how many people you serve and how well you serve them. The Go Giver by Bob Burg and John David Mann
November 03, 2010 - Your true worth is determined by how much more you give i
Your true worth is determined by how much more you give in value than you take in payment. The Go Giver by Bob Burg and John David Mann
November 03, 2010 - Always a good refresher...how to get back into stocks wit
Always a good refresher...how to get back into stocks without getting burned. Morningstar
November 01, 2010 - The biggest election result of 2010...
The biggest election result of 2010...
October 29, 2010 - Advance estimate for second quarter GDP shows 2% annualiz
Advance estimate for second quarter GDP shows 2% annualized growth, matching consensus expectations. In the same release the US Bureau of Economic Analysis shows price levels rose 2.3%, creeping toward inflation. Econoday
October 29, 2010 - Regardless of your university education plans for your ch
Regardless of your university education plans for your children, a good benchmark to begin a cost analysis for most Hawk100 members (typically Ohio residents) is full-time undergraduate tuition at The Ohio State University. Most recent tuition data from the university registrar indicate undergraduate programs cost between $8709 and $13602 per year. That figure excludes the cost of texts, food, lodging, dating, sororities, and football tickets. For the complete table of enrollment tuition since 1999.
October 28, 2010 - With "Beggars Night" celebrated in many communities acros
With "Beggars Night" celebrated in many communities across the land, you may be concerned for the safety of your children and your neighbors' children. Don't worry. Be happy. Thanks Bobby McFerrin for those words and Lenore Skenazy for this WSJ opinion. 'Stranger Danger' and the Decline of Halloween
October 28, 2010 - Was that a chicken or an egg? The College Board report
Was that a chicken or an egg? The College Board reports that college tuition rose this year, but that burden was eased by increased federal grants to students. Any economist worth the weight of an Econ 200 text would expect these items to rise and fall together. The price of education (as with any good or service) is determined by the interaction of supply and demand. With supply relatively fixed, the elasticity of demand has predominantly affects price. Demand is set by how willingly and ably consumers part with money from their pockets and pillowcases. The student has constrained pockets and pillowcases and without a Pell Grant, the student would only accept a lower price. The Pell Grant subsidy thereby only enables universities to charge a higher price than consumers would otherwise tolerate. Too bad for the students who don't qualify for Grants. They have to pay full list price else forgo their educational aspirations. Tuition, Pell Grants Rise in Tandem (WSJ) Email us to comment.
October 28, 2010 - A Coverdell Education Savings Account (ESA) is an educati
A Coverdell Education Savings Account (ESA) is an education saving option that allows tax advantaged distributions for qualified primary and secondary education. Compared with other saving options, an ESA is beneficial for this specifically targeted, shorter term planned expenditure.
October 27, 2010 - 529 plans are effective college savings vehicles for many
529 plans are effective college savings vehicles for many families, and they align particularly well with in-state public institutions. Wealthy families desiring a higher educational aspirations may discover constrained options with 529 plans. Hawk100 helps families align their wealth to attain those aspirations. Spread your wings and help your children learn to fly.
October 26, 2010 - Morningstar named its annual list of the best 529 plans,
Morningstar named its annual list of the best 529 plans, listing Ohio's CollegeAdvantage among the top. Most plans are improving, but some still have work to do, says Morningstar.
October 25, 2010 - US dollar drops to 15-year low against yen after the G20
US dollar drops to 15-year low against yen after the G20 finance ministers met in Seoul in the exact setting where Hawk100's president met with global investment industry leaders February 2010. WSJ reports
October 22, 2010 - Peggy Noonan is back on track this weekend.
Peggy Noonan is back on track this weekend. Tea Party to the Rescue (WSJ)
October 21, 2010 - Yesterday, Hawk100 presented "Aligning your investment op
Yesterday, Hawk100 presented "Aligning your investment options in volatile markets" to an audience of 50 members of a professional accounting association. If you wish to arrange for Hawk100 to make this presentation for you or your audience, Email Hawk100
October 20, 2010 - CFA Institute has published an investment planning guideb
CFA Institute has published an investment planning guidebook for individuals. Elements of an Investment Policy sets forth the general areas and topics that investors should consider when writing their own plan or when working with an advisor who is responsible for their plan.
October 12, 2010 - Financial markets have been relatively calm of late. The
Financial markets have been relatively calm of late. The jury is still out whether this is the pause before more growth or whether it signals a top.
October 08, 2010 - 96000 more people standing in unemployment lines. This i
96000 more people standing in unemployment lines. This is perfectly consistent with expectations following three years of the Fed dusting off depression-era policies. Meanwhile, stocks have risen above 11,000, likely on expectations of continued monetary stimulus. Read the WSJ report here.
October 06, 2010 - My friend and colleague and present chair of the CFA Inst
My friend and colleague and present chair of the CFA Institute Board of Governors, Marg Franklin, CFA was recently featured in a wonderful write-up by the Globe and Mail. A cornerstone of trust Email Hawk100 to comment.
October 05, 2010 - Ambivalence affects decision making. Lacking ambivalence
Ambivalence affects decision making. Lacking ambivalence can lead to rash decisions, sometimes for the worse, but excessive ambivalence can lead to procrastination and indecisiveness which can be equally problematic. Like the tightrope walker, effectively balancing decisiveness and ambivalence can empower decision making particularly in investment management. An effective investment process prevents rash, ad hoc actions but enforces decision points that avoid infinitely paralyzing the process. Why So Many People Can't Make Decisions (WSJ) Email Hawk100 to comment.
October 01, 2010 - Finally, a sensible explanation arrives to attribute a ca
Finally, a sensible explanation arrives to attribute a cause of the May 6 "Flash Crash." It was that nasty algorithm used by my friends at the Kansas City CFA Society, Waddell & Reed. What took moments to occur took months to investigate. Algorithm Set Off 'Flash Crash'... email Hawk100 to share a comment
October 01, 2010 - After reading the article referenced below, we are curiou
After reading the article referenced below, we are curious if you think the riches arrive mostly due to hard work or due to good fortune. Email Hawk100
October 01, 2010 - Do wealthy people work harder than everyday professionals
Do wealthy people work harder than everyday professionals and laborers? "The Wealth Report," a WSJ Blog delves into the work habits of the rich. Do the Rich Work Harder? (WSJ)
September 30, 2010 - Despite ending the month with a few down days, September
Despite ending the month with a few down days, September 2010 was among the highest returning months on record for US stocks. The lack of serial correlation from month to month has been interesting to watch, especially considering how wide the monthly fluctuations have been of late.
September 29, 2010 - "Failure is not to dream big and fall short rather failur
"Failure is not to dream big and fall short rather failure comes from dreaming too small and accomplishing it." --George Brookman, past president of Calgary Stampede, while speaking to leaders of the global investment profession in Washington, DC September 25, 2010.
September 28, 2010 - The IRS tempered far reaching regulations calling for ful
The IRS tempered far reaching regulations calling for full disclosure of uncertain tax positions by tax filers. Still, the revised requirements present very real challenges to taxpayers encumbered with more burdensome compliance efforts. IRS Releases Final Uncertain Tax Positions Schedule (Journal of Accountancy)
September 28, 2010 - The Small Business Jobs Act is purported to create target
The Small Business Jobs Act is purported to create targeted tax credits and lending structures aimed particularly at small businesses. Adding complexity to the regulatory and tax landscape for businesses is unlikely to meaningfully advance economic conditions and is likely to extend bureaucratic overreach into businesses that take advantage of what the Act offers.
September 28, 2010 - If this quote from the New York Times accurately describe
If this quote from the New York Times accurately describes Carl Paladino's father, I would have appreciated the man. "Inside, he spoke in aphorisms about hard work, declaring there was 'no such word as ?can?t.? ' " Early Lessons Forged Paladino...(NYT)
September 27, 2010 - "A smart man learns from his own experiences. A wise man
"A smart man learns from his own experiences. A wise man learns from the experiences of others." says Muhammad Jawaid Iqbal, CFA, President CFA Society of Pakistan at the 2010 CFA Institute Society Leadership Conference in Washington, DC.
September 22, 2010 - Finally, Novartis received approval for its breakthrough
Finally, Novartis received approval for its breakthrough MS drug. Jeanne Walen WSJ
September 21, 2010 - The Fed indicated that it would stay the course in buildi
The Fed indicated that it would stay the course in building inflationary pressures in the monetary system. Three cheers to Thomas Hoenig for continuing to publicly dissent. FOMC Statement
September 20, 2010 - Morningstar discusses three Retirement pitfalls to avoid.
Morningstar discusses three Retirement pitfalls to avoid. Annuities -- assumed returns in annuity prices are at historical lows thereby requiring higher up front premiums. Excessively focusing on income to detriment of total return -- foregoing diversification to stretch risk and generate current cash flow. Unsustainable withdrawal rate -- constrained returns and longer life expectancies make traditional withdrawal rates unsustainable. Morningstar
September 16, 2010 - The Economist reminds us of a recently glossed-over trend
The Economist reminds us of a recently glossed-over trend in labor markets. With more value in the machines of production instead of the labor, capital markets are increasingly important to finance economies. Wealth will increasingly accrue to the owners of capital rather than the suppliers of labor. Automating Away the Middle Class (Economist)
September 16, 2010 - Please take a moment to consider responding to the latest
Please take a moment to consider responding to the latest Hawk100 poll on LinkedIn. With the "Bush tax cuts" scheduled to expire, what do you expect for 2011 tax rates and what moves are you taking to prepare? http://polls.linkedin.com/poll-results/102085/ldftw
September 14, 2010 - The Weekend Journal had an exceptional piece on
The Weekend Journal had an exceptional piece on Gearing Up for the Tax Wars
September 13, 2010 - My alma mater, Ohio State, ranks #12 in WSJ survey.
My alma mater, Ohio State, ranks #12 in WSJ survey. Top 25 Colleges (WSJ)
September 01, 2010 - We always watch CES for early indications of predicted co
We always watch CES for early indications of predicted consumption patterns. Regardless, it's fun to see the next killer apps before they die on failed optimism.
August 26, 2010 - With weekly jobless claims still hovering around 500,000
With weekly jobless claims still hovering around 500,000 (473,000 seasonally adjusted), the employment picture still looks anemic. Until jobs stabilize, a sustainable economic recovery is uncertain at best. Until uncertainty is removed from economic forecasts, investment returns are likely to be muted at best. US Dept of Labor Report
August 25, 2010 - You may be aware of recent tax rules that effect the conv
You may be aware of recent tax rules that effect the conversion of assets from traditional IRAs to Roth IRAs. In 2010, some investors who previously were precluded from using Roth accounts can convert their retirement savings. Would it be wise to convert my traditional IRA to a Roth? Hawk100 can help answer that and other financial planning questions. Meanwhile, the following guide from Fidelity offer quick tips: Would I benefit from a Roth 2010 conversion?
August 24, 2010 - Existing homes sold during July cascaded like the Niagara
Existing homes sold during July cascaded like the Niagara Falls. Dropping 27.2% from June, only 3.83 million units sold. Meanwhile supply leaped 40% from 8.9 months to 12.5 months. Briefing.com analysis
August 23, 2010 - Increasingly commentary calls current market conditions a
Increasingly commentary calls current market conditions a bond bubble. Google "Bond Bubble" for the past week alone returns 381,000 sites. Nearly two years since the Fed adopted its 0 to 1/4 percent (read zero percent) target, the 10-year treasury note yields just 2.63%. I call that a bubble. The Great American Bond Bubble (WSJ)
August 20, 2010 - This weekend, I plan to ride my bicycle 102 miles in the
This weekend, I plan to ride my bicycle 102 miles in the 2010 Pelotonia. Charity is part of my life purpose, aligned with the Hawk100 values, and I have a dear interest in advancing treatments for cancer patients and their families. I would greatly appreciate your support of my ride to benefit the James Cancer Hospital at Ohio State. My rider profile
August 20, 2010 - Life is sudden and precious. Cherish each moment like it
Life is sudden and precious. Cherish each moment like it is your last and you will accomplish everything you could dream in your lifetime.
August 18, 2010 - Research Affiliates founder, Rob Arnott, argues that inve
Research Affiliates founder, Rob Arnott, argues that investors are underallocated to inflation hedges. Morningstar Fund Manager Q&A
August 16, 2010 - Here is the original article from March 2009. Hough begin
Here is the original article from March 2009. Hough begins sharply, "The four-year college degree has come to cost too much and prove too little. It?s now a bad deal for the average student, family, employer, professor and taxpayer." The Case Against the College Degree (WSJ-Smart Money)
August 16, 2010 - With a quiet day in the markets, I impart sage personal a
With a quiet day in the markets, I impart sage personal advice for your benefit. Keep in mind that Hawk100 often tends to find favor in "hawkish" or contrarian views. This particular piece definitely swims against the stream and provokes with meaningful questions. The author closes on a soapbox, "Students seeking dignity and knowledge shouldn't be lured into financial servitude. Cheaper loans and more tax breaks aren't the answer. The recent housing bubble has taught us that. Today's degree system as it stands is a tyranny. It's time to replace it." Against the College Degree (WSJ-Smart Money)
August 16, 2010 - China supplants Japan as world's #2 economy, in terms
China supplants Japan as world's #2 economy, in terms of the value of its output. Those arguing for a European-style "quality of life" indicator to include in the measure of a nation's wealth should take note and use caution when inserting additional subjectivity when justifying artificially high standards of wealth. Simply ask Greek pensioners how wealthy they feel today. China Output Tops Japan (WSJ)
August 13, 2010 - CFA Institute has provided an exceptional cross reference
CFA Institute has provided an exceptional cross reference matrix for comparing countries tax systems, using the "Law in Context" form from Baker & McKenzie. Tax System Matrix
August 12, 2010 - GM reports profits of 1.3 billion while simultaneously an
GM reports profits of 1.3 billion while simultaneously announcing resignation of CEO Edward Whitacre. The announcement follows the resignation of Board member Kent Kresa earlier this month. Usually, such news foretells something is amiss beneath headline profits. Recent changes to company bylaws with respect to shareholder and board meetings show further consolidation of power which often indicates malfeasance. On August 3, the GM (1) increased the threshold to call a stockholder meeting from 15 to 25 percent (i.e., without consent of the UAW or US Government, forget about it), (2) deleted description how regular meetings should be set, and (3) shortened required notice for meetings to less than 24 hours. To offer a final confirmation of stifled share rights, the annual meeting of stockholders was held with no proxy solicitation. Yet, somehow, stockholders voted to elect the proposed slate of directors without exception.
August 10, 2010 - The Federal Reserve Board decided to maintain rates at 0-
The Federal Reserve Board decided to maintain rates at 0-1/4% and added language committing to maintain the size of its extraordinarily large balance sheet by purchasing Treasuries. This is in essence a standing commitment to monetize a broken fiscal policy. Fed statement changes from June
August 10, 2010 - Research following an insightful piece from Henry Olsen i
Research following an insightful piece from Henry Olsen in today's Journal, Unemployment: What would Reagan do? (WSJ), led us to an even more interesting piece of economics history. 75 years of American finance: A graphical presentation 1861 to 1935 (St Louis Fed) places into perspective differences from yesteryear to today.
August 10, 2010 - Non-farm productivity declined 0.9% for the quarter, evid
Non-farm productivity declined 0.9% for the quarter, evidence of a faltering U.S. economy.
August 09, 2010 - Article 216
According to EconoDay's International Perspective, "China?s banking regulator told lenders last month to conduct a new round of stress tests to gauge the impact of residential property prices having fallen as much as 60 percent in the hardest hit markets. Banks were instructed to include worst-case scenarios of prices dropping another 50 percent to 60 percent." If markets have fallen 60% on the heels of a 60% decline, that leaves a mere 16% of the original market value. Under a 30-year fixed mortgage with 6% annual interest, only those loans that within 28 months of final maturity would be in the money. Everything else would be under water. Find a bank that would survive that scenario and Hawk100 will invest immediately.
August 05, 2010 - Welcome adversity with an open and curious mindset rather
Welcome adversity with an open and curious mindset rather than a closed and defensive posture. For example, take full responsibility for the issue and the results. This usually drives positive actions toward a resolution. Avoid blaming someone or something or pretending to agree when you don't. This typically wastes energy on counterproductive measures to deliver punishments that advance nothing. From "Shifting from Defensiveness to Curiosity" courtesy AUMPartners.
August 04, 2010 - Claymore pending move to make bond ETFs actively managed
Claymore pending move to make bond ETFs actively managed products. It will be interesting to see how this venture plays out if systemic risk increases. Claymore Bond ETFs to Convert to Active Strategy (Morningstar)
August 03, 2010 - Linda Stern surmises that your retirement plan may be in
Linda Stern surmises that your retirement plan may be in better shape than you think. She points to trends that people spend less in retirement than most planners assume. Retirement Math ... (Reuters)
August 03, 2010 - The gap between personal income and personal spending wid
The gap between personal income and personal spending widened in June -- a pattern of increased austerity among US consumers -- as income rose 0.3% and spending was unchanged. The sluggish figures are consistent with weaker economic activity. Spending, Income Flat in June (WSJ)
August 01, 2010 - While in Barcelona last week, I spoke with an investment
While in Barcelona last week, I spoke with an investment industry leader from Abu Dhabi. Inquiring of the state of markets in the UAE, he replied that everything is "sunshine" in the Arab Emirates. Research in Motion may beg to differ as thr UAE bans Blackberry phones until they come into compliance with UAE (censorship) laws.
July 31, 2010 - New laws do not necessarily improve the game. Sometimes,
New laws do not necessarily improve the game. Sometimes, they just redefine the terms of the game. Credit card issuers have discovered new ways to extract fees from cardholders. New Credit-Card Tricks (WSJ)
July 28, 2010 - More economic weakness appeared today with the durable go
More economic weakness appeared today with the durable goods orders showing -1.0% while the WSJ consensus expectations called for advance of 1.0%. Stocks dropped on the news with the tech-heavy Nasdaq losing -1.04%.
July 27, 2010 - Article 208
Uptown Girl lists her home in the Hamptons. Let's see what it fetches in price during this contracting real estate market. Christie Brinkley Lists Home in Hamptons (WSJ)
July 19, 2010 - Strong earnings lift stocks, but statistics continue to s
Strong earnings lift stocks, but statistics continue to show weakness in the macro economy as the summer season takes its toll on housing data. As we forecast, the cash for fixer uppers program shifted consumption patterns between months rather than cause lasting growth in housing demand.
July 16, 2010 - Hawk100 will represent the Midwest region of the United S
Hawk100 will represent the Midwest region of the United States in Barcelona, Spain this week on behalf of the global investment profession. I look forward to reporting to Members about the investment landscape worldwide, in Europe generally, and within Spain particularly.
July 15, 2010 - Article 205
The WSJ carries an excellent article in today's issue describing the upcoming tax challenges. As Tax Cuts' Expiration Date Nears, Little Consensus (WSJ)
July 14, 2010 - Kieran Osborne, CFA offers an intriguing look at inflatio
Kieran Osborne, CFA offers an intriguing look at inflation. We happen to agree with him that inflationary pressures have been pumped into the system and it is only a matter of time before the bubble bursts. Inflation: The Runaway Train (Mornignstar)
July 13, 2010 - The stock rally continued today on strong earnings from s
The stock rally continued today on strong earnings from several bellwether companies. It has been a favorable quarterly earnings season, but the petals appear to be falling from the rose bloom.
July 11, 2010 - The aptly-named "Limitless" division of deeply indebted D
The aptly-named "Limitless" division of deeply indebted Dubai World is selling its investment in a Malaysian venture for $23.8 million. Malaysian developer Bandar Raya's subsidiary Ardent Heights will buy the entire Dubai stake in Haute Property sdn bhd, according to Reuters. This is a small step toward advancing a resolution for Dubai World's $23.5 billion indebtedness.
July 09, 2010 - Article 201
US stock markets shrugged off today's report of rising inventories (often a precursor to economic contraction) to make modest gains in early trading.
July 08, 2010 - As a follow up to our June HawkTalon, Paul Volcker expres
As a follow up to our June HawkTalon, Paul Volcker expressed disappointment in the Volcker rule. Bloomberg Video
July 08, 2010 - As we predicted, the Fed is finding it difficult to remov
As we predicted, the Fed is finding it difficult to remove expansionary policies. Empirical evidence shows that staying with these policies is most likely to lead to inflation. Fed worries about economic slowdown (The Washington Post)
July 07, 2010 - Geithner is confident in the world economy according to R
Geithner is confident in the world economy according to Reuters and Bloomberg. The EU will resolve its sovereign debt crisis, the yuan will rise, children will get good grades and families will prosper. Okay, so we added a bit of color, but we long ago lost confidence in the former banking regulator who oversaw the 2007/08 collapse under the roof of his own house of cards. Geithner confident ...(Reuters)
July 06, 2010 - Morningstar recommends four steps to its midyear portfoli
Morningstar recommends four steps to its midyear portfolio checkup process. Hawk100 already incorporates these steps, and more, for Member portfolios. Morningstar
July 02, 2010 - Neither stocks nor bonds liked the employment situation.
Neither stocks nor bonds liked the employment situation. Private payrolls added 83,000 non-farming jobs, and the winding down count of census employees made the headline number drop 125,000 in June.
July 01, 2010 - Hawk100 actively uses hedging strategies to reduce much o
Hawk100 actively uses hedging strategies to reduce much of the market risk from its Members' portfolios. Call us at 614.791.HAWK to learn more about how Hawk100 aligns your wealth with your life.
June 30, 2010 - The S&P500 closed down again today. The index lost 11.9%
The S&P500 closed down again today. The index lost 11.9% in the quarter just ended. It could be worse, the MSCI EAFE Index, an international market bellwether, dropped 16.9% in the quarter.
June 28, 2010 - Morningstar offers what to consider before investing in c
Morningstar offers what to consider before investing in country-specific ETFs. The Pros and Cons of Single-Country ETFs They point to underlying fund concentrations, such as Brazil's exposure to two companies. Rather than pay underlying ETF expenses, HawkHunt members can purchase direct holdings in the concentrated stocks, and have Hawk100 manage the associated risks directly.
June 26, 2010 - The Journal has an excellent quick summary of the Dodd-Fr
The Journal has an excellent quick summary of the Dodd-Frank bill. What's in the Bill
June 25, 2010 - Begrudgingly, I must now live under the auspices of an ac
Begrudgingly, I must now live under the auspices of an act named for Senator Dodd and Congressman Frank. At first glance of the 2000 page legislation, the Reform does little to advance public interest but does much to advance political interest. Much ado about nothing. The WSJ reports, "Government-controlled Fannie Mae and Freddie Mac remain a multibillion dollar drain on the U.S. Treasury, and largely untouched by this proposal." Of the 2000 page bill, WSJ quotes Rep. Jeb Hensarling (R., Texas), "My guess is there are three unintended consequences on every page of this bill."
June 24, 2010 - This follows the Morningstar Investment Conference first
This follows the Morningstar Investment Conference first full day sessions: Cash is King indeed, just don't tell the would be king, Obama. Says Artio's Rudolph-Riad Younes, "If you don't see the hand that the government is dealing, it's very smart to pass and wait for a better opportunity." Romick, Younes on Cash, Gold, and Government Debt. Morningstar.
June 23, 2010 - Earth shattering news...besides the 5.5 earthquake in Det
Earth shattering news...besides the 5.5 earthquake in Detroit today which ironically coincided with the real news...the Federal Reserve Open Markets Committee decided to maintain its target federal funds rate at 0--25 BPs.
June 22, 2010 - Morningstar has a terrific article on defining appropriat
Morningstar has a terrific article on defining appropriate risk allocation in retirement. Risk Calibration for Retiree Portfolios
June 21, 2010 - Article 187
Stocks and bills like China's decision to ease dollar peg for Yuan. Geithner and Bernanke may not like what they get with this move. For decades, the US has in essence exported inflation to China. Hereafter, inflation may come stateside.
June 18, 2010 - The Economist and Reuters report that the EU will conduct
The Economist and Reuters report that the EU will conduct its own bank stress test, repeating the effort of Geithner and group in early 2009, and make the results public in the second half of July. Hawk100 will study those results with a HawkEye on political influence. Reuters report
June 17, 2010 - Many thanks to Barney Frank. The Congressman has introduc
Many thanks to Barney Frank. The Congressman has introduced to financial reform legislation a provision that removes the cartel of ratings agencies whose AAA ratings on junk issues played a key role in bringing about the systemic collapse of the financial system. At Last Financial Reform (WSJ)
June 16, 2010 - Why has the price of oil hardly changed since the gulf le
Why has the price of oil hardly changed since the gulf leak crisis began and while the Obama administration has closed further development? What is the status of the strategic oil reserve? Why have pump prices for gasoline hardly budged this summer driving season? The current energy market diverges sharply from prior oil supply disruptions.
June 14, 2010 - WSJ published an interesting article on Roth conversions.
WSJ published an interesting article on Roth conversions. Why You Shouldn't Convert to a Roth IRA Editorial errors in the article (e.g., distributions from IRAs are required to start at age 70.5, not 59.5 as cited) sparked even more interesting online debate. See the comments thereon. Of particular note, it is conceivable that this or some future congress assesses tax on Roth IRA balances or distributions in the form of "wealth tax" to supposedly help cover costs of unfunded promises. If the financial planning community is discussing this potential, I am certain Congress has its eye on this prize.
June 14, 2010 - BP = Bouncing Price. Until the wrath of governments abade
BP = Bouncing Price. Until the wrath of governments abades, I expect each subsequent bounce to diminish, like the ball that bounces while children play.
June 11, 2010 - Hawk100 sponsored excellent Rally for Clemens Cycle for C
Hawk100 sponsored excellent Rally for Clemens Cycle for Cancer today. At last count, the Rally raised $3370.25 due to efforts from teams representing Wright State University, Dayton's Mix 107.7 FM, The Street Team from Dayton's CW TV, and the City of Centerville. Hawk100 is delighted to support Clemens Cycle for Cancer. Please join us Saturday June 11. www.mvhfoundation.org
June 10, 2010 - Charlemagne has a great blog in the Economist this week.
Charlemagne has a great blog in the Economist this week. It's Angela Merkel's euro-party, and she'll cry if she wants to The EU is essentially Germany's step child and will run or fall on German legs.
June 09, 2010 - Dan Klein has an exceptionally enlightening opinion in ye
Dan Klein has an exceptionally enlightening opinion in yesterday's Journal. "Realizing that many of our leaders and their constituents are economically unenlightened sheds light on the troubles that surround us." Are You Smarter Than a Fifth Grader?
June 09, 2010 - It appears to be a CEO GOP in CAL. Meg Whitman, former E
It appears to be a CEO GOP in CAL. Meg Whitman, former EBay CEO, won the Republican nomination to run against Jerry Brown for governor of the left coast state. Carly Fiorina, the ex-chief of HP, won the party nomination to run for Senator to potentially replace Barbara Boxer. Both wins advance conservative interests in a state that is broadly liberal, despite being the home state of the late President Reagan, among the noteworthy leaders of the conservative movement.
June 08, 2010 - Hawk100 is proud sponsor of 2010 Clemens Cycle for Cancer
Hawk100 is proud sponsor of 2010 Clemens Cycle for Cancer. Listen to Dayton's Mix 107.7 FM this Friday from 6 -- 10 AM for the Clemens Cycle for Cancer Pre-Event Rally. Mix 107.7 Thanks Hawk100 Dayton's CW Lists Teams Participating
June 08, 2010 - Article 176
Nat'l Federation of Independent Business (NFIB) small business optimism index bumped up 1.6 points to 92.2. Interestingly, "it was the best reading since September 2008" (coincident with the free fall of capital markets) according to Econoday which goes on to report that NFIB economist William Dunkelberg characterizes the economy as "mediocre at best."
June 07, 2010 - Hawk100 posted the latest issue of HawkTalon, discussing
Hawk100 posted the latest issue of HawkTalon, discussing animals and investor behavior.
June 07, 2010 - iPhone 4 fails to save the market from another decline.
iPhone 4 fails to save the market from another decline. Stocks were holding their ground until mid afternoon trading when another sell off led to losses of more than 1%.
June 03, 2010 - According to the Energy Information Administration, crude
According to the Energy Information Administration, crude oil inventories decreased 0.9 million barrels for the week and gasoline slipped 2.6 million barrels. The onset of the summer driving season, Monday's International Atomic Energy Agency report of Iran's unimpeded progress toward a nuclear bomb, and the gulf oil leak throw a number of questions into the ability to maintain supplies. Expect pump prices to rocket although crude prices sit idly at $73/barrel.
June 03, 2010 - Article 173
Bruce Greenwald sees poison in Apple's "hugely expensive" stock price. Morningstar: Greenwald Wouldn't Bite on Apple
June 01, 2010 - When they seek to influence Yuan appreciation, Geithner a
When they seek to influence Yuan appreciation, Geithner and Bernanke signal that the US has expended all arrows from their quivers to stimulate the US from monetary policy action. Appreciate the Yuan or equivalently depreciate the Dollar to inflate the US. However, as Fair suggests, there may be unintended consequences from Yuan appreciation. The Yin and Yang of Yuan Appreciation
June 01, 2010 - Article 170
With May among the Market's worst monthly returns on record, we are anxious to learn what June has in store.
May 28, 2010 - When I was in Boston last week at the CFA annual conferen
When I was in Boston last week at the CFA annual conference, I had a wonderful opportunity to speak with Seth Klarman and Jason Zweig. In last week's Journal, Zweig's The Intelligent Investor column covered some of Klarman's public comments at the conference. Legendary Investor is More Worried Than Ever
May 27, 2010 - Thank goodness for the Chinese. They affirm their Euro h
Thank goodness for the Chinese. They affirm their Euro holdings and the world buys equities.
May 27, 2010 - Correlations between emerging markets and developed marke
Correlations between emerging markets and developed markets appears to be falling in the face of the Euro credit crunch. This makes as sound of an argument for international diversification as I have seen.
May 24, 2010 - Venerable Columbus business-to-business software company
Venerable Columbus business-to-business software company Sterling Commerce has a new parent. AT&T sold Sterling to IBM reportedly for $1.4 billion. Columbus Business First Storyline Updates
May 21, 2010 - Financial Regulatory Reform is making progress through th
Financial Regulatory Reform is making progress through the Senate. If markets increasingly exhibit volatility, look for Congress to press for another "reconciliation" process for the sake of expedience. Like most bills produced from congress of late, the bill does have a few positive effects but mostly it is another government power grab.
May 20, 2010 - CFA Annual Conference Journal. Part 7. Wednesday May 19.
CFA Annual Conference Journal. Part 7. Wednesday May 19. I am invited to lead meetings designed to assist membership in organizing and running private wealth advisory firms. Regrettably, I must decline in order to attend a prior commitment. US equity market continues to slide early then gains some footing as the conference closes midday ET.
May 20, 2010 - CFA Annual Conference Journal. Part 6. Tuesday May 18. W
CFA Annual Conference Journal. Part 6. Tuesday May 18. Watched with keen interest the body language and facial expressions of Harry Markopolous, CFA while we listened to Mary Schapiro, SEC chair, speak of the current and future role of the SEC and respond to questions from our audience. Harry generally nodded in agreement and even laughed twice. US equity market opens up but slides downward throughout day.
May 20, 2010 - CFA Annual Conference Journal. Part 5. Monday May 17. ha
CFA Annual Conference Journal. Part 5. Monday May 17. have incredibly interesting conversations with luminaries of the investment profession including Jeremy Grantham, Jason Zweig, Arnold Wood, Jeffrey Diermeier, John Bogle, and Seth Klarman. US equity market declines during day but recovers to close essentially unchanged.
May 20, 2010 - CFA Annual Conference Journal. Part 3. Saturday May 15.
CFA Annual Conference Journal. Part 3. Saturday May 15. Attend meetings with CFA Society leaders from 138 worldwide investment professional societies. Help facilitate meetings on strategic planning and development. Lead meeting with Society leaders from Midwestern US region. US equity market closed.
May 20, 2010 - CFA Annual Conference Journal. Part 2. Friday May 14. Ch
CFA Annual Conference Journal. Part 2. Friday May 14. Chair meeting of CFA Institute Presidents Council Representatives -- my 10 colleagues from around the globe -- and attend meetings with CFA Institute Board of Governors and leaders of 138 worldwide investment professional societies. US equity market opens down and stays low throughout day.
May 20, 2010 - CFA Annual Conference Journal. Part 1. Thursday May 13.
CFA Annual Conference Journal. Part 1. Thursday May 13. Arrive in Boston and meet with long-time friends and colleagues who now work for firms specializing in private equity, distressed debt, traditional US equity, and of course Harvard. US equity market declines modestly.
May 20, 2010 - CFA annual conference disembarked to unleash attendees on
CFA annual conference disembarked to unleash attendees on a selling spree. Worldwide, investment professionals returned home with the bearish consensus stowed in their luggage.
May 20, 2010 - CFA Annual Conference Journal. Part 4. Sunday May 16. At
CFA Annual Conference Journal. Part 4. Sunday May 16. Attend CFA Institute Board of Governors meeting and represent presidents council in delivering comments to Board. Meet with certain society leaders before transition to the annual conference proceedings. US equity market closed.
May 13, 2010 - Met with lead research analyst covering India for one of
Met with lead research analyst covering India for one of the largest pension systems. There remains wonderful investment opportunities in that nation although risks are elevated for adjusting risk premiums. This weekend in Boston, I'll inquire further with the president of the CFA Society of India.
May 12, 2010 - Spoke with a friend in DC on the phone today. He brings
Spoke with a friend in DC on the phone today. He brings an interesting perspective from the center of the regulatory landscape. Morgan Stanley is now under the microscope.
May 11, 2010 - Will the resignation of PM Brown really change the UK?
Will the resignation of PM Brown really change the UK? Hopefully, David Cameron ushers in a new era of responsibility. Hawk100 is intolerant of excessive hope. We need responsibility.
May 10, 2010 - Note that volatility typically rises at market inflection
Note that volatility typically rises at market inflection points. After a rising market for nearly 14 months, volatility now may be a sign of inflection. Hawk100 is poised to protect your wealth if markets fail here.
May 10, 2010 - Looking back at the 20 most volatile days of all time (si
Looking back at the 20 most volatile days of all time (since S&P started tracking intraday high and low on the S&P500 in 1962), Thursday ranked #12 at 8.9%. 13 of the 20 most volatile days ever occurred between 29 Sep 2008 (TARP passed by Congress) and 1 Dec 2008. 4 of the 20 including the top 2 were in the days between 19--26 October 1987.
May 10, 2010 - Article 151
Don't get too excited by the intraday changes in stocks of late. A quick review of IVW, the index ETF for Large US Growth stocks shows that even Thursday's price glitches were not unprecedented. Here are two previous trading days when volatility of the ETF greatly exceeded volatility of the index (Date, intraday high, intraday low, volatility range, index volatility range): 19SEP2008, 87.40, 45.03, 70.55%, 4.21% and 22JAN2008, 62.56, 48.82, 27.48%, 3.64% But nothing looks quite like Thursday: 06MAY2010, 59.65, 0.10, 101.92%, 8.88%
May 10, 2010 - Adding fuel to the fire. The EU agrees to pump 750 billi
Adding fuel to the fire. The EU agrees to pump 750 billion euro to shore up sovereign debts of member nations. The financial strength of the continental union of member states has come under doubt from the weight of public pensions. Maybe the US should pay attention and avoid this track before we fall too far in line with this train wreck.
May 10, 2010 - Elena Kagan gets nod from Obama for Supreme Court Justice
Elena Kagan gets nod from Obama for Supreme Court Justice. It will be interesting to see if this distracts the market's attention away from Greece and the Euro-zone collapse.
May 07, 2010 - ...and so closes the oddest week ever. The S&P 500 decli
...and so closes the oddest week ever. The S&P 500 declined 6.4% and the MSCI EAFE dropped 7.4%. Thank heaven for hedges, or just thank Hawk100.
May 07, 2010 - Hawk100 has recommended VIX for member portfolios to prot
Hawk100 has recommended VIX for member portfolios to protect their wealth against uncertainty under conditions exactly as they are happening now. Stocks ... VIX Soars
May 06, 2010 - The market meltdown might be here. Hawk100 is watching c
The market meltdown might be here. Hawk100 is watching closely, protecting your accounts proactively, and purchasing where prudent.
May 03, 2010 - Members of Hawk100: Rest assured, we protect your financ
Members of Hawk100: Rest assured, we protect your financial information with a higher degree of sensitivity, confidentiality, privilege, and privacy than the Pentagon treats its nuclear arsenal. Why the Obama administration would disclose such records to the international community of allies and adversaries is beyond our understanding. US Reveals Size of Nuclear Arsenal (WSJ) US Says Nuclear Arsenal Includes 5113 Warheads (Reuters) Pentagon to Unveil Size of Nuclear Arsenal (Worldnews)
May 03, 2010 - For March 2010, personal income increased 0.3% and consum
For March 2010, personal income increased 0.3% and consumer spending rose 0.6%. So much for more prudence in American consumerism. Over the year, income and spending rose 3.0% and 2.9%, respectively. Not much saving showing up here either.
April 29, 2010 - Little surprise that Geithner and Company are trying to c
Little surprise that Geithner and Company are trying to cede authority for financial intervention to the international community. The powder in our war chest is wet under the weight of unfunded pension commitments and governments are grabbing cash where ever they can find it. Global Bank Tax, WSJ
April 29, 2010 - Senate moves financial regulatory reform to floor debate.
Senate moves financial regulatory reform to floor debate. Like much of the legislation advanced of late, this bill appears to do little to reduce risk and does much to amplify problems. One case in point, why does the legislation allow Fannie and Freddie to continue to operate unabated?
April 28, 2010 - The Fed decides to keep rates at 0%, affirming our expect
The Fed decides to keep rates at 0%, affirming our expectations!
April 28, 2010 - Meanwhile, the IMF appears poised to increase its Greece
Meanwhile, the IMF appears poised to increase its Greece backing by as much as 10 billion Euro. If total IMF support comes in at 25B and European neighbors follow through with additions to the coffers, will it be enough to keep Greece from crumbling? Perhaps Apollo's scorn has befallen on Greece as recompense for Achilles' slaying of Hector, son of Troy.
April 28, 2010 - IMF World Outlook released last week predicts sunshine an
IMF World Outlook released last week predicts sunshine and smooth sailing. Forecast calls for global growth of 4.25%. China should see growth at 9%, and the US should see 3%. Euro will rise just 1%. So says the judgment of the IMF.
April 27, 2010 - Article 138
So at center stage in today's three ring circus: Goldman goes before the Senate to defend why some investors lose and some investors win in the zero-sum game of derivatives. Step right up folks and see the show. It is a reliable source of entertainment to see how ill-informed our Congress is when it hosts a show panel.
April 27, 2010 - Article 137
Financial Reform put on hold after yesterday's Senate vote to move the bill to the Senate floor fell a few counts shy of the 60 needed. Three cheers: (1) The Senate renewed its commitment to a 60 vote supermajority. (2) The counterproductive measures constraining derivatives, market liquidity, and consolidating risk may yet fail. (3) The conspicuously absent curtailments to Fannie and Freddie may rise anew.
April 26, 2010 - Business Wire reports that Novartis elects to exercise it
Business Wire reports that Novartis elects to exercise its purchase rights on Alnylam, following terms to a September 2005 agreement. The Basel Switzerland based pharmaceutical expands its holdings in this leading company in RNAi therapeutics, a "breakthrough in understanding hos genes are turned on and off in cells."
April 23, 2010 - Durable goods orders "look great" according to the interp
Durable goods orders "look great" according to the interpretation of Econoday. Airline orders dragged the headline number (-1.3%) into negative territory for March but otherwise activity "spiked" 2.8%. As of this Musing, the durables sector lags the overall US equity market on today's trading.
April 22, 2010 - Quanex made another jump upward. 8.08% today. This make
Quanex made another jump upward. 8.08% today. This makes a new 52-week high for another Hawk100 holding.
April 21, 2010 - Ryder reported a bang out quarter with 24 cents diluted E
Ryder reported a bang out quarter with 24 cents diluted EPS from continuing operations. The company further raised its full year EPS guidance to a range of $1.85-$1.95. That would bring its PE ratio to roughly 24. We will watch this hunt opportunity like a hawk.
April 21, 2010 - Follow The Money... When you pay your taxes to the IRS, w
Follow The Money... When you pay your taxes to the IRS, where does the money go? In an upcoming HawkTalon, Hawk100 will investigate and report some surprising results. Stay tuned to our Insights page.
April 19, 2010 - While drafting financial regulatory reform legislation, p
While drafting financial regulatory reform legislation, perhaps Senator Dodd should follow the investment analysis sage, David Dodd. The latter co-wrote the classic, "Security Analysis" with his Columbia University colleague, Benjamin Graham. They built the foundation for rigorous analysis that led to more informed decision making. Followers of their thoughtful approach include Warren Buffett. Senator Dodd, abandon political bias in favor of thoughtful analysis and informed decisions. We will be eternally grateful.
April 16, 2010 - Goldman under scrutiny. Bank of America reports earnings
Goldman under scrutiny. Bank of America reports earnings (although positive bottom line, some cracks showing). GE profits tumble. Google missed its earnings guidance. Stocks take a hit.
April 15, 2010 - Morningstar reports that TD Ameritrade will increase its
Morningstar reports that TD Ameritrade will increase its "No Transaction Fee" platform listing to 40 basis points (0.40% of assets), up from 35 basis points, to become price competitive with Schwab and Fidelity. Such hidden costs, even within supposedly "No Transaction Fee" funds, are a major reason Hawk100 prefers to avoid mutual fund investing when all things are considered.
April 14, 2010 - NVR to acquire essentially all assets of Orleans Homebuil
NVR to acquire essentially all assets of Orleans Homebuilders for $170MM. Under deal terms, NVR will act as a "stalking horse" bidder at a June 23 auction; the price is subject to working capital adjustments; NVR assumes certain liabilities including $53MM LOCs; NY state properties will be sold separately. The bankrupt Orleans last reported financials in 2008 when it showed tangible assets of $689MM. Deal terms look favorable for NVR.
April 13, 2010 - With the Dow clinging to 11000, it is interesting to watc
With the Dow clinging to 11000, it is interesting to watch the S&P resist a move above 1200 and the NASDAQ 100 bump into a ceiling at 2000.
April 12, 2010 - Wall Street is alight with fete for the Dow Jones Industr
Wall Street is alight with fete for the Dow Jones Industrial Average closed above 11000 for the first time since September 2008. Does this foretell strong earnings this spring, and has financial risk returned to pre-September 2008 levels?
April 12, 2010 - This widely followed organization was celebrated today fo
This widely followed organization was celebrated today for having reported that it trimmed losses during the month of March. By losing only $2.11 billion every day during the month, the U.S. treasury budget released today actually shows remarkable improvement from recent periods. April is almost always the best month of the year for our tax collectors, so we will watch the next report with an eye for earth shaking results.
April 11, 2010 - Get outside and enjoy the sunshine and watch the flowers
Get outside and enjoy the sunshine and watch the flowers bloom. Take a moment to reflect on your purpose, values, aspirations and goals. Is your wealth aligned with your life? Hawk100 can help.
April 09, 2010 - The recession is officially over! Sales at Constellation
The recession is officially over! Sales at Constellation Brands fell 4% and the winemaker forecast weakness ahead. Beer, wine, and spirits typically have a place for counter-cyclical, defensive investing. Let's just say people tend to drown economic sorrow in a "soda" binge. So, if Constellation sales fall, there must be fewer counted among the economically depressed.
April 08, 2010 - Wi-LAN Inc. is suing numerous US technology companies for
Wi-LAN Inc. is suing numerous US technology companies for patent infringement on its Bluetooth technology. The already popular technology should gain explosive growth while many states pass laws making it illegal to drive while texting or speaking on a handset.
April 06, 2010 - The FOMC released its minutes today from the March meetin
The FOMC released its minutes today from the March meeting. "Ongoing decline in the implicit rental cost for owner-occupied housing" is muting inflation. Owner equivalent rent is the most subjective (and manipulated) area of CPI and raises questions about the efficacy of CPI generally. Interesting that the Fed chose to highlight it in its arguments that inflation is muted. Also noteworthy is the documentation following the dissenting view of at least one governor regarding the consensus view to remain dovish at the Fed. We obviously prefer Hawkish!
April 04, 2010 - The start of baseball season and the Easter holy day gree
The start of baseball season and the Easter holy day greet us with fresh aspirations. Capture the essence of life like a sunbeam through the window.
April 03, 2010 - Instructed course at Ohio University, Master of Financial
Instructed course at Ohio University, Master of Financial Economics program, covering financial statement analysis and security valuation.
March 25, 2010 - Near universal reliance on government funded support
Reuters reports the Dubai government offered 9.5B $US for Dubai World restructuring. Near universal reliance on government funded support (from Abu Dhabi and Dubai) to keep the government backed investment operation afloat underscores the timidity of private investment in this former high flier.
March 25, 2010 - Fitch downgraded Portugal in an acknowledgment of spreadi
Fitch downgraded Portugal in an acknowledgment of spreading fiscal weakness through the Euro zone. Agence France-Presse reports. The Socialist government reaction to the downgrade, "Finance Minister Fernando Teixeira dos Santos said there was 'no need' to propose additional austerity measures." Meanwhile The Economist estimates Portugal's 2010 budget deficit at -8.6% -- a favorable benchmark next to the US, UK and Spain. The Economist. Sounds like a recipe for deepening distress.
March 24, 2010 - Hawk100 has accepted its newest Member who joins Hawk100
Hawk100 has accepted its newest Member who joins Hawk100 at the HawkHunt service level. Welcome to Hawk100! We look forward to helping you align your wealth with your life.
March 23, 2010 - Obama signs health care reform into law capping "a yearlo
Obama signs health care reform into law capping "a yearlong political drama ... Now, he must sell the law's merits to a wary American public." as reported by WSJ. This puts the cart squarely before the horse. Obama and the democrats needed to build public support in advance of the bill, not after it became law.
March 23, 2010 - Nikkei and Reuters report that Japan is fiscally challenged for
Japan government to face big fund shortage in 2011/12 Nikkei and Reuters report that Japan is fiscally challenged for next year unless it cuts spending or issues debt (raising the risk that its sovereign rating is cut). The shortfall could reach $78 billion on GDP of $4.1 trillion. This appears constrained relative to the US, UK and others with fiscal shortfalls in excess of 10% of GDP.
March 23, 2010 - Senate Banking Committee advanced legislation to reform t
Senate Banking Committee advanced legislation to reform the financial industry. The legislation would create a systemic risk regulator and empower the Federal Government with far reaching controls of financial commerce. Like Health Care, while the system may need reform, this proposed legislation appears to strengthen the impediments to reform while averting the real causes to the crisis.
March 22, 2010 - ObamaCare is full of complexities, including differing ta
ObamaCare is full of complexities, including differing tax effects. Just to keep track will employ thousands of accountants and attorneys. Tax Foundation, Timeline of Tax Provisions in the House Health Care Bill
March 22, 2010 - ObamaCare passed House on highly divisive vote 219-212 ov
ObamaCare passed House on highly divisive vote 219-212 over the weekend. US stocks shrug off the news to achieve a modest advance today. Like a Hollywood horror film, we are desensitized to the legislative agenda.
March 19, 2010 - Looming approval of ObamaCare in congress this weekend gi
Looming approval of ObamaCare in congress this weekend gives cause for caution. We have expressed concern for the potentially far reaching aspects of the plan and its unintended consequences throughout the economy.
March 18, 2010 - Article 109
In concert with yesterday's release on PPI, CPI, the consumer price index, was unchanged for February and only up 0.1% excluding food and energy. The question is whether this is a temporary lapse in otherwise inflationary environment, or an indication of long run price stability. The economy remains at odds with itself. Some indicators show prosperity, other indicators show danger.
March 17, 2010 - PPI reported for February was benign. The headline produ
PPI reported for February was benign. The headline producer price index declined 0.6%, and the core (ex food and energy) rose just 0.1%. PPI measures the average price level of capital and consumer goods at the producer level. It can be a leading indicator of consumer prices and general inflation.
March 16, 2010 - The Fed released its statement today following its regula
The Fed released its statement today following its regularly scheduled meeting of the FOMC. The statement describes a peaceful picture of economic stability with such words as follows. "economic activity has continued to strengthen," "labor market is stabilizing," "household spending is expanding," "business spending ... has risen significantly," "inflation is likely to be subdued," and "improved functioning of financial markets."
March 16, 2010 - SAFT reported full year results for 2009. Based on its o
SAFT reported full year results for 2009. Based on its operations and reported results, our opinion remains that SAFT offers attractive valuation, stable business prospects, and sound investment.
March 16, 2010 - Reuters is reporting that SVU "could be getting ready for
Reuters is reporting that SVU "could be getting ready for a leveraged buyout." Shares have "surged" on the rumor though analysts "remain doubtful."
March 15, 2010 - China adopts harder line on US as it pushes back on curre
China adopts harder line on US as it pushes back on currency policy. The US is in no position to lecture China from its current fiscal and monetary status. Most likely, this is nothing more than hot air blowing between world economic powers vying for supremacy. A worse possibility, this is a continued fracture of relations between two reluctantly trading partners.
March 12, 2010 - Mixed economic signals resulted in a flat market today.
Mixed economic signals resulted in a flat market today. All was quiet this week on Wall Street. Next week should not be as calm with triple witching Friday when derivatives contracts expire.
March 11, 2010 - Household net worth rose in the US for the third straight
Household net worth rose in the US for the third straight quarter as consumers cleaned debts off their balance sheet and enjoyed continued rallies in securities prices. "U.S. household debt fell 1.7% in 2009 ? the first annual drop since the Fed's records began in 1945. A 22.7% rise in government debt, though, more than offset the decline. In all, U.S. private and public debt rose 3.4% in 2009, to $34.7 trillion." WSJ.
March 05, 2010 - Reuters reports that Morgan Stanley said, "U.S. corporate
Reuters reports that Morgan Stanley said, "U.S. corporate borrowers amassed the most cash relative to debt on record through the fourth quarter and will likely preserve cash levels this year...Cash amounted to just under 30% of debt in the fourth quarter." For individual securities held in Hawk100 member portfolios, the weighted average cash amounts to 46% of TOTAL liabilities.
March 05, 2010 - Although the U.S. lost 36,000 jobs in February, the unemp
Although the U.S. lost 36,000 jobs in February, the unemployment rate held steady at 9.7%. Surely weather had a short term effect in the jobs numbers, but a bigger factor over the long term is the minimum wage policy. Today's Wall Street Journal Outlook editorial The Lost Wages of Youth captures the devastating economic impact of a misapplied policy initiative.
March 04, 2010 - The House passed the new jobs bill sending it back to the
The House passed the new jobs bill sending it back to the Senate for final approval. The legislation seeks to offset the cost of programs with "tools to make it easier for the Treasury to prosecute individuals trying to hide earnings offshore from the Internal Revenue Service and delayed a tax break allowing U.S. multinationals to write off their world-wide income from U.S. income for tax purposes." (WSJ)
March 03, 2010 - Using the Visa in your pocket may get easier if a proposa
Using the Visa in your pocket may get easier if a proposal from the Federal Reserve Board goes through. The proposal restricts interest rates and penalties associated with credit cards. This reigns in credit card issuers but offers no incentive for responsible credit card use. Irresponsible borrowers were complicit in the financial crisis, too.
March 03, 2010 - Maybe Rover can retrieve SVU. Minneapolis Star Tribune r
Maybe Rover can retrieve SVU. Minneapolis Star Tribune reports the grocery is adding a store-brand line of pet foods and supplies, WholeCare Pet, to broaden appeal in the tough retail environment. SVU expects private label sales to account for 19% of all sales by end of fiscal 2010. Growing private label brands should benefit SVU financial results when economic pressures increase.
March 02, 2010 - Proposed 401k rules could affect relationship between inv
Proposed 401k rules could affect relationship between investors and their advisors. Proposed 401(k) Reforms Stir Debate Hawk100 agrees in principle that advisors should provide full disclosure of their fees and compensation methods so investors can judge their recommendations with full understanding of potential conflicts of interest. Otherwise, the proposal appears to take another far reaching step over the line of regulatory intrusion. Bradford P. Campbell who served as the assistant secretary of labor heading the department's Employee Benefit Security Administration from 2006 to 2009 said, "I am very concerned that the Labor Department is considering defining 'generally accepted investment theories' and mandating or prohibiting investment practices,"
March 01, 2010 - Investors really liked what they read this weekend in the
Investors really liked what they read this weekend in the 10Q from NX. The stock rocked ahead by $2 per share after a strong earnings release last week. NX continues to show robust cash flow and appears poised for returns to shareholders with its streamlined business lines.
March 01, 2010 - Wealth distribution is an interesting dynamic. AIG she
Wealth distribution is an interesting dynamic. AIG sheds its Asian operations to Prudential for $35B. Not long ago, Prudential was "rescued" when it sold its securities segment to Wachovia...which was subsequently "rescued" by selling its business to Wells Fargo...which was subsequently "rescued" by TARP cash...the same program used to "rescue" AIG. TARP recipient JPMorgan was part of the team that advised Prudential. TARP beneficiaries Goldman and Citigroup advised AIG. TARP beneficiary Morgan Stanley advised the NY Fed which will receive $16B for its preferred interest in AIG's AIA Asian division. What goes around, comes around.
February 28, 2010 - The earthquake in Chili adds another tragedy to 2010. Ha
The earthquake in Chili adds another tragedy to 2010. Hawk100 sends prayers to its Chilean friends dealing with the 8.8 magnitude quake. Use major catastrophes to serve as reminders to "hope for the best but prepare for the worst."
February 27, 2010 - Find your purpose and pursue it with passion. Hawk100 he
Find your purpose and pursue it with passion. Hawk100 helps its members search and discover their purpose then helps them align their wealth toward that purpose in a strategic framework.
February 26, 2010 - Ryder posted an update to its pension plan today. The fu
Ryder posted an update to its pension plan today. The funded status of the plan has recovered but remains in deep negative territory. The same is true for unrecognized actuarial losses. Ryder continues to freeze benefits and is taking steps to arrest the challenge. Perhaps a turnaround is evident, but a steep climb remains ahead.
February 25, 2010 - John Herrmann was convinced, if not convincing, that the
John Herrmann was convinced, if not convincing, that the bottom is past and is poised to be the ultimate bull as soon as employment comes in line with his forecast for this summer. Hawk100 is investigating the research provided from State Street.
February 25, 2010 - Jamie Zeigler reflected personal experience and research
Jamie Zeigler reflected personal experience and research to redress investment team culture that has gone awry during the darkest days of 2008 and 2009. Hawk100 might engage AUM Partners to assist its strategic development.
February 25, 2010 - Richard Mourdock gave a passionate accounting of his expe
Richard Mourdock gave a passionate accounting of his experience in fighting the Chrysler bankruptcy for the good of all who rely on the rule of law. He is a genuine, ethical gentleman and patriot.
February 25, 2010 - In Indianapolis today to make opening presentation and lu
In Indianapolis today to make opening presentation and lunch address to CFA Indianapolis Half Day Forum. Also speaking are John Herrmann, Jamie Zeigler, and Richard Mourdock.
February 24, 2010 - Morningstar remains a fan of Vanguard Emerging Markets (V
Morningstar remains a fan of Vanguard Emerging Markets (VWO) ... Lower Fee consistent with Hawk100's own analysis.
February 23, 2010 - When markets decline, take solace knowing your wealth is
When markets decline, take solace knowing your wealth is invested in a diverse mix of assets designed to mitigate declines. If you wish to discuss your specific performance, please contact your Hawk100 wealth advisor.
February 23, 2010 - Fidelity now offers its Private Client Group customers th
Fidelity now offers its Private Client Group customers the ability to view investment performance on Fidelity.com. This exclusive benefit enables you to easily monitor the rates of return of your individual accounts and overall portfolio. Hawk100 members receive comprehensive investment advice with respect to their entire portfolio. Individual account results may vary. Please contact Hawk100 if you have any questions regarding your custodian account services.
February 22, 2010 - The Credit Card Accountability Responsibility and Disclos
The Credit Card Accountability Responsibility and Disclosure Act of 2009 went into effect today. The regulations are designed to afford protections to consumers while constraining banks ability to raise rates. Industry insiders expect the regulations to increase costs across the board. Morningstar succinctly summarized the regulation Catching Up With Credit Card Regulations.
February 22, 2010 - Like the Friday the 13th serial movies, Obama released He
Like the Friday the 13th serial movies, Obama released Health Care Reform Proposal III, "Putting Americans in Control of Their Health Care" on the White House website. The Podium President points to "outrageous profit" in the health industry as the major cause for reform. The failure of the many health reform sequels lies in the fact that most Americans don't want to cede control of their health choices to their government. At least the labeling of this latest sequel seems to acknowledge that fact.
February 22, 2010 - The Journal Reports that former Secretary of State, Alexa
The Journal Reports that former Secretary of State, Alexander Haig, has died at age 85. In the moments following the failed assassination attempt on President Reagan, Haig notoriously misstated the constitutional succession to the President, "I am in control here, in the White House." The press interpreted Haig's statement as an unconstitutional claim of executive power and hastened Haig's departure from the Reagan Administration. Haig later claimed his statement intended to simply assure the U.S. that the crisis was under control. Confirming a consistent understanding is critical to successful communication. Repeat what you hear in your own words to confirm that you understood the speaker properly.
February 19, 2010 - Article 80
Somehow markets shook off the news that Tiger Woods wasn't sure when he would return to the golf tour. Stocks climbed once they realized how little effect Tiger has on the economy. Bigger news, Core CPI declined in January according to the DOL. Don't put too much faith in the number. It appears to diverge from other price indices.
February 18, 2010 - Change Your Life in Seven Minutes (Morningstar Advisor):
Change Your Life in Seven Minutes (Morningstar Advisor): 1. Decide to go to bed on time. 2. Drink a glass of water. 3. Eat a piece of fruit. 4. Take a walk. 5. Make a list of books you want to read. 6. Get a library card and pick up a book. 7. Clean out your car.
February 18, 2010 - The United States -- the actual States -- can learn from
The United States -- the actual States -- can learn from the fiscal crisis facing Greece. The USA -- in the halls of DC -- can learn from the EU response. But, the EU relationship with its member nations differs from that of the USA with its States. FT, A Greek crisis is coming to America
February 17, 2010 - 30-year fixed mortgage rates remain near their 5-year low
30-year fixed mortgage rates remain near their 5-year lows, at 5.08% national average, and are tracking below trend in the 10-year treasury yield benchmark which has climbed in recent months. Mortgage rates usually closely follow the 10-year treasury yield. It could be time to refinance if you have borrowing terms at 6% or above.
February 16, 2010 - The Journal reports that
The Journal reports that UK Inflation Rose Sharply in January. UK monetary and fiscal policies have closely resembled US policies of late. Look for same indications from US price levels.
February 15, 2010 - When the snow falls during a holiday, take advantage of y
When the snow falls during a holiday, take advantage of your time bundled indoors to tackle a project of procrastination. When done, note your satisfaction then commit to earn it again tomorrow. Every day, tackle one put off project, large or small, and watch your sense of accomplishment grow.
February 12, 2010 - Flights have been beyond capacity by my measure of airpor
Flights have been beyond capacity by my measure of airport traffic and passenger load in my recent travels. Increased mobility could be another sign of an uptick in the economy. Nearby passengers and people in airport lobbies that I have talked with have consistently been in the process of starting new businesses. Another sign of increased economic vitality. Understand that this small sample was taken during a period that could increase sampling bias.
February 11, 2010 - Reuters is reporting that "European Union leaders are exp
Reuters is reporting that "European Union leaders are expected to lay the foundations for a financial rescue of Greece at a summit in Brussels on Thursday, but any package of support is likely to require major economic adjustments by Athens." http://www.reuters.com/article/idUSTRE61964I20100211 A necessary step to cleaning the nation's sovereign debt and an instructive lesson for other countries in similar straits.
February 10, 2010 - Market jitters over euro-zone sovereign credits continue.
Market jitters over euro-zone sovereign credits continue.
February 10, 2010 - I have returned from the trip overseas and preparing to l
I have returned from the trip overseas and preparing to lead gathering of investment professionals in San Antonio.
February 08, 2010 - Stocks dropped approximately 1% to 2010 lows. Marketwatc
Stocks dropped approximately 1% to 2010 lows. Marketwatch attributes the decline to "lingering anxiety over sovereign-debt risk in Europe and uncertainty over regulation of U.S. financial institutions." We would extend the sovereign-debt risk beyond the boundaries of Europe.
February 08, 2010 - The sun has fully risen in Japan. The clash of tradition
The sun has fully risen in Japan. The clash of tradition versus technology is on full display at the tsukiji fish market. Here you can see a colorful array of personalities, activities, and creatures for consumption.
February 05, 2010 - CFA Institute represents the highest standards of ethics,
CFA Institute represents the highest standards of ethics, tenacity, and rigour in the investment profession. I am delighted for the opportunity to represent the Midwest Region and to be engaged directly with the world's leaders in finance. I am also delighted to apply my position to the betterment of Hawk100 members.
February 05, 2010 - Met with former CEO of the Hong Kong Stock Exchange, Paul
Met with former CEO of the Hong Kong Stock Exchange, Paul Chow, to consider ramifications for Asian markets in aftermath of global financial crisis. More to come in HawkTalon.
February 04, 2010 - Article 66
When stocks drop, don't panic. Think clearly and strategically and respond according to the principles laid out in an investment strategy. Diversification is helping Hawk100 members.
February 04, 2010 - Most intersting obsetrvation in Seoul, the motorcycles dr
Most intersting obsetrvation in Seoul, the motorcycles drive on the sidewalks. Look out!
February 03, 2010 - International Herald Tribune (Global Edition of NY Times)
International Herald Tribune (Global Edition of NY Times) top of the fold, front page headlines today: With casinos in Singapore, firms press their luck; First pedals, now Toyota's brakes face scrutiny; Merging 2 disparate armies in Nepal.
February 02, 2010 - Article 63
While traveling abroad, it's good to know you have reliable staff taking care of the office.
February 02, 2010 - Asian stocks are up in advance of my arrival to the Tiger
Asian stocks are up in advance of my arrival to the Tigers. Departing for Seoul, South Korea to represent Midwest U.S. investment profession in meetings with CFA Institute Board of Governors and Presidents Council.
February 01, 2010 - Inattention to details in the White House 2011 budget is
Inattention to details in the White House 2011 budget is displayed in the Office of Management and Budget statement attached to its report. For example, the last paragraph begins, "If we take follow (sic) the plans laid out in the Budget, ..." The statement is full of redundancies and expanded discretionary commitments while claiming fiscal discipline and attempting to lay blame on Bush for $8 trillion of forecast deficits. You can't blame your predecessor for your own inattention and discretion.
February 01, 2010 - Obama goes public with budget ... $3.8 trillion spending
Obama goes public with budget ... $3.8 trillion spending and $1.6 trillion deficit. What happened to all that nose about fiscal responsibility during the State of the Union? Oh yeah, that's next year.
January 30, 2010 - Each week, The Economist publishes economic data on a sur
Each week, The Economist publishes economic data on a survey of nations around the world. One slice of data consistently reported is the federal deficit as a percent of GDP. The UK has consistently led the list for excessive fiscal policy. Until recently, the US was close behind. At latest measure, the U.S. had things "under wraps" with a deficit of 10% of GDP and ranked fifth of the countries listed. Thanks to fiscal restraint, we can now claim to be more diligent than Greece with our federal coffers.
January 29, 2010 - Article 58
Lunch today with a new member of Hawk100's HawkHunt service who will benefit from consolidating a heretofore complex array of accounts in various locations. Hawk100 will help the member appreciably by simplifying life and aligning wealth to support that life. We look forward to the journey.
January 29, 2010 - GDP to the rescue! Up an astounding 5.7% in 2009Q4. Wow
GDP to the rescue! Up an astounding 5.7% in 2009Q4. Wow! Oh, but wait, there is that nasty inventory buildup embedded in GDP. Inventory building up indicates either companies produced excess amounts or consumers purchased less than expected. If the former, then companies will rationally reduce future production until inventory is in line causing further unemployment. If the latter, then companies are left holding excess inventory which they will either discount to liquidate or drain resources to store stuff that is not in demand. It's a good GDP number but take it with a block of salt.
January 29, 2010 - It will be interesting to see how U.S. markets respond to
It will be interesting to see how U.S. markets respond to Bernanke confirmation. Asia declined while Europe has been up in early trading, though those regions are less dependent on U.S. Fed policy.
January 28, 2010 - NVR reported strong 2009Q4 yesterday. P/E ratio stands a
NVR reported strong 2009Q4 yesterday. P/E ratio stands at 17.5 and company appears to be rebounding fundamentally.
January 28, 2010 - Led conference call of investment professional leaders fr
Led conference call of investment professional leaders from around the Midwestern U.S.
January 28, 2010 - Article 53
What did you think of Obama's State of the Union address? I found humor in the pledge to freeze spending...just not yet. Because "that's what you do...that's how budgets work." Sorry Mr. President, but I assume China found less humor in that pledge than I did.
January 28, 2010 - Attended meeting with Columbus chapter of Society of Fina
Attended meeting with Columbus chapter of Society of Financial Service Professionals last evening. They appear to make a wonderful group with whom I will associate more closely.
January 27, 2010 - Just had a delightful telephone conversation with the cur
Just had a delightful telephone conversation with the current board chair of CFA Institute in advance of meetings with the Board of Governors in Seoul next week.
January 27, 2010 - ...the third interesting point, dissention. "Voting again
...the third interesting point, dissention. "Voting against the policy action was Thomas M. Hoenig, who believed that economic and financial conditions had changed sufficiently that the expectation of exceptionally low levels of the federal funds rate for an extended period was no longer warranted." FOMC Statement
January 27, 2010 - ...the second statement that is even more relevant, "To p
...the second statement that is even more relevant, "To provide support to mortgage lending and housing markets and to improve overall conditions in private credit markets, the Federal Reserve is in the process of purchasing $1.25 trillion of agency mortgage-backed securities and about $175 billion of agency debt."
January 27, 2010 - The Federal Reserve Board issued a statement today follow
The Federal Reserve Board issued a statement today following its regularly scheduled Federal Open Markets Committee meeting. The first statement that captures our attention, "With substantial resource slack continuing to restrain cost pressures and with longer-term inflation expectations stable, inflation is likely to be subdued for some time."
January 27, 2010 - NUCOR walloped its consensus earnings projection (0.19 ac
NUCOR walloped its consensus earnings projection (0.19 actual EPS v. 0.09 expected EPS). Most financials have fallen short of their forecasts.
January 27, 2010 - Speaking for the Gold case was Steven Ricchiuto, Managing
Speaking for the Gold case was Steven Ricchiuto, Managing Director and Chief Economist for Mizuho Securities USA. He was most persuasive in building a case for bearishness. Monetary expansion has glossed over fundamental challenges underlying the financial crisis. Without resolving those troubles, a more polarized political class has exacerbated the problem by introducing moral hazard and shifting the debt burden from private parties to the public.
January 27, 2010 - Speaking for the China stock case was Dr. Don Strazsheim,
Speaking for the China stock case was Dr. Don Strazsheim, CFA, Senior Managing Director and Head of China Research for ISI Group. He argued persuasively that China will be the story for 2010. Cautioning that a narrow path to monetary policy success could disrupt its economy, Dr. Strazsheim was confident that China will become the dominant global economy within a generation.
January 27, 2010 - Speaking for the US stock case was Stuart Schweitzer, Man
Speaking for the US stock case was Stuart Schweitzer, Managing Director and Global Market Strategist for JPMorgan. He pointed to early indications of economic stability. While acknowledging a tough road to recovery, he notes that American economic vitality nearly always starts in advance of rebounding employment.
January 27, 2010 - Interesting panel discussion last evening with CFA Societ
Interesting panel discussion last evening with CFA Society of Columbus. Proposed: you are given a sum of money whereby you may only invest the money entirely in one of three investment choices. Would you choose US stock index, China stock index, or gold?
January 26, 2010 - Be sure to consult Hawk100 when evaluating your employee
Be sure to consult Hawk100 when evaluating your employee benefit options. Hawk100 can help guide your selections to be consistent with your Wealth Alignment Plan.
January 25, 2010 - Included in the preceding article from Morningstar is a l
Included in the preceding article from Morningstar is a link to Bundle which provides interesting insight into personal finance trends.
January 25, 2010 - Echoing the opinion long-held at Hawk100, Morningstar pub
Echoing the opinion long-held at Hawk100, Morningstar published a report yesterday asking simply, will you spend more or less in retirement? New research suggests you might spend more as your consumption shifts from necessary to discretionary expenditures. View article.
January 24, 2010 - White House offered further support of Ben Bernanke on th
White House offered further support of Ben Bernanke on the news shows today according to Dow Jones Newswires. Regardless of whether he will be confirmed, Hawk100 would support Senate efforts to challenge his record and intentions if given a next term.
January 23, 2010 - With market declines over last three business days, inves
With market declines over last three business days, investors are widely questioning whether this is a simple retreat of the bull market or the early signals of an all out bear market.
January 22, 2010 - Quoted in today's Columbus Business First,
Quoted in today's Columbus Business First, "Seminars promising stock secrets lead to fine for area businessman" by Adrian Burns.
January 21, 2010 - Taught class this evening covering ethics and standards o
Taught class this evening covering ethics and standards of professional conduct in the investment profession.
January 21, 2010 - Investment Advisor Magazine featured the latest portfolio
Investment Advisor Magazine featured the latest portfolio management tool used by Hawk100. Delivering Diversification
January 21, 2010 - But, don't stay in the pool if it becomes too crowded or
But, don't stay in the pool if it becomes too crowded or the partnership if it becomes too cumbersome. Your benefits still must outweigh the cost of your investment to add value for you and your family.
January 21, 2010 - Visually, you can more easily swim in an Olympic-sized po
Visually, you can more easily swim in an Olympic-sized pool--occupying a fraction of the space shared with others--than to swim in a backyard baby pool that you have all to yourself.
January 21, 2010 - Collaborate where your partners have a higher interest in
Collaborate where your partners have a higher interest in the outcome than you. Measure and evaluate the success of each partnership.
January 20, 2010 - In Grand Rapids, Michigan today for meeting with CFA Soci
In Grand Rapids, Michigan today for meeting with CFA Society featuring discussion panel on financial regulatory reform. Interesting legislative agenda whereby the bills are being written in advance of the investigative commission conducting its review and report. Cart ... then horse.
January 19, 2010 - WSJ is reporting that Scott Brown won the special electio
WSJ is reporting that Scott Brown won the special election for U.S. Senate seat to represent Massachusetts. Brown Wins Massachusetts Senate Seat, Potentially Upending Obama Agenda
January 19, 2010 - Abu Dhabi clarifies its $10B support for Dubai as $5B in
Abu Dhabi clarifies its $10B support for Dubai as $5B in cash, $5B in loans that it previously committed. The disclosure essentially halves the amount expected by those closely watching the developing story in Dubai. Financial Times
January 19, 2010 - Participating in Global Investor Day conference throughou
Participating in Global Investor Day conference throughout the day. Focus on commodities investments, finance and global tax efficiency. Started at 4ET...a full day.
January 18, 2010 - Industrial capacity shrinkage makes the great recession r
Industrial capacity shrinkage makes the great recession remarkably different than ordinary recessions when utilization of existing capacity declines, but we continue to add productive assets. For capacity to shrink, we destroyed assets at a faster rate than we added new capacity through: purchased property, plant and equipment, employment, technology, and productivity. I guess it's consistent with a world where we pay citizens to destroy working automobiles and encourage factories to consume vast natural resources in the production of replacement vehicles that marginally improve fuel efficiency...all in the name of saving precious environmental resources.
January 18, 2010 - The Federal Reserve says industrial CAPACITY DECLINED 1%
The Federal Reserve says industrial CAPACITY DECLINED 1% for the year since December 2008, as reported by the Wall Street Journal "an ominous sign, ... industrial capacity shrinking as companies hold back on new investment. The U.S. economy's total capacity to produce goods ... was down 1% ... the largest annual decline since record-keeping began in 1967. If the trend persists, it could make the economy more vulnerable to inflation ... and force the Fed to hit the brakes by raising interest rates before the economy has fully healed."
January 15, 2010 - I enjoy reading on occasion the manifestos in Change This
I enjoy reading on occasion the manifestos in Change This. Simple, life lessons that help get us where we want to be. Hawk100 strives to share these lessons for the betterment of its members...here is a taste of what we mean. Brainwashed .
January 15, 2010 - SVU continued to hold gains after it reported strong earn
SVU continued to hold gains after it reported strong earnings earlier this week. We remain optimistic especially at these valuation levels.
January 15, 2010 - SAFT and other MA P&C insurers settled with the state AG
SAFT and other MA P&C insurers settled with the state AG regarding disputed motorcycle premium rates charged during years when state insurance commission set premium rates. Shares recovered in the afternoon to close down $0.28.
January 15, 2010 - Health Reform not yet a done deal
Health Reform not yet a done deal The Health Lady Has Yet to Sing, WSJ Potomac Watch by Kimberly Strassel. Interesting that health sector has outperformed SP500 by 6.4% since 22 Oct 09.
January 14, 2010 - Intel's upbeat earnings report and guidance
Intel's upbeat earnings report and guidance may lead the quarter higher as this tech bellwether forges onward. It's amazing that this maturing company still sustains gross margins of 65%.
January 14, 2010 - Dec retail sales were down 0.3% when consensus forecast c
Dec retail sales were down 0.3% when consensus forecast called for 0.4% increase. Inventories up 0.4%, twice the consensus forecast rate. Both measures could start to spell recession with a "W."
January 14, 2010 - We are praying for Haitians suffering through the earthqu
We are praying for Haitians suffering through the earthquake this week. Among my global contacts is a gentlemen who volunteers with Medical Missionaries www.medmissionaries.org which runs and manages a clinic in Thomassique, Haiti that is playing a key role in relief efforts. Godspeed!
January 12, 2010 - Successfully installed Gsphere this weekend to measure an
Successfully installed Gsphere this weekend to measure and manage true diversification within your Portfolio.
January 12, 2010 - Conference call this morning with CFA Institute strategic
Conference call this morning with CFA Institute strategic planning board oversight committee.
January 12, 2010 - SVU reported 2010Q3 EPS of $0.51 diluted. We remain bull
SVU reported 2010Q3 EPS of $0.51 diluted. We remain bullish on SVU and financial results are in early stages of aligning with our expectations.
January 10, 2010 - Follow Hawk100 at Twitter:
Follow Hawk100 at Twitter: Hawk100Clemens
January 10, 2010 - The TurboTax conundrum. To estimate tax, must load last y
The TurboTax conundrum. To estimate tax, must load last year data. To do that, you must first load state. State not available until after Jan 15. Estimated payments due Jan 15. What's the sense in that?
January 08, 2010 - When evaluating insurable risks, be sure to include persoClick to enlarge
When evaluating insurable risks, be sure to include personal umbrella policy to cover the unforeseen. True risk is the unknown.
January 07, 2010 - In weeks before CES, tech stocks have risen 9 of last 12
In weeks before CES, tech stocks have risen 9 of last 12 years (not 2000, 2005, 2008) and have performed better than in weeks after CES 10 of those 12 years (not 1999 and 2001).