Michael Yoshikami, Ph.D., CFP®, is CEO, founder and chairman of Destination Wealth Management's Investment Committee at Destination. Founded in 1986, Destination is a San Francisco Bay Area-based independent, wealth-management firm. He leads the research initiatives at DWM and develops tactical allocation strategies for firm portfolios.
Michael is also finance professor at the National University of Singapore and authors finance white papers for the Centre for Asset Management Research & Investments (CAMRI) at NUS.
Michael was named by Barron's as one of the Top 100 Independent Financial Advisors for 2009, 2010, 2011 and 2012. He holds a BS in business administration, MBA and Ph.D. in education. He is also a Certified Financial Planner®.
With Asia rising, the West struggling under massive debt, commodity consumption going through the roof, and the shadow of high inflation haunting developed countries, there is no way that your current investment strategy can remain the same as it has in the past.
A sigh of relief can be heard by all after two brutal years in the equity markets. But there is something interesting occurring that is gaining little attention. Companies with consistent, stable cash flow, (and not highly leveraged) are underperforming more risky leveraged assets. What's going on?
There is no doubt that something has to be done about the rising cost of health care in the United States. The status quo is a recipe for disaster and, considering the gigantic federal deficit, the last thing the United States needs is an even larger anchor on fiscal health.
With all the talk of the United States in decline (and China on the upswing) there's one inescapable fact that often gets lost in the debate — China and the U.S. are dependent on each other and if either country flounders, there will be a dramatic negative effects on both economies.
With all the talk of green shoots and hopeful expectations, the reality is companies must begin to report better earnings if we expect equity rallies to continue forward. Hope and expectation are all good and fine, but reality must match real-world company performance. July earnings will offer up some clues on what the rest for the year will look like.
As green shoots continue to pop up and give hope that a depression has been avoided, it's important to recognize that there still are significant headwinds facing the U.S. and global economy. There's a real chance that we may face a menace that proved to be destructive for investors portfolios decades ago: Stagflation