"There is nothing wrong with America that cannot be cured by what is right with America.”
- William J. Clinton
The Fourth of July has always been my favorite holiday. Growing up in the Pacific Northwest, Independence Day always meant the “official” start of summer and a big reason to celebrate. As I’ve gotten older, not much has changed. I still look forward to the parade, great weather, fireworks, and, most importantly, time spent with friends and family. Since America’s birthday lands on a Saturday this year, we realize most of our readers will be celebrating with loved ones when EVA gets sent out. So, we decided to mix up the format and employ a more digestible video edition of the Evergreen Exchange.
As we reach 2015’s halfway point, here’s where we stand: US markets are flat to down, 10-year Treasury rates have moved up by over 50 basis points from their lows, and the Federal Reserve appears poised to raise interest rates for the first time since 2006. Thanks to the great people at Real Vision TV, we have three new videos featuring members of our investment contingent discussing some of these developments. Specifically, Louis Gave, David Hay, and Grant Williams talk about where they see interest rates going, their favorite trades for 2015 and the best advice they have for investors. Each video is a little over five minutes, and the insights will certainly prepare you for the remainder of what could be a volatile 2015.
While many investment managers are on vacation this week, financial markets apparently didn’t get the memo it was a holiday. Next week, we’ll undoubtedly be discussing (in our regular EVA format) the fallout from the Greek referendum, the Puerto Rican debt debacle, increased volatility in the Chinese stock market, and any other ramifications from the onslaught of market moving news this week. For now, we wish you a very happy Independence Day and hope you enjoy some independent thoughts from our team.
OUR CURRENT LIKES AND DISLIKES
There were no changes this week.
DISCLOSURE: The interviews contain individuals’ statements that are the individuals’ opinions as well as their forward looking statements. You should not rely on these statements to make investment decisions. Investing involves risk, including the risk of a loss of principal. David Hay is an owner and the Chief Investment Officer of the Adviser. Grant Williams is engaged by the Adviser to provide general consulting and economic advice to the Adviser. He is neither a supervised person of the Adviser nor a client of the Adviser and he does not provide investment advice to the Adviser’s clients. Louis-Vincent Gave may be considered to have an indirect ownership interest in the Adviser and has a personal investment in a registered investment company that is managed by the Adviser and GaveKal Capital Limited; Mr. Gave has a direct or indirect ownership interest in GaveKal Capital Limited. He is neither a supervised person of the Adviser nor a client of the Adviser and he does not provide investment advice to any of the Adviser’s clients other than to the registered investment company. Mr. Gave’s family member that does not reside in the same household as Mr. Gave is a client of the Adviser.