2 min readReflecting back on the 20 years since Capital Advisors Group was founded, I am amused by the numerous security types that have been created for corporate treasurers and short-term cash portfolios. These new security types, and our ensuing risk evaluation of these securities, have been part of the challenge and excitement that has fed our…
2 min readIf location, location, location are the buzz words of real estate, then transparency, transparency, transparency is the latest catchphrase in corporate cash investing. Having a transparent visual on investments can be as valuable as being able to read your own MRI, but if you don’t know how to interpret the risks from the data, then…
1 min readIt’s human nature to generalize with broad strokes; one bad apple can spoil the whole bunch, as the saying goes. Our industry is filled with generalizations, from panning all insurance companies even when Berkshire Hathaway shines as a pillar of credit strength, to running from all Euro credits even when select Euro Financials are some…
1 min readManaging corporate cash with the objectives of capital preservation, liquidity, and return is often thought of as a staid and steady endeavor. However, in reality, buy lists need to be actively adjusted to preemptively manage credit risk. Over the last 12 months, credits have been affected by, among other things, earnings reports, regulatory reform, and…
1 min readJanuary marks the beginning of the third year since the 2008 credit crisis and the third year of consecutive growth of assets under management here at Capital Advisors Group. For this I am thankful to our clients and all the investment professionals here at CAG. Our economy enters 2011 amidst the backdrop of record economic…
2 min readNovember ushered in chilly winds as a result of the Fed’s controversial QE2 program as longer-term interest rates shifted higher, raising questions about the unintended consequences of the program. The controversy arrives just as the nation heads into the holiday season, which traditionally is a time to reflect upon the year nearly behind us. Looking…
1 min readRecent Federal Reserve communication has set the stage for additional quantitative easing in November. Not so long ago, “Fed speak” was centered on future steps that the Fed may take to gradually remove stimulus. However, this recent shift in communication has pivoted around a deceleration in growth and declining inflation expectations in the market. While…
2 min readThis past September 15th marked the second anniversary of the Lehman Brothers bankruptcy filing and the start of a long, cold hibernation for many institutional treasurers. Certainly, much has transpired in the last two years to return stability to the markets. This summer saw the sweeping Dodd-Frank financial reform bill signed to law, new international…
3 min readTrading desks across the country serve as conduits through which corporations and banks look to fund their balance sheets. A morning spent on a short term trading desk can be an eye opener for anyone seeking yield opportunities. I like to compare it to the act of peering into a bakery window – you may…
2 min readIf the mantra in real estate investing is location, location, location, then the rule of cash investing is diversification, diversification, diversification. The importance of this discipline can be seen in lessons found in the Auction Rate Securities market, certain banking sectors and in selected geographic credit exposures where either liquidity or credit issues can become…