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Leverage

Nov 07 2018

Think Halloween Is Behind Us? Beware, Zombie Alert!

  • Nov 7, 2018

“Zombie” companies are being kept alive by low interest rates and generous credit conditions, and the number of them, worldwide, has risen significantly over the past few years.

Aug 07 2018

Company Leverage And The Impact Of Rising Interest Rates

  • Aug 7, 2018

Higher corporate leverage and rising short-term interest rates have not yet led to problems in the credit markets, but investors should be mindful of potential risks.

Mar 07 2018

Leverage Factor: A Boost For High Quality Stocks?

  • Mar 7, 2018

A review of Quality factors, as well as the lower valuations of High Quality stocks, supports the current High Quality cycle amid rising market volatility. The Leverage factor may provide particularly strong backing for High Quality stocks.

May 05 2017

Leverage Factor: A Tailwind For High Quality Stocks?

  • May 5, 2017

Following 2016 underperformance, High Quality stocks eked out an advantage over Low Quality stocks to begin 2017 (+5.3% versus +2.1%, respectively). Yet, the “Junk Rally” trend seems difficult to reverse.

Aug 05 2016

Divergence Among Quality Factors

  • Aug 5, 2016

Performance and valuation of the three Quality factors are diverging. From a valuation standpoint, we might see a reversal in performance, with the Stability factor weakening and the Leverage factor strengthening.

Oct 07 2014

Small Cap Leverage—A Concern?

  • Oct 7, 2014

With the Fed mulling over a rate increase, investors may have already started to avoid companies with excess leverage. Unfortunately, Small Caps, on average, are in this camp.

May 06 2014

Factor Rotation Continues

  • May 6, 2014

While Momentum continued to struggle and Value surged, the Size factor played a much larger role as Small Caps were hit hard in April.

Oct 08 2013
Sep 10 2013

Trading Volume Nothing To Worry About

  • Sep 10, 2013

We take a detailed look at the decline in trading volume and conclude the trend might be a positive going forward.

Jan 07 2013

Leuthold Stock Quality Rankings

  • Jan 7, 2013

Our Stock Quality Rankings currently show that stocks with Low Quality rankings outperformed those with High Quality rankings.

Oct 04 2012

Market Dynamics: 2012 Sector Performance; Leverage Pays

  • Oct 4, 2012

In our framework, Health Care is the number one performer year-to-date by almost five percentage points.

 

Apr 05 2011

March Performance: Factors Continue To Lack Consistency… Except For Momentum

  • Apr 5, 2011

Momentum once again has the best performance. This out-of-favor factor has continued to outperform the rest of the factors.

 

Nov 04 1998

View From the North Country

  • Nov 4, 1998

Recent “hedge” fund trauma marks the end of hedge fund mania. The risk in quantitative models: Never bet the entire farm on any statistical model when the unpredictability of the human factor is involved.

Oct 05 1998

View From the North Country

  • Oct 5, 1998

The downside of leverage...lesson better off learned early in one's career, rather than later. Expanding our emerging Asia Pacific coverage to include ADRs. Observations from a Russian visit.

Apr 05 1994

View From the North Country

  • Apr 5, 1994

Is sophisticated the same as smart? Market neutral operations are supposed to involve little or no market risk, so how could the entire asset base go down the drain?