Money Life With Chuck Jaffe Daily Podcast

Axel Merk, president and chief investment officer for the Merk Funds,says that with market volatility and uncertainty picking up, investors should focus on their process and should stick with their plan rather than jumping around chasing either additional returns or greater safety right now. He notes that investors whose process is not working right now are the ones who are  are so nervous that they can't sleep soundly; he recommends adding gold and diversifying portfolios to improve the sleep factor. Also on the show, author and technical analyst Michael Sincere says he thinks the market is 'in real trouble right now,' noting that he would not be surprised if it retests March lows because 'it went up too far too fast' only to see the uptrend stall out this week. Michael Spactacco of Bancroft Capital says that changes to the way closed-end funds are issued makes new offerings attractive right out of the box, and Charlie Bobrinskoy of Ariel Investments talks value investing in the Market Call.

Brent Wilsey of Wilsey Asset Management say that while the current market reminds him a bit of the tech bust of 2000 -- when many people thought that because the market had gone higher that it would just keep going higher -- he does believe that the worst of the effects of the coronavirus pandemic are behind us. Still, he notes in the Market Call that investors should expect some trouble ahead and be prepared to ride it out, especially in market areas that have not been going gangbusters lately, such as banking and insurance companies. Also on the show, Tom Lydon of ETFTrends.com looks at the new ETF version of a popular mutual fund that has been around for nearly three decades, Jacqui Kearns of Affinity Federal Credit Union talks about the need for families feeling the financial crunch of the pandemic to have the hard discussions, and Sarah Foster of Bankrate.com gives her quick take on how people facing the end of unemployment benefits should respond while the money is still flowing.

Paul Zemsky, chief investment officer for multi-asset strategies at Voya Investment Management, says that with the market near record highs despite earnings that are below expectations, it's not surprising that many observers think that stocks are overvalued now. He doesn't see things that way, noting that stocks are a good opportunity -- especially small caps and international stocks which have been the laggards in the recent rally -- while lightening up on bonds, except for corporates where he sees some improved return potential ahead. Also on the show, Harvard professor Rebecca Henderson talks about her book 'Reimagining Capitalism in a World on Fire,' and Chris Carter, portfolio manager for the Buffalo Mid Cap Fund makes his debut in the Market Call.

In a recent column, Chuck said that financial advisers who accepted PPP loans during the coronavirus pandemic were lacking in character. Barry Ritholtz, a leading financial adviser whose $1.3 billion wealth-management firm accepted PPP loans, is 'on the other side' from Chuck and gives his reasoning for taking the loans as he and Chuck cover the issues buried behind the paperwork in the government loan program. Also on the show, Jack Kleinhenz of the National Retail Federation talks about the National Association for Business Economics' second-quarter survey of expectations, and Andy Braun of Pax Large Cap Fund talks big companies and social investing in the Market Call.

Julia Carlson, chief executive officer at the Financial Freedom Wealth Management Group, says that investors should be riding the wave of renewed optimism and the stock market that has recovered from March lows, but she says there will be a longer-term price to pay, and that investors should be preparing for the long-term fallout from current stimulus efforts,which could be higher taxes and rising inflation, which she expects to see late next year or in 2022. Also on the show, Mark Hamrick of Bankrate.com discusses the implications and fallout from the May jobs report, David Trainer talks about a stock he likes as it emerges from the pandemic economy, and Jim Lowell of the Fidelity Investor newsletter talks about mutual funds in the Market Call..  

Alan Gayle of Via Nova Investment Management says that while investors should be pleased with pleased with the market's rally from March lows, he expects trouble ahead, noting that the rally may be early given the prospects for real economic growth as the economy reopens from the coronavirus shutdown. 'We need to fell better,' he says in explaining why his cash holdings are up, 'but I don't think we can feel great at this stage.' Also on the show, Todd Rosenbluth of CFRA Research talks ETFs in the Market Call, Leo Leydon of Financial Focus Advisory Services says why he does not like the look of the market's technicals and is expecting a pullback, and Phillip Goldstein of Bulldog Investors discusses why a recent Securities and Exchange Commission decision could be a death knell for activist investing in closed-end funds.

Ken McAtamney, portfolio manager for the William Blair Global Leaders Fund, says that the resumption of activity and the unlocking of businesses means that, sequentially, the economy will pick up speed quarter after quarter. While the economy will resume a low-growth trajectory, the market can move forward and he says he expects it to do that while avoiding a major meltdown over the next few years. Also on the show, Tom Lydon of ETFTrends.com makes a new momentum-oriented fund his 'ETF of the Week,' Chuck answers an unusual question about using credit cards, and Craig Hodges of the Hodges Funds says in the Market Call that value and small-cap stocks have started a comeback.

Chris Huemmer, senior investment strategist at Flexshares, and the FlexShares Quality Dividend Index, says that dividend income streams may become disconnected with stock prices, and that investors shouldn't chase yield but also need to evaluate dividend cuts and suspensions to see if the moves are temporary or caused by real financial difficulties. Also on the show, author Chip Munn talks 'The Retirement Remix,' and Giorgio Caputo, senior fund manager and head of multi-asset value for J.O. Hambro Capital Management talks fixed-income investments and warns about the potential pitfalls of using business-development companies to increase yield now.

Jeffrey Bierman, chief market technician at TheoTrade.com, says that the stock market is completing a cycle and working its way toward a top, but that investors should be prepared for what happens next, which could be a 'garden-variety' pullback of about 20 percent, an extreme decline that re-tests recent lows or a move toward a 'zombie economy' and protracted, extended market trouble. While nothing in the market's charts and technicals suggests the doomsday scenario, Bierman notes that the magnitude of the worst downturns often catch  experienced analysts by surprise. Also on the show, Jeff James of Driehaus Capital talks small-cap stocks, Rob Spivey of Valens Research makes his debut talking stocks in the Market Call, and Chuck answers a question about pet insurance. 

Jason Browne, president of Alexis Investment Partners, says that investors should be tactical given current market conditions, which means having more exposure to stocks now -- at a point when economic woes will be revealed as the business world reopens -- than they did as the market was going through troubles at the start of pandemic conditions. Also on the show, Ken Tumin of DepositAccounts.com talks about short- and long-term savings rates, author Christopher Robertson discusses the nation's health-insurance system and its inadequacies, and David Trainer of New Constructs puts a mutual fund that he says isn't all it's cracked up to be into the 'Danger Zone.'  

Bill Stone of Stone Investment Partners says that as the economy starts to crank up again, the market is likely to respond positively, even as investors know that the growth numbers will look good only because they're being compared against economic stoppage. Eventually, however, Stone says the market will want to see good numbers; because those numbers could be elusive, he says investors will want to maintain a balanced, diversified strategy while they see how any recovery unfolds. Also on the show, Trip Miller of Gullane Capital Partners talks value investing in the Market Call, John Kosar of Asbury Research gives his technical outlook, and Andrew Kerai of RiverNorth Capital Management discusses why he thinks the credit market offers a uniquely good opportunity now.

Tony Tanner, portfolio manager with the Aquila Group of Funds, says that the troubled economy and lower interest rates will hit the bond market and should convince investors to diversify their fixed-income holdings; unlike many bond-industry watchers, Tanner notes that he is not expecting a big wave of defaults, though he said credit-quality will  be challenged. Also on the show, Tom Lydon of ETFTrends.com talks about hot pet-health companies with his pick for the ETF oft he Week, Ryan Breslow of Bolt.com discusses his firm's most recent survey on consumer behavior, and Tim Fortier of Drawbridge Strategies discusses what his Market Demand Indicator currently shows about where the market is headed.

Joe Quinlan, head of CIO market strategy for Merrill Lynch and Bank of America Private Bank, says that global public spending on health care has been stagnant for the last two decades, and the pandemic has highlighted infrastructures and governments that were not prepared to protect their people and deal with a crisis. While Wall Street has largely ignored the issues, he says there is a clear link between countries that have sufficient health care to maintain hope and the markets with the best returns, which is why he suggests focusing on developed markets, including the United States. Also on the show, Chuck tackles an audience member's question on rebalancing, Catherine Collinson of the Transamerica Center for Retirement Studies discusses how the pandemic is affecting long-term savings, and Peter Tuz of Chase Investment Counsel talks growth stocks int he Market Call.

Laura Geritz, chief executive officer at Rondure Global Advisors, says that the U.S. and China are holding up the world economy with their spending during the coronavirus pandemic, but she cautions that if those economies falter -- and they have little room to expand spending --  it will be hard to find stocks to buy there. She prefers countries with no reserve currency now, nations where she finds that the consumer has controlled their 'animal spirits' and there is room to grow spending, noting that most emerging markets but China qualify as having growth potential even amid slowing growth worldwide. Also on the show, Sarah Berger, writer at MagnifyMoney.com discusses how many consumers are already tapping retirement accounts to get through the viral economy, author Zachary D. Carter discusses 'The Price of Peace: Money, Democracy, and the Life of John Maynard Keynes,' and Chuck answers a question from an audience member on how to prioritize withdrawals from savings.

Jason Thomas, chief economist at AssetMark, says that the structural and societal changes and advancements that have allowed the economy to not be in more-significant trouble thanks to the coronavirus pandemic are also laying the base for an economy that ultimately will emerge strong, with stocks providing the best chance to come out ahead several years down the line. He notes that the United States  -- despite the issues it faces -- is positioned 'to come out of this as one of the winners.' Also on the show, Matt Hougan of Bitwise Investments talks cryptocurrencies and how bitcoin is proving its value as an alternative to gold and a portfolio diversifier, Chris Vermeulen of The Technical Traders says the technicals show the market to be 'in a no-man's land between a bull and bear market' and while he expects a dip back to March lows, he believes there are good opportunities for traders. Also, Kelly Thompson of Direct Lending Deals talks about how the economic slowdown has affected the middle-market financing

Bryce Doty, senior portfolio manager at Sit Fixed Income Advisors, says that the bond market is particularly difficult right now but that domestic issues remain stronger than the rest of the world, and could be buoyed by rates that rise slightly sooner than many people expect. He notes that with the Federal Reserve committed to keeping interest rates in positive territory, rates really only have one direction to go from here. Also on the show, Michael Robinson, chief technology strategist at Money Map Press says in the Market Call that technology companies aren't just good investments right now, they are the reason the economy has been able to avoid a depression, noting that if it weren't for technological advancements the country could not have done as much work-at-home commerce as it has throughout the current pandemic. Tom Lydon of ETFTrends.com makes a gold fund his 'ETF of the Week,' and Matt Schulz of CompareCards.com on how subscription spending of all types has ramped up amid social distancing.

Simeon Hyman, global investment strategist at ProShares, says that the backdrop of economic challenges has made dividend income more important than ever for investors, but the market concerns also have companies suspending and cutting distributions. He discusses dealing with the stocks that have trimmed dividends as well as the sectors that he expects to lead the pack going forward. Also on the show, Brian Dumaine, author of 'Bezonomics: How Amazon Is Changing Our Lives and What the World's Best Companies Are Learning from It,' and Mike Brown of LendEDU. Plus Chuck gives his harsh assessment of financial advisory firms that have accepted Small Business Association loans to get through the pandemic.

Greg Valliere, chief U.S. policy strategist at AGF Investments, says that the markets have good reason to be optimistic long-term, despite the economic issues that are surfacing now, noting that 'This is not going to be a long depression, it's going to be a really ugly brief recession.' Also on the show, Tom Florence, chief executive officer at 361 Capital, covers the role that alternative investments should be playing in a portfolio now, William Delwiche of Baird Investments talks technical analysis at a time when so many market influences are not visible or measurable in the daily charts, and Meredith Stoddard of Fidelity Investments discusses investors' market sentiments during the pandemic.

David Trainer, president of New Constructs, said that insurance giant Allstate Corp. is an attractive stock despite a significant recent decline resulting mostly from the market's reaction to the coronavirus pandemic. Trainer -- who normally warns investors away from securities in the Danger Zone segment -- made Allstate one of his attractive stocks, noting that the company is significantly overvalued, with the market apparently believing it will never again reach the highs of recent years, while Trainer believes the stock is poised to exceed those previous levels. Also on the show, Gene Tannuzzo of Columbia Threadneedle Investments talks about interest rates and how the Fed is playing the current crisis straight from the disaster handbook, Greg McBride of Bankrate.com discusses how Americans' finances are faring as the pandemic stretches on, and Ben Johnson of Morningstar Inc. covers ETFs in the Market Call.

Pamela Woo, head of U.S. equities at BNP Paribas Asset Management, says that investors need to trust their allocations and plans while also looking for stocks that will come through the current recession positioned for a strong future. She expects to see a recovery that gets off to a hot start as the economy reawakens, but that won't recapture previous levels for e foreseeable future when the pandemic has ended. Also on the show, Matt Freund of the Calamos Long-Short Equity and Dynamic Income Fund on rebounding from the recent bottoms, Dan Zanger of ChartPattern.com talks about the value of technical analysis in unprecedented market times, and Mark Fleming, chief economist at First American Financial Corp., compares the way the real estate market is responding to conditions created by the coronavirus pandemic and the voluntary economic slowdown with the way it reacted to the 2008 financial crisis, which was triggered by problems in the housing and real estate sectors.