At the request of so many investment advisors, my friends at Riskalyze share the big trends in the assets going into and coming out of advisor portfolios every week. The underlying data is aggregated from hundreds of thousands of client accounts across the $44 billion and counting that advisors manage on the Riskalyze platform*. I hope we can uncover interesting trends for you each week…
August 23rd – August 29th
Winners (advisor flows TO these investments increased substantially):
US Bonds (AGG, SHY, BSV)
Cash/Money Market
Gold (GLD)
Losers (advisor flows FROM these investments increased substantially):
Energy (XLE)
Financials (XLF)
Small Caps (IJR)
Josh here – The risk-off portfolio playbook was in full effect last week amid the historic fall and rise of global stocks.
Riskalyze CIO Mike McDaniel further informs us that 5 out of the top 10 winners from last week were all fixed income investments. “The only investments that saw a rise in week-over-week investment amount and uses were fixed income, gold and cash- despite a slightly positive market.” Guess it’s safe to say that the epic rallies of Wednesday and Thursday didn’t make advisors feel much better about the reintroduction of 2011-esque volatility.
McDaniels notes further that advisors seem to have sold into last week’s ‘strength’ in energy. “Both week-over-week investment amounts and uses dropped over 5% for XLE- despite XLE having a great week (up over 3%).” Unfortunately for those who gave up on XLE, it began this week with another bang, as crude completed a 3-day rally of over 27% and oil names ripped higher.
*(to state the obvious, Riskalyze does not share client sensitive data with me or use animals in testing).
I’m a New York City-based financial advisor at Ritholtz Wealth Management LLC. I help people invest and manage portfolios for them. For disclosure information please see here.
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