The Riskalyze Report: Advisors Raise Cash, Sell Berkshire

Posted by

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 $120 billion and counting that advisors manage on the Riskalyze platform*. I hope we can uncover interesting trends for you each week…

Riskalyze

September 6th -September 12th

Winners (advisor flows TO these investments increased substantially):
  1. CASH/Money Market
  2. Broad US Stocks (IVV,IVW)
  3. Vanguard FTSE Developed Markets ETF (VEA)

Losers (advisor flows FROM these investments increased substantially):

  1. Small Caps (IJT, VB)
  2. Financials (XLF)
  3. Berkshire Hathaway (BRKB)

Josh here – a few interesting trends worth noting. Berkshire Hathaway was up for sale this week. It’s a quasi-financial with a railroad subsidiary, so this makes sense given the fact that the rest of the banks were also for sale (XLF) last week as well.

In the plus column, yet another weekly increase in cash holdings. According to Riskalyze CIO Mike McDaniel, cash holdings increased by 8.5% versus he prior week, which is a noteworthy jump. Advisors’ clients could be signaling some nervousness given the coming Fed meeting so perhaps we’re seeing advisors move to appease them a bit. Or perhaps there’s an opportunistic thing going on here, like “let’s make sure we’re in a position to take advantage if there’s another panic.”

*(to state the obvious, Riskalyze does not share client sensitive data with me or use animals in testing).

This content, which contains security-related opinions and/or information, is provided for informational purposes only and should not be relied upon in any manner as professional advice, or an endorsement of any practices, products or services. There can be no guarantees or assurances that the views expressed here will be applicable for any particular facts or circumstances, and should not be relied upon in any manner. You should consult your own advisers as to legal, business, tax, and other related matters concerning any investment.

The commentary in this “post” (including any related blog, podcasts, videos, and social media) reflects the personal opinions, viewpoints, and analyses of the Ritholtz Wealth Management employees providing such comments, and should not be regarded the views of Ritholtz Wealth Management LLC. or its respective affiliates or as a description of advisory services provided by Ritholtz Wealth Management or performance returns of any Ritholtz Wealth Management Investments client.

References to any securities or digital assets, or performance data, are for illustrative purposes only and do not constitute an investment recommendation or offer to provide investment advisory services. Charts and graphs provided within are for informational purposes solely and should not be relied upon when making any investment decision. Past performance is not indicative of future results. The content speaks only as of the date indicated. Any projections, estimates, forecasts, targets, prospects, and/or opinions expressed in these materials are subject to change without notice and may differ or be contrary to opinions expressed by others.

Wealthcast Media, an affiliate of Ritholtz Wealth Management, receives payment from various entities for advertisements in affiliated podcasts, blogs and emails. Inclusion of such advertisements does not constitute or imply endorsement, sponsorship or recommendation thereof, or any affiliation therewith, by the Content Creator or by Ritholtz Wealth Management or any of its employees. Investments in securities involve the risk of loss. For additional advertisement disclaimers see here: https://www.ritholtzwealth.com/advertising-disclaimers

Please see disclosures here.

What's been said:

Discussions found on the web
  1. click here commented on Sep 14

    … [Trackback]

    […] Info to that Topic: thereformedbroker.com/2015/09/14/the-riskalyze-report-advisors-raise-cash-sell-berkshire/ […]

HowIInvestMyMoney