2016 was a year full of surprises, starting twelve months ago when U.S. equity markets suffered their worst January in history. Yet contrary to the adage, “As January goes, so goes the year,” 2016 was indeed a very good year. Perhaps no surprise was greater than the emergence of political outsider Donald Trump amongst a field of established political contenders for the Republican Presidential nomination, from the back of the pack, to serious contender, to frontrunner, to President-elect.
When we talk about the stocks that typically populate our mutual fund portfolios, or as you read the commentary from the funds you own, you might occasionally notice reference to the concept of “capital allocation,” most commonly in a context like, “The managers of company XYZ are skilled capital allocators.” So, what do we mean by capital allocation, and why is it important?
Medley & Brown Blog
(The following article was originally published in the January 2017 issue of Portico Jackson magazine.) The People Have Spoken… After the most divisive Presidential election of my lifetime, I was a little reluctant to tackle this topic.
Many professionals and business people are approached about investing in local real estate partnerships. Typically, these allow one to invest alongside a group of others in commercial property, land or other forms of “real” property. I have seen recent deals where the real estate is a commercial mixed-use development and another involving a hotel/motel. Units of such a business venture may be marketed in various dollar amounts—in many cases $10,000 to $100,000 per unit—and the marketer of the units may also be the manager of the real estate and the partnership.
Meet Our Team
Tim C. Medley
Tim Medley has been in the investment business since 1967, founded the predecessor to our firm in 1988, and was the first person in the State of Mississippi to be awarded the CFP® certification.View Profile
Eddie Carlisle, CFP® joined Medley & Brown, LLC, in May 2006, having previously practiced law for five years at Watkins & Eager, PLLC.
Eddie serves as the firm's Chief Compliance Officer.View Profile
Julius Ridgway, CFA joined Medley & Brown, LLC, in July 2002. He has over 15 years of direct investment experience, and spent the previous ten years involved in various aspects of financial services, banking and real estate.View Profile
Doug Muenzenmay, CFA, CFP® joined Medley & Brown, LLC, in April 2010. Doug has 24 years of capital markets experience including portfolio management for individuals, institutions and endowments.View Profile
Quotes & Commentary
Since 1926, the market’s cheapest stocks have outperformed their more expensive counterparts by 4.6 percentage points annually, according to data assembled by Dartmouth’s Kenneth French. But that was then. Since February 2007, the cheapest stocks in the U.S. have lagged their more expensive counterparts by 2.6 percentage points annually....