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Compass Watch

Bank Stocks: Why Compass Doesn’t Buy Them

Compass Watch

The week of March 6th saw Silicon Valley Bank (SVB), a regional bank based in northern California, thrust into the headlines as the third largest bank failure in American history.  How did a bank that appeared to be functioning normally on Monday need to be seized by the government on Friday?  The answer to this […]

In Challenging Markets, Quality Matters Even More

Compass Watch

Without question, 2022 has been a challenging year for equity investors.  Coming into the year, the S&P 500 Index had doubled over the prior three-year period from 2019–2021.  Except for a sharp 6-week decline during the onset of COVID-19 in early 2020, the market enjoyed ideal conditions: low interest rates, low inflation, and excess liquidity.  These […]

Why Rising Interest Rates Help Compass’s Bond Strategy

Compass Watch

One of the first lessons taught to every aspiring financial services professional is “when interest rates rise, bond prices decline.”  So far in 2022, we have seen this happen rapidly.  The Federal Reserve has already raised short-term interest rates to 2.25% this year, up from almost 0% at the beginning of the year.  More importantly […]

Volatility vs. Risk

Compass Watch

Kicking off 2022, the Federal Reserve has adjusted its policy by raising rates and ending asset purchases to combat inflation. At the same time, the economy is facing other challenges, including the lingering pandemic, the Russian/Ukraine war, rising oil prices, and continued frozen global supply chains. As a result, this year is the 5th poorest […]

Two Billion Thanks!

Compass Watch

As of November 2021, Compass surpassed the $2 billion milestone for assets under management. We are delighted to have achieved this because it represents 33 years of successful effort by our Compass team. More importantly, it is a significant reflection of the trust our clients have placed in us over this time period. Thank you, […]

Inflation: Resiliency with High-Quality Stocks

Compass Watch

In the wake of the COVID-19 economic and market shutdowns, both monetary and fiscal stimulus interventions appear to have successfully cushioned the world economy from the worst of the blow.

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