Gaining Perspective

A New Risk-Controlled Fixed Income ETF

As interest rates have risen dramatically over the past year, income-oriented funds have become more attractive. With the income finally back in fixed income, advisors are searching for new opportunities to generate yield while mitigating risk in their bond investments. That’s why Madison Investments, an independently owned investment firm managing $22.9 billion in assets, recently launched its first suite of four income-oriented ETFs. The firm provides a range of investment strategies across mutual funds, managed accounts and customized investment portfolios. It added ETFs to its offerings in August. Two of the funds in its suite – the Madison Aggregate Bond ETF (NYSE: MAGG) and the Madison Short Term Strategic Income ETF (NYSE: MSTI) – seek to capitalize on the growing demand for dynamic, risk-managed fixed income strategies. My guest today will discuss how advisors can use these actively managed ETFs to get the most value out of their fixed income allocation. - Here are some resources to learn more about Madison Investments: * Madison Investments website – https://madisoninvestments.com [https://madisoninvestments.com/] * Madison Aggregate Bond ETF (MAGG) – https://madisonfunds.com/etfs/madison-aggregate-bond/ [https://madisonfunds.com/etfs/madison-aggregate-bond/] * Madison Short Term Strategic Income ETF (MSTI) – https://madisonfunds.com/etfs/madison-short-term-strategic-income/ [https://madisonfunds.com/etfs/madison-short-term-strategic-income/] * Follow Madison Investments on LinkedIn – https://www.linkedin.com/company/madison-investment-advisors/ [https://www.linkedin.com/company/madison-investment-advisors/] A message from Advisor Perspectives and VettaFi: To learn more on this and other topics, check out our full schedule of upcoming CE-approved virtual events. [/webinars] Interested in how you can generate more income for your clients? Join VettaFi and other industry leading experts Friday, October 27th for their "Income Strategy Symposium!" This virtual event is free of charge and offers the oppurtunity to earn CE credits. Register now at etftrends.com/incomestrategysymposium

Why CLOs Offer the Best Risk-Adjusted Return Among Fixed Income

My guest today is here to talk about an asset class that is often misunderstood. It wasn't until recently that all investors had access to collateralized loan obligations (CLOs). Institutional investors have benefitted from the ownership of CLOs for over 25 years, and the asset class has grown to over $1 trillion. These are not the same bonds that eroded the economy in 2008 during the global financial crisis. It's a similar name in "C blank O," but a very different asset class. John Kim and his team at Panagram are experts in CLO investing. He is here to explain how they work, why now for individual investors, the benefits of owning CLOs, and dispel some of the myths about this often-misunderstood asset class. John will share what Panagram is doing to educate and explain why advisors should consider an allocation. - Here is a link to the Panagram website [https://www.p-gram.com/]. Here are links to the two ETFs mentioned in this podcast: CLOZ [http://www.clozfund.com/] and CLOX [http://www.cloxfund.com/]. A message from Advisor Perspectives and VettaFi: To learn more on this and other topics, check out our full schedule of upcoming CE-approved virtual events. [webinars] Interested in how you can generate more income for your clients? Join VettaFi and other industry leading experts Friday, October 27th for their "Income Strategy Symposium!" This virtual event is free of charge and offers the oppurtunity to earn CE credits. Register now at etftrends.com/incomestrategysymposium

Northern Trust Asset Management’s 2023 Capital Market Forecast

Northern Trust’s Capital Market Assumptions (CMA) report, an annual report of long-term average annualized return expectations for a wide range of asset classes, forecasts below-trend global growth at an annualized rate of 2.4% over the next 10 years, moderating developed-market inflation of 2.4%, and a lower global equity return of 6.3% a year on average. The CMA report’s asset class forecasts are driven by six key themes that Northern Trust investment experts see affecting markets and the economy over the next 10 years: restraints on global economic growth, geopolitical fault lines, adaptation to persistent inflation, central bank concessions to inflation, a sustainable green transition, and growing private markets. Rooted in the firm’s deep capital market analysis, the CMA report informs the investment decisions and asset allocation recommendations made by Northern Trust, which as of June 30, 2023, had US$1.4 trillion in assets under management. Forecasts are created with a “forward-looking, historically aware” approach, analyzing the past drivers of returns across asset classes and developing investment themes that inform how those return drivers may evolve in the future. - * Here is a link to the CMA report- https://www.capitalmarketsassumptions.com/ [https://www.capitalmarketsassumptions.com/] * Here is a link to the press release announcing the CMA report- https://www.businesswire.com/news/home/20230912762715/en/Northern-Trust-Forecasts-Slow-Economic-Growth-and-Moderating-Inflation-Over-the-Next-10-Years [https://www.businesswire.com/news/home/20230912762715/en/Northern-Trust-Forecasts-Slow-Economic-Growth-and-Moderating-Inflation-Over-the-Next-10-Years] * Here is a link to the podcast I did with Chris in October of last year- https://www.advisorperspectives.com/podcasts/2022/10/05/northern-trust-asset-managements-capital-market-forecast [../podcasts/2022/10/05/northern-trust-asset-managements-capital-market-forecast] A message from Advisor Perspectives and VettaFi: To learn more on this and other topics, check out our full schedule of upcoming CE-approved virtual events. [../webinars]

Preparing for the Sunset of the TCJA Tax Relief

Change is inevitable. When those changes involve tax law, it is extremely important for clients to meet with their financial professional, tax advisor, and legal advisor to discuss any adjustments that may need to be made to their financial, retirement, or estate plan. One change that is looming is the expiration of provisions that were passed under the Tax Cuts and Jobs Act of 2017 (TCJA). Many of the provisions for individuals, including the higher estate tax exemption and the lower individual income tax brackets, were temporary and will expire (“sunset”) December 31, 2025 without further congressional action. My guests today are two members of the MassMutual team. Lina Storm is the advanced sales & sales enablement marketing director dedicated to MassMutual’s Strategic Distribution team. Kathryn Wakefield is director of advanced sales at MassMutual. - Click here [https://cloud.mm.massmutual.com/wlpp]to learn more about MassMutual Whole Life Insurance. A message from Advisor Perspectives and VettaFi: To learn more on this and other topics, check out our full schedule ofupcoming CE-approved virtual events. [https://www.advisorperspectives.com/webinars] The information provided is not written or intended as specific tax or legal advice. MassMutual, its subsidiaries, employees, and representatives are not authorized to give tax or legal advice. Individuals are encouraged to seek advice from their own tax or legal counsel. Individuals involved in the estate planning process should work with an estate planning team, including their own personal legal or tax counsel. Participating whole life insurance policies are issued by Massachusetts Mutual Life Insurance Company (MassMutual), Springfield, MA 01111-0001. © 2023 Massachusetts Mutual Life Insurance Company (MassMutual®), Springfield, MA 01111-0001. All rights reserved.www.MassMutual.com [http://www.massmutual.com/]. MM202609-306755

The Outlook for Alternative Investments

Managing volatility is a high priority for advisors. The right investments can stabilize a portfolio and dampen volatility, while keeping goals on track. Increasing bond allocations used to be the standard way to reduce volatility, but with bonds more correlated to equities, their diversification value has decreased. With high inflation, bonds also aren’t providing enough real income for many investors. Demand for private credit has increased because of its low correlation to traditional equities and bonds, and enhanced income potential. As an asset class, private credit has a history of resiliency throughout economic downturns. That was true during the pandemic, and last year when these types of loans largely held up, in contrast to the bond market which had historically bad performance. My guest today will discuss how advisors can reduce volatility, increase income and diversify equity and bond allocations through private credit and other alternatives. - Here is a link to the CION website- https://www.cioninvestments.com/ [https://www.cioninvestments.com/] A message from Advisor Perspectives and VettaFi: To learn more on this and other topics, check out our full schedule of upcoming CE-approved virtual events. [webinars]