As of October, and into November, the equity markets have experienced a wide spread sell-off due to several factors. In this post, we take a look at corporate fundamentals to gain insight into what is taking place in the market and why.Read More

The quest to stay up-to-date on the real estate landscape and make connections in the marketplace never stops. A recent Urban Land Institute (ULI) conference helped shed some light on how transit-oriented development projects are having a transformative impact and what secondary cities are doing to attract businesses and residents.Read More

The Treasury yield curve is close to inverting when looking at the 2-year to 10-year spread. Is this signaling a recession within 24 months? Is this the appropriate measure? Or is the Funds Rate or T-Bills to 10-year spread a better indicator of curve “flatness”? A brief look back at past curve inversions can provide...Read More

In the first half of 2018, the real estate sector had modest returns, trailing the performance of the S&P 500. Fundamentals remain strong along with liquidity, and we see no imminent sign of a downturn for the remainder of 2018. Despite our optimism, there are a few potential headwinds that we are watching including a...Read More

We are approaching the second half of 2018 positioned for higher interest rates and flat-to-tighter spreads. Our focus continues to be on income generation and maintaining a yield advantage relative to the benchmark.Read More

Boyd Watterson believes that advisors and consultants should keep their clients invested through the cycle to increase the likelihood that long-term investment objectives are achieved. We design our moderate beta strategies with this understanding in mind.Read More

Our belief is that investment returns are significantly driven by macro factors such as inflation, economic growth, credit cycles, the level and direction of interest rates, equity multiples, and cap rates. We, at times, need to make minor adjustments to our strategies to ensure we are making the most of what the market offers.Read More

Long term interest rates have been moving higher and the Fed is guiding to more rates hikes. Is this going to lead to higher cap rates and lower valuations, or will the large amount of uninvested capital keep a lid on cap rates?Read More

The economic growth story remains for 2018, with inflation increasing at a measured pace. Additionally, corporate earnings growth rates are high, warranting an overweight to corporate credit in our view.Read More

Longer-term leases tend to benefit both GSA tenants and property owners. A typical GSA tenancy is more than two decades long whereas an average lease is 10 years, with 5-year extension options being typical. Structuring a longer-term lease that more closely matches GSA tenancy can result in cost savings through lower rents. Property owners, in...Read More