Municipal bonds provided elevated returns in 2025, and they are still a good idea for high-net-worth clients, Schaefer said. He’s encouraging clients in the top two tax brackets to extend maturities to the longer end of municipal bonds. Yields continue to rival the long-term equity returns at around 6% to 7%, which are historically high. “A lot of that market will depend on supply and demand,” Schaefer said. “Last year was a very high-supply year; this year could be better. If that’s true, then we could get ...

Core Insights - Financial advisors are adapting their retirement investment strategies due to a volatile market and economic uncertainty, with two-thirds reporting changes in their advice [2][9]. Economic Factors Influencing Changes - Rising inflation, uncertainty surrounding Social Security and Medicare, and overall cost-of-living concerns are prompting advisors to adjust their conversations and strategies [3][9]. Client Strategies and Recommendations - Advisors are encouraging clients to reconsider their withdrawal strategies and create buffers against market volatility, including phased retirement or part-time work for stability [3][4]. - There is an increased focus on building cash buffers and revisiting asset allocation models to mitigate sequence risk, which is the risk associated with the timing of withdrawals from retirement accounts [5][6]. Sequence Risk and Retirement Planning - Sequence risk can significantly impact retirees who rely solely on their portfolios, especially during bear markets, leading to potential alterations in retirement plans [7]. - Advisors emphasize the importance of understanding individual spending needs to create sustainable retirement plans, as there is no universal withdrawal rate applicable to all clients [8]. Asset Management Strategies - Financial advisors are recommending the creation of "safe buckets" that hold one to three years of income in cash or near-cash assets to buffer against market volatility [9]. - There is growing interest among clients in guaranteed income solutions like annuities, tax-efficient strategies, and flexible spending accounts for healthcare costs [10]. - Advisors are exploring alternative investments such as private credit, private real estate, and private equity to enhance yields and diversify portfolios beyond traditional stocks and bonds [11].

Sompo Holdings Inc. is aiming to increase investments in higher-yielding overseas credit to boost profits as traditional business flounders at Japan’s third-biggest property and casualty insurer.The Tokyo-based company moved several investment managers from its Japan insurance subsidiary to work in the US from this month, according to Toshinobu Kondo, general manager of Sompo’s investment management department. The Japan and US units may try to lower costs by picking the same asset managers for deals includ ...

The ‘post consensus’ age has arrived, according to Mercer.In its latest annual thematic outlook, the global Marsh McLennan multi-manager and asset consultant says the investment world now operates in “a landscape in which the norms that guided portfolio construction, risk management, and strategic allocation for decades are being reconsidered, reexamined, and in many cases overturned”.Amid the chaos, the Mercer report has ordered the investment themes for the years ahead into three categories of ‘regime cha ...

Group 1 - Webster Financial Corporation's division, HSA Bank, has acquired SecureSave, enhancing its product offerings and positioning it as one of the largest employer-sponsored emergency-savings account providers in the U.S. [1] - The acquisition reflects Webster's commitment to strengthening its Healthcare Financial Services segment and aims to meet clients' evolving financial-wellness needs [2]. - By integrating emergency savings accounts, HSA Bank transitions from a health-account administrator to a holistic financial-wellness provider, unlocking cross-selling potential and enhancing customer retention [3][9]. Group 2 - Recent acquisitions in the financial sector include Franklin Resources' acquisition of Apera Asset Management, increasing its alternative credit assets under management by over $90 billion [4][5]. - Rocket Companies completed a $14.2 billion acquisition of Mr. Cooper Group, managing $2.1 trillion in mortgages for nearly 10 million clients, enhancing its service scale and client relationships [6][7]. Group 3 - Over the past six months, Webster Financial's shares have increased by 3.6%, contrasting with a 1.4% decline in the industry [8].

Core Insights - The Real World Asset (RWA) sector valuation reached $34.4 billion, marking an 11.6% increase and a $3.9 billion rise in total deposits over the last 30 days [1] - Despite a challenging crypto market, the RWA sector demonstrated resilience, with tokenized debt, commodities, and private credit products attracting inflows as investors sought yield stability amid macroeconomic uncertainty [2] RWA Sector Performance - Private credit constitutes the largest RWA category, accounting for 51.4% of the total market at $17.3 billion, with U.S. public debt and commodities contributing nearly half of the $3.9 billion in new deposits [3] - Tokenized U.S. debt instruments increased from $7.5 billion to $8.3 billion since the start of October, driven by accelerated tokenization following the U.S. government shutdown [4] - Commodities-backed RWAs rose from $2.1 billion to $3.2 billion, influenced by Gold's rally to $4,200, with U.S. Treasuries and Commodities together seeing $1.9 billion in inflows, representing 51% of all newly tokenized assets in the last 30 days [4] Market Dynamics - Increased liquidity in the RWA sector has led to significant gains for token holders, with the aggregate market cap of tokenized projects rising to $6.78 billion, an 8.3% increase intraday, contrasting with the broader crypto market's 0.6% uptick [5]

Group 1 - David A. Johnson is the founder and principal of Endurance Capital Management, a New Jersey Limited Liability Company, with over 30 years of experience in investing [1] - The investment strategy includes stocks, bonds, options, ETFs, REITs, real estate, closed-end funds, hedge funds, and private credit [1] - David holds a Master of Science (MS) Degree in Finance, a Certificate in Financial Planning, and an MBA from Fordham University [1]