NorthLanding Q2 Market Commentary & Model Portfolio Update

During the first half of the year, world markets enjoyed broad gains – only four other times in the last 20 years has the opening performance of a calendar year been so uniformly positive around the world (1999, 2003, 2007 and 2009). In two of those years (1999, 2007), large downturns ensued within several months. But in the other two, long periods of additional gains followed. While we don’t draw any predictive insight from this data, stretched valuations of U.S. companies and unusually low market volatility cause us to be cautious.

Inside, we discuss the dangers of market-timing, understanding it can be a tempting proposition after such a period of prolonged gains, but why it’s critical to avoid. After profit-harvesting from Core Model Portfolios in April, YTD gains across the spectrum of our model portfolios stood between 4.04% and 10.08% gross of advisory fees at the mid-year point(1). NLFP 7/2017 Commentary