Given this increasing risk environment, our hedge investment strategy is designed to lower portfolio risk without making specific market timing calls 🌐

Learn more about how we strategize to protect your investments in our latest blog.

Despite mortgage rates near all-time highs in decades, residential housing prices have continued to trend higher in the post-pandemic economy. However, these same increased lending rates have caused prices to drop across many areas of commercial real estate. So, why have prices trended so differently in residential real estate?

With an interest rate drop likely, maximizing earnings on our clients' cash holdings is crucial.

We believe rates are likely to decrease this year due to the Federal Reserve’s guidance stating they will start reducing their Fed Funds rate soon.

At Compass Wealth Management, we have developed a set of comprehensive economic and policy indicators called Investment Road Signsᵀᴹ that serve as guidance for our proprietary investment risk management system. These indicators help us determine whether we are currently on an Investment Highwayᵀᴹ or facing an Investment Detour Strategyᵀᴹ.

A hedge is an investment that is made to reduce the risk of adverse price movements in an asset. Here at Compass Wealth Management, we use a hedge to narrow the range of outcomes in the equity portion of clients’ portfolios.

Many different measurements can be used to value the stock market. Of the most thirteen popular measurements listed below, eight are in the highest valuation category (Very expensive), four are in the second highest category (Expensive), and only one is in the middle category (Fairly valued):