Redwood Webinar: DRB Partner Update for August

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Redwood Webinar: DRB Partner Update for July

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Redwood Webinar: Did your clients THANK YOU - Ours Did.

Portfolio Managers Michael Cheung & Richard Duff clarify the misconception of the widely used “60/40” portfolio blend and discuss how to better set client expectations for their investment portfolios.

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Advisor Partner Conference Call/Update 5/15/2020

Redwood Portfolio Managers Richard Duff and Michael Cheung recaps the month of April and explain how to debunk the traditional asset allocation portfolio.

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

The Math of Loss and Art of Calm

Join Founder Michael Messinger, President Richard Duff, and Head of Quantitative Research Michael Cheung, as they explain why it is important to consider the risks going forward and how having a cohesive process can be the key to prolonged success in any market environment.

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Advisor Partner Conference Call/Update - 4/20/2020

Redwood Portfolio Managers Richard Duff and Michael Cheung recaps the first quarter of 2020 and explain why it is still important to manage risk from here.

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

The Math of Loss (And Risk)

Redwood’s President and Portfolio Manager explains why it isn’t too late to start managing risk (even after the market is already down) and the dangers of “buy and hope”

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Advisor Currency

Redwood’s Founder, Michael Messinger & President Richard Duff explains their experience on which financial advisors they see have great success.

The views expressed are those of Redwood and are provided for information purposes only. Statements and opinions are subject to change without notice. No statements are made as to guarantees on any specific outcome or profit. Investments or strategies mention may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendation appropriate for you. Before acting on information shown here, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

2019 YEAR END: HINDSIGHT SHOULD NOT BE YOUR 2020

Hindsight should never be the reason for adjusting an investment portfolio. Period. Positive or negative performance of the past has come and gone; it cannot be changed. However, analyzing historical data can help understand and manage risk going forward. In this commentary, we explain why the risk of equity markets are higher than normal going forward.

Positive momentum may be at risk of stalling out. The gauge of market breadth is at its highest level since early 2018. This type of cyclical peak in momentum, as indicated in the chart below by previous similar peaks in 2018, 2017 and 2016, has historically been followed by heightened volatility.

Compounding the need for caution is the fact that investors overall have been exiting equity fund vehicles. Almost $200 billion left equity mutual funds and ETFs (exchange-traded funds), despite the market rally in 2019. This is a strange phenomenon given supply and demand typically dictates prices rise with fund inflows, and fall with fund outflows. So if all the flows are going out, how can prices be rising? Perhaps investors are leaving diversified equity funds to favor individual stocks, such as mega-cap technology names, and in turn, causing the index to become more concentrated as shown…

Sources: Bloomberg, Redwood. For illustration purposes only. An investor can not invest directly in an index.

DRB Partner Growth - A Focus on Planning

Dynamic Risk budget Partners On Average Grew Their AUM By...

Source: Redwood. Data as of 12/31/19. Compiled using data from Redwood sub-advisory partners utilizing a minimum of 2 years invested with Redwood in Dynamic Risk Budgeted Models. Growth of firms indicated in this chart are not solely from Redwood strategies but also as a result of other factors. Growth is not meant to indicate returns from Redwood accounts performance.

Explaining The Pros And Cons Of Tactical & Strategic

There is great debate on wall street and in academia between passive and active investment management. There isn’t a clear winner. Active strategies, focused on reducing risk, may not fully participate in all the upside of a bull market. However, during major market sell-offs, passive index strategies do not have the flexibility to side step adverse events to reduce losses. We believe that there’s validity, backed by quantitative research, to incorporate both styles in a portfolio.

Source: Redwood. For illustration purposes only. There can be no guarantee that any objective will be achieved.