MBFI

CFA Institute Blog: “Hide-‘Til-Maturity” Accounting

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The Silicon Valley Bank collapse recalls the tussle over the accounting for financial instruments after the global financial crisis [GFC] in 2009, particularly the debate about whether some financial instruments should be carried at amortized cost (held-to-maturity, HTM) rather than at fair value (available-for-sale, AFS), or what is referred to as the “mixed measurement model.”  — Sandy Peters, CPA, CFA To read the article on the CFA Institute Blog >> —– Related: 4 Very Good Reasons Why We Don’t Like Dividends of Banking Stocks Banks & Money Centers: AXP, BAC, BBT, BK, C, DFS, FITB, GS, HBC, JPM, KEY, MS, NTRS, PNC, RF, STI, TFC, USB, WFC Valuentum does not believe the long-term dividend health of any financial institution can be accurately … Read more

Fed Might Slow After All, Bank Reports Just Okay

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Image shown: The yield curve is flattening. Source: Federal Reserve Bank, St. Louis. The biggest question with Fed policy is whether the FOMC will purposefully cause an inversion in the yield curve. If it thinks the market is manipulating long rates to influence its policy, it may very well go forward with rate hikes. If it doesn’t, it may very well slow the pace of rate hikes or even pause them. The behavioral implications of a yield-curve inversion may be more significant than the inversion, itself, however. No Changes to Simulated Newsletter portfolios Brian Nelson, CFA On January 10, President and CEO of the Federal Reserve Bank of St. Louis, James Bullard offered a number of perspectives on 2019 monetary policy. … Read more

Prepared Remarks From Nelson Exclusive Conference Call June 30

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Read President of Investment Research Brian Nelson’s prepared remarks for the yearly roundup conference call, held for Nelson Exclusive members. If you would like to subscribe to the Nelson Exclusive publication, please learn more about the publication here. The Nelson Exclusive publication does not reflect real performance. Performance is hypothetical and does not represent actual trading. Ladies and Gentlemen, Thank you very much for joining us on the first conference call for members of the Nelson Exclusive publication. The first year of the publication has surely been an exciting one for all involved. When I first wrote the introductory letter of the Nelson Exclusive on July 1, 2016, we were well-aware the market had laid down the gauntlet for this publication. … Read more

Dividend Increases/Decreases for the Week Ending May 26

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Below we provide a list of firms that raised/lowered their dividends during the week ending May 26. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Advanced Drainage Systems (WMS): now $0.07 per share quarterly dividend, was $0.06. Agree Realty (ADC): now $0.505 per share quarterly dividend, was $0.495. Bank of Montreal (BMO): now CAD 0.90 per share quarterly dividend, was CAD 0.88. Bunge (BG): now $0.46 per share quarterly dividend, was $0.42. China Yuchai (CYD): now $0.90 per share annual dividend, was $0.85. Clipper Realty (CLPR): now $0.095 per share quarterly … Read more

Valuentum’s 3 Breakthroughs in the Field of Finance and More

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Valuentum’s President Brian Nelson pauses for a picture before speaking at the CFA Society of Houston in March 2017. By Valuentum Editorial Staff Let’s cover Valuentum’s 3 major breakthroughs in the field of finance. The first one is big and may challenge you to rethink everything you think you know about investing. 1. On a logical framework, Valuentum has debunked John C. Bogle’s landmark syllogism that has paved the way for the concept of index investing. Index investing has been built on a logical shortcoming, whether supported by evidence or not. We think it is important that the investment community know of this. Read (pdf): The “Luck” and “Randomness” of Index Funds (2018), Brian Nelson, CFA See video documentation: /FALLACY_of_Index_Funds To … Read more

The Coming “Goldman Sachs Era”

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Valuentum covers recent developments in the financials sector, including hopes for a relaxation of certain prohibitive Dodd-Frank rules that, if repealed, could pave the way for improved economic returns across the banking sector during the Trump administration. A look back at the month of September 2008, and how Goldman Sachs may very well shape the financial markets during the next few years are two other areas in the piece. Financials stocks have come roaring back since Trump was elected the 45th President of the United States. We’ve participated. By Brian Nelson, CFA It’s been more than 8 years now. The month of September 2008 shaped my view of the financials and banking sector more than any other month possibly could–The … Read more

Podcast: Why ETFs and Roasting the Banks

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The Valuentum analyst team talks about why we don’t like the business models of banking entities, why they are currently destroying economic value, but also why the team includes exposure in the Best Ideas Newsletter portfolio. What gives? Find out in this ~9 minute podcast. If you cannot view the video, please view the transcript that follows. Tickerized for holdings in the exchange traded funds, XLF and KBE, and for various financials-oriented ETFs.  Kris Rosemann: Hello and welcome to the Valuentum Securities podcast. My name is Kris Rosemann Associate Investment Analyst at Valuentum. With me is Chris Araos and Brian Nelson President of Equity Research and ETF Analysis at Valuentum. Today, we are going to have a quick discussion over … Read more

Dividend Increases/Decreases for the Week Ending May 27

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Below we provide a list of firms that raised/lowered their dividends during the week ending May 27. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Bank of Montreal (BMO): now C$0.86 per share quarterly dividend, was C$0.84. Brandywine Realty Trust (BDN): now $0.16 per share quarterly dividend, was $0.15. Bunge (BG): now $0.42 per share quarterly dividend, was $0.38. Cabot (CBT): now $0.30 per share quarterly dividend, was $0.22. Canadian Imperial Bank (CM): now C$1.21 per share quarterly dividend, was C$1.18. Donaldson (DCI): now $0.175 per share quarterly dividend, was $0.17. … Read more

Dividend Increases for the Week Ending May 29

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Below we provide a list of firms that raised their dividends during the week ending May 29. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Bank of Montreal (BMO): now C$0.82 per share quarterly dividend, was C$0.80. Canadian Imperial Bank (CM): now C$1.09 per share quarterly dividend, was C$1.06. Donaldson (DCI): now $0.17 per share quarterly dividend, was $0.165. El Paso Electric (EE): now $0.295 per share quarterly dividend, was $0.28. Extra Space Storage (EXR): now $0.59 per share quarterly dividend, was $0.47. Hewlett-Packard (HPQ): now $0.176 per share quarterly dividend, … Read more

Dividend Increases/Decreases for the Week Ending August 29

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Below we provide a list of firms that raised/lowered their dividends during the week ending August 29. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week Escalade (ESCA): now $0.10 per share quarterly dividend, was $0.09. First Connecticut Bancorp (FBNK): now $0.05 per share quarterly dividend, was $0.04. MB Financial (MBFI): now $0.14 per share quarterly dividend, was $0.12. Old Line Bancshares (OLBK): now $0.05 per share quarterly dividend, was $0.04 Raven Industries (RAVN): now $0.13 per share quarterly dividend, was $0.12. Scotiabank (BNS): now C$0.66 per share quarterly dividend, was C$0.64. Triangle … Read more