September 18, 2023 — Tactical Investment Strategy provides an overview of key economic and policy themes and how Sage is tactically positioned in the current market environment.

Key Takeaways

• US data has remained firm over the last several weeks, supporting risk assets and keeping some upward pressure on yields. The idea that the Fed will be able to orchestrate a soft landing has become entrenched as the base call, but we remain defensive in our positioning.
• Risk assets do not appear correctly priced for the reality of an economic slowdown, an extended period of higher rates, or the risk that the landing is not as soft as expected.
• For cash and short maturity investors, we believe now is the time to consider lengthening average durations as a hedge against weaker growth and to fully participate in the upside over the medium term.

Why go with an active manager? What’s the difference between how Sage approaches active management versus some other investment managers? This one-pager illustrates the value added through active management.

 

 

July 2023 — The following charts illustrate Sage’s macro views and tactical ETF positioning given our market outlook.

July 11, 2023 — This one-page report details what contributed to and detracted from performance for the Sage Income ETF Strategies in the second quarter.

July 11, 2023 — This one-page report details what contributed to and detracted from performance for the Sage Tactical ETF Strategies in the second quarter.

July 10, 2023

Key Takeaways

• Equities stole the show during the first half with robust gains built on resilient data that propelled the soft-landing narrative and expectations that the Fed was almost done tightening.
• We see a much more challenged back half as stimulus money runs dry and economies feel the increasing impact of restrictive monetary policy and tightening credit conditions.
• We continue to carry an overweight in fixed income vs. equities. The risk/reward for fixed income is superior to equities given full valuations and economic risks for equities and much higher yield carry for fixed income.

May 23, 2023 — As we approach mid-year, we have recast our key outlook and strategy themes for the balance of 2023.

Key Takeaways

• A mild recession is likely in the second half, which has not been priced into risk markets.
• We see at most one rate cut toward the end of the year and then a more moderate pace than what the futures markets have suggested.
• Fixed income continues to be attractive as we have likely hit peak yields, and higher yield carry is good for returns over the medium-term.

April 12, 2023 — As we near the end of the Fed tightening cycle, our game plan is to stay defensive, expecting risk assets to reprice for the reality of tightening conditions and higher prospects of a hard landing. Our medium-term outlook for fixed income is highly favorable, with attractive yield carry, a weak growth picture, and the end of the Fed cycle all conditions conducive to strong returns in core fixed income.