CKW Financial Group Blog

Gatekeepers who are or want to be Asset Managers need to choose.  The standards of Gatekeepers letting Asset Managers pass the gate have not changed much since I taught Manager Selection and Due Diligence for IMCA’s CIMA certification.  What has changed are the...

The generalists are mostly gone from our profession and the professionals are now specialists.  Technology will continue to bring cheaper, better products to the consumer.  ETP are one example of technology driving cost down and eliminating the many middlemen. Due...

Both passive and active are here to stay.  The correct answer to which is better? As always is, “It depends.” It depends on what is passive and what is active.  And in the end, people will disagree anyway. An index based on screening for different variables used by...

4/11/16 – We asked for an $18 trillion loan. No one responded. At the time the market PE was approximately 16x current earnings or an E/P earnings yield of 6.25% plus a dividend of 2%. 8/12/16 – The DOW was at 18,473 – 450 times its original value of 40.94 in 1896....

An OCIO is the natural evolution of investment advice.  Our industry has gone from calling each client and getting permission to buy individual securities to calling each client to hire and fire a manager or mutual fund to being an OCIO with discretion.  Institutions,...

To obtain a higher Rate of Growth is easier when you have less.  Growing $1,000 by 25% is much easier, less risky, and more certain if you contribute $250 to get to $1,250 rather than trying to find a rate of return of 25%. Growing $1,000,000 by 25% becomes harder if...

We humans looking for an investment job need to remember: the computer is quicker, faster, and cheaper at math than we will ever be. Understanding math and using the math to invest the way science proved works is still not art because AI can remember and recognize...

The benchmark is the benchmark. We sold it, had the client immortalize it in writing (IPS) and put a spotlight on it at every quarterly meeting (performance report).  The benchmark is now something to beat (relative, absolute, or adjusted).  The benchmarks humble...

Our industry sets standards of due diligence, research, analysis, education, and other criteria to manage parts of a portfolio.  Do the people and organizations picking the parts add value to the whole?  Is it manager selection or asset allocation? Every active or...

When the parts don’t fit, you get lousy performance.  Porsche magazine, with the latest and greatest new parts, get people enthusiastic about making changes for better performance.  Porsche is the best at putting together amazing cars from their parts bin. We believe...