Absolute Return: Bringing Calm to a Volatile Market

Adding Value Through the Use of Pre-Merger Special Purpose Acquisition Companies (“SPACs”) Investors are challenged to navigate the uncertainty and volatility in today’s market. This should come as no surprise to any investor given the global geopolitical risks, supply chain disruptions, the uncertainty around central bank(s) tightening, inverted yield curves, spiking inflation at 40 year […]

How’s your 60/40 model Working?

Why Pre-Merger SPACs May Offer A Fix To The Broken 60/40 Model We’ve been discussing the broken 60/40 Model for a few years now. It’s not that we have anything against bonds—I’ve been a bond manager for 37 years—it’s simply because bond yields are at a level where they are mathematically incapable of providing a […]

SPAX Q1 2022 Commentary & Outlook

The Robinson Alternative Yield Pre-Merger SPAC ETF (ticker: SPAX) completed its third full quarter. The Fund returned 0.06% for the quarter on a price basis and 2.27% for its first three quarters; it returned 0.02% on a net asset value basis for the quarter and 2.35% for the three quarters. Following is the Q1 2022 […]

Behavior of Various Fixed Income Strategies in a Fed Tightening Cycle

As the bond market prepares for the start of a Fed rate hike cycle, we decided to look back at the previous rate hike cycles in which the Fed moved at least 1.75% (Wall Street’s consensus for rate hikes this year). There have been eight such cycles over the past 50 years.  Typically, the bond […]

Behavior of Various Fixed Income Strategies in a Fed Tightening Cycle

As the bond market prepares for the start of a Fed rate hike cycle, we decided to look back at the previous rate hike cycles in which the Fed moved at least 1.75% (Wall Street’s consensus for rate hikes this year). There have been eight such cycles over the past 50 years.  Typically, the bond […]

How to Address Low Yields and Rising Rates

Despite your views, it’s all over the news. BLOOMBERG: “Investors throw cash at any ETF with inflation in the name.”  INVESTING.COM: “Inflation readings come in screaming hot.” YAHOO FINANCE: “Google searches reveal people are growing very worried about inflation.” The accelerating pace of inflation is one of the main economic trends of 2021. Higher rates […]

Forget Everything You Know About SPACs

How is Smart Money Investing in SPACs? SPACs have historically been marketed and sensationalized by the financial media as a way for retail investors to participate in the next Tesla or Amazon IPO.1 While exciting to talk about, what if I told you that’s not how hedge funds, institutional investors and ultra-high net worth individuals […]

SPAX Q3 2021 Commentary & Outlook

The Robinson Alternative Yield Pre-Merger SPAC ETF (ticker: SPAX) recently completed its first full quarter. The Fund returned a negative 0.45% for the quarter on a price basis; it returned a negative 0.24% on a net asset value basis. Below is the third quarter attribution analysis for the Fund’s NAV return relative to its benchmark […]

What is a Special Purpose Acquisition Company (SPAC)?

What is a SPAC? A Special Purpose Acquisition Company (SPAC), also known as a blank check company, is a company formed strictly to raise capital through an initial public offering (IPO) for the purpose of acquiring (or merging with) one or more existing private companies. SPACs generally have 18-24 months to complete a business combination. […]