June Newsletter Highlights

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Here are the highlights from the June Newsletter:

  • Stocks stand near all time highs, the 30-Year Fixed Mortgage rate edged down slightly to 3.89%, and price-to-rent ratios continue their post housing bumble climb.
  • As economic conditions and stock market value measures continue to exhibit signs of peaking, the post-recession expansion could be coming to an end. However, risk measures do not signal a near term correction, and the stock-to-bond spread indicates that stocks are the most attractive investment available.
  • The LGI Active portfolio continues to outperform the broad market, with a 3-Year return of 109%, compared to 25% for the S&P 500.
  • AT&T, Siliconware Precision, and Magna International stocks continue to look attractive as value buys. New addition to our top value stocks list include oil industry companies Sinopec Shanghai Petrochemical and Valero Energy.
  • The broad market for Real Estate investment continues to show signs of tightening, however several metropolitan areas still show attractive Cash-on-Cash yield opportunities.
  • We focus our apartment rental market analysis on Atlanta, GA, and we identify many attractive Zip Codes, primarily located south of downtown.
LGI Asset Allocation Strategy Performance vs S&P 500

LGI Asset Allocation Strategy Performance vs S&P 500

Atlanta Metro Area Zip Code Cash on Cash Return Heat Map

Atlanta Metro Area Zip Code Cash on Cash Return Heat Map