Two the Point — Unique Investing Opportunities Revealed

Andrew Davis, CFA®

Bryn Mawr Capital Management

< 1 min read

February 23, 2024

Two the Point

This week we explore the contrasting narratives of the Leading Economic Indicators (LEI) and Coincident Economic Indicators (CEI), revealing unique investment opportunities as the market underestimates the strength of the U.S. economy.

Key Themes and Data Points:

The LEI Trend:

Decreased for 23 consecutive months since December 2021.
Unprecedented length without a subsequent recession.
Indicates complexities and nuances in the current business cycle.

The CEI Performance:

Rose by 0.2% in January, reaching a record high.
Contradicts the recession forecast implied by LEI.
Suggest ongoing economic growth.

Market Expectations vs. Reality:

Discrepancy between market perception and economic resilience.
Opportunities in undervalued sectors due to the market’s underestimation of economic strength.

Investment Strategy Focus:

Emphasis on interpreting economic signals within a broader market context.
Portfolio adjustments based on expected versus actual economic outcomes.
Aim to capitalize on insights and stay ahead of market trends.

Andrew Davis, CFA®

Bryn Mawr Capital Management

Andrew Davis leads a team that analyzes broad economic trends and factors that impact global and national economies. He joined the company in 2019.

Recent Articles

Two the Point

Two the Point — Polls, Policies and Prices

In our weekly video series, we highlight one observation we think is most important regarding the economy and the financial…
Newsworthy Topics

WEBINAR: Planning for Healthcare Needs Before Retirement

Join us for an insightful webinar where we’ll explore the evolving landscape of healthcare and unpack key aspects to consider…
Newsworthy Topics

How to Maximize Your HSA

This week we discuss how to maximize your HSA.

View All resources

Disclosures

© 2024 WSFS Bank. Member FDIC. Wilmington Savings Fund Society, FSB d/b/a WSFS Bank.Private Banking is a division of WSFS Bank.
Wilmington Savings Fund Society, FSB d/b/a/ Bryn Mawr Trust.Bryn Mawr Trust is a division of WSFS Bank.WSFS Wealth Management, LLC d/b/a Powdermill Financial Solutions, LLC. Powdermill Financial Solutions, LLC is a subsidiary of WSFS Financial Corporation.Bryn Mawr Trust Company of Delaware is a subsidiary of WSFS Financial Corporation.Products and services are provided through WSFS Financial Corporation’s subsidiaries and their affiliates.Trust and investment advisory services are offered through Bryn Mawr Trust. Bryn Mawr Trust is not a registered investment advisor.Investment advisory services are also offered through Bryn Mawr Capital Management, LLC (“BMCM”), an SEC registered investment advisor and a subsidiary of WSFS Financial Corporation. BMCM’s Registration as an investment advisor does not imply a certain level of skill or training.

Bryn Mawr Trust does not provide legal, tax or accounting advice but those services may be provided by affiliates or subsidiaries of Bryn Mawr Trust.

All opinions expressed by the Associate(s) on television, radio, internet, or any other medium are merely opinions. You should not treat any opinion expressed as an inducement to make a particular investment or follow a particular strategy. Opinions expressed are based upon information that the Associate(s) considered reliable at the time spoken, but there is no guarantee of completeness or accuracy, and it should not be relied upon as such. The opinions do not represent the opinions of WSFS Financial Corporation or its subsidiaries. The Associate(s) and the listed entities have no duty to update or correct any information that was provided. Past performance is not indicative of future results, and as such, neither the Associate(s) nor any of the above-listed entities guarantee any specific outcome, performance, or profit. Before acting on any information from the Associate(s), consider suitability for your personal financial situation and seek the advice of your own financial professional.

Any third-party trademarks, and products or services related thereto, mentioned are for discussion purposes only. Third-party trademarks mentioned are not commercially related to, or affiliated in any way with, Bryn Mawr Trust products or services. Third-party trademarks mentioned are also not endorsed by Bryn Mawr Trust in any way. Bryn Mawr Trust may have agreements in place with third-party trademark owners that would render this trademark disclaimer not relevant.

INVESTMENTS: NOT A DEPOSIT. NOT FDIC – INSURED. NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY. NOT GUARANTEED BY THE BANK. MAY GO DOWN IN VALUE.