Schroders announced that Milagros Silva has joined the US Offshore team as Sales Director.
In her new role, Mrs. Silva will focus on building Schroders’ ability to directly address client needs and grow the firm’s US offshore distribution efforts, according the company’s memo. She will work on business development for the Schroders brokerage business.
She will report to Nicolas Giedzinski, Head of US Offshore. Calling on her prior experience and extensive knowledge of the industry, Mrs. Silva will work alongside Nicolas and the team to elevate Schroders’ strategies and increase market capitalization across different asset classes, the firm said.
Nicolas Giedzinski, Head of US Offshore commented: “We are excited to welcome Milagros to our team and to further expand Schroders’ footprint in the US Offshore region. Her role will continue to expand our consultant approach to the market – helping to build our capabilities amid the rapidly evolving needs of the industry. Milagros’ deep understanding of this sector will be extremely helpful as we actively maintain our high-quality client services and gain new prospects.”
Silva joins Schroders in 2022 from Unicorn Strategic Partners, where she served as Sales Manager and was responsible for marketing and distribution in the US Offshore market. Her territory coverage included Miami, Texas, California, Canada and the Caribbean.
Previously she was a Hybrid Wholesaler at Legg Mason Global Asset Management, where she served as the primary relationship manager for a select group of preferred partner firms in the broker dealer and RIA channels focused on the offshore market in Miami and South America.
Mrs. Silva spent six years at Alliance Bernstein Wealth Management, where she became Senior Team Leader. As such she was the primary contact for all service-related needs of HNW Private Clients and acted as the direct liaison between the advisors, clients, portfolio managers, legal and compliance departments to complete any new and existing client requests.
Milagros has over 15 years of sales experience. She holds an MBA from McCombs School of Business at UT Austin.
Sanctuary Wealth’s new division, Sanctuary Global, opened its new office in Miami.
The new office located on Brickell Avenue demonstrates the growth of $21 billion in assets with more than 60 partner teams nationwide, the company told Funds Society.
“A year ago we launched Sanctuary Global with a physical presence in Miami to focus on attracting financial advisors who are interested in becoming independent and who also serve international clients. Here we offer them a multi-custody platform that includes broker dealer, RIA and family office model options,” said Elisa Granados, director of Sanctuary Global.
Granados evidenced her team’s enthusiasm for the future of their Miami division.
“We are motivated and look to the future in Miami with a lot of optimism. There is great interest in the market due to the structural decisions made by large firms in recent years. Our value proposition offers financial advisors control over their destiny by guiding them in building and growing their own businesses,” he explained.
The 15-strong staff will be expanded in the coming days with two new teams that, according to the advisor, “recognize the collaborative culture we have formed by enabling financial advisors to grow and gradually plan for the succession of their firms.”
In addition, the firm is flexible about working from home.
“Some are eager to return to a shared office with other teams to exchange ideas and feel part of a culture like ours. Some prefer their offices near their residences or in their own homes. In any case, they are delighted to have access to our conference rooms on Brickell Avenue overlooking the beautiful Biscayne Bay,” concluded Granados.
Mortgage interest rates are now rising, while rising costs are squeezing household budgets. After a more than 30% increase in home prices and construction spending, the housing market risks becoming a drag heading into 2023, says a report from ING Bank.
The U.S. housing market has been a major support for economic activity during the pandemic. Falling mortgage rates as the Fed lowered borrowing costs, combined with work-from-home flexibility that opened up more options for living, spurred a surge in demand.
At the same time, supply was constrained by COVID-19 restrictions, which initially led to a decline in construction activity. For-sale inventory fell to historic lows and, in an environment of excess demand, prices soared.
The S&P Case Shiller housing index is up 30% nationally since the pandemic occurred in February 2020, and even Chicago, the worst performing city, has experienced a 20% rise.
Rising construction contributed strongly to the growth.
Residential construction spending fell 5% between March and May 2020, but as work and traffic restrictions were lifted, construction activity rebounded. It is now up 35% from pre-pandemic levels, with builders’ spirits buoyed by rising selling prices, even as labor and building supply costs rise.
The result is that growth in residential construction investment has outpaced overall GDP growth, so that this sector alone accounts for 3.5% of total economic output.
In the short term, it appears that housing will continue to contribute positively to the economy. Employment and wages are increasing across the country, supporting demand, and new and existing home sales remain strong. This continues to support homebuilder optimism, as housing starts and building permits are at levels not seen in 2006.
Warning signs begin
Mortgage application data showed a small decline in home purchase applications. While the movement was not strong, the problem is that we could be looking at much larger declines in the coming months.
This is because mortgage rates are rising rapidly at a time when runaway inflation is eroding household purchasing power and consumer confidence.
The University of Michigan reported that sentiment is the weakest since 2011 and not far from the lows seen during the 2008 global financial crisis. With potential homebuyers beginning to feel more nervous about the economy, the prospect of sharply higher monthly mortgage payments adds additional reason for caution.
Treasury yields are rising as Fed officials shift to a narrative of wanting to curb inflation, and financial markets now anticipate that the federal funds rate will end 2022 at 2.25%, up 200 basis points from the beginning of the year.
Rising benchmark borrowing costs imply further upside risks to mortgage rates and housing could move from excess demand to excess supply.
Inventory levels remain low by historical standards, with 1.7 months of existing home sales. They are starting to pick up a bit for new homes, with 6.3 months of sales versus 3.5 months at the end of 2020.
But if home sales slow in response to lower demand, these inventory numbers could rise quickly. Let’s also remember that with building permits and housing starts at elevated levels, there are going to be more residential properties coming on the market later this year and early 2023.
Consequently, we see an increasing likelihood that the housing market will begin to move from significant excess demand, which has fueled rising home prices and construction, to one where we are in better balance.
However, with the Fed focused on fighting inflation by raising the fed funds rate and shrinking its balance sheet, we could see mortgage borrowing costs continue to rise rapidly. This would increase the chances that the housing market will tip into oversupply and home prices will start to fall, the bank asserts.
While this in itself is not particularly worrying from a household balance sheet point of view, as household liabilities appear to be low by historical standards, it may translate into further falls in consumer confidence and weaken consumer spending, as well as dampen new residential construction.
On the other hand, the slowdown in the housing market will open the door to Fed rate cuts in 2023, ING experts say.
Housing is not only important from an activity standpoint. The sector also has more than 30% of the weighting of the consumer price inflation basket through primary rents and equivalent rent from landlords.
If housing prices stabilize and may even fall, this could quickly translate into lower inflation readings. This would give the Fed more flexibility to respond with interest rate cuts if they end up rising so much that the economy begins to weaken.
Pixabay CC0 Public DomainJanus Henderson nombra a Ali Dibadj próximo consejero delegado . Janus Henderson nombra a Ali Dibadj próximo consejero delegado
Janus Henderson today announced that its Board of Directors has unanimously appointed Ali Dibadj as Chief Executive Officer of the Company effective no later than 27 June 2022.
Ali Dibadj joins the Company from AllianceBernstein Holding L.P. where he has served as CFO & Head of Strategy since February 2021 as well as Portfolio Manager for AB Equities since 2017.
Previously, he served as AB’s Head of Finance and Head of Strategy from April 2020 to February 2021. He co-led AB’s Strategy Committee in 2019 and served as a senior research analyst with Bernstein Research Services from 2006 to 2020, a period during which he was ranked as the number one analyst twelve times by Institutional Investor. Prior to joining AB, he spent almost a decade in management consulting, including at McKinsey & Company and Mercer. Mr Dibadj holds a Bachelor of Science in engineering sciences from Harvard College and a Juris Doctor from Harvard Law School.
Richard Gillingwater, Chairman of the Board of Directors, said,“We are pleased to appoint Ali Dibadj as the Company’s next CEO. As part of our CEO transition planning, we conducted an extensive internal and external search to identify an executive who both understands our business and has the necessary strategic expertise to help drive the firm’s next phase of growth for the benefit of our clients and shareholders. The Board is confident that Ali is the ideal choice to lead this great company into its next phase of growth and value creation.”
On the other hand, Ali Dibadj said, “I am delighted to join Janus Henderson and look forward to having the opportunity to lead such a talented group of professionals at an important time for the Company and the industry. I have long admired Janus Henderson’s commitment to deliver for its clients with investment and servicing excellence. The executive team, the Board, and I look forward to identifying, expediting, and capturing growth and innovation that creates value for our clients, employees, shareholders, communities, and all stakeholders.”
With cryptocurrency reaching $3 trillion in market capitalization in 2021 before falling back to $2 trillion amidst market volatility in early 2022, it is increasingly important for market participants, including asset managers and advisors, to engage and take a view, according a new Cerulli white paper, Cryptocurrency: Navigating a Frontier Asset Class for Advisors and Asset Managers.
The study suggest that nearly half of advisors indicate they expect to use cryptocurrencies by client request at some point in the future.
For advisors, cryptocurrency is increasingly too impactful to ignore as their clients—and not only younger ones—are likely to be interested in the offerings.
80% of financial advisors report they are being asked about cryptocurrencies, while only 14% are using or recommending cryptocurrencies.
Only 7% of advisors report that they currently use cryptocurrency based on their own recommendation, with a slightly higher 10% reporting they use cryptocurrency by client request. In the next two years, advisors expect their use of cryptocurrency to change—45% expect they will be using cryptocurrency at some point per clients’ requests.
Despite the growing interest from investors, advisors remain skeptical of the asset class.
“Many simply don’t understand or believe in the cryptocurrency as an investment,” states Matt Apkarian, senior analyst.
Apkarian adds: “Advisors commonly believe that the definition of an investment involves the expectation of real return. Given the fact that crypto assets do not represent claims on a stream of income, advisors often believe that the assets lack the ability to be valued, or that they lack growth expectations.”
In addition, structural factors make it difficult or impossible for advisors to commit to the incorporation of cryptocurrency in their strategy.
According to the research, many firms don’t offer investment options for cryptocurrency through their platforms, forcing advisors who want access to direct their clients to use outside platforms.
“This inhibits advisors from exercising discretion on cryptocurrency assets and places a burden on the client for a portion of their planning,” remarks Apkarian. They also face opaque regulatory and tax guidelines. “Advisors encounter mixed messaging and poor information from a tax and regulatory compliance standpoint. For what currently exists as a tiny sliver of some portfolios, advisors may see an imbalance in their return on time spent versus the investment,” he adds.
At the same time, product development for cryptocurrency is occurring rapidly, for both investment products and platforms used to access cryptocurrency. According to the research, cryptocurrency-focused organizations realize the significant complexity that has come as a byproduct of rapid growth, and some are working to develop standards that aid in understanding for investors.
“Advisors owe it to their clients to understand the world of cryptocurrency, so at the very least they have reasoning to support their viewpoint for not including it in their portfolios—a simple lack of understanding of cryptocurrency is not doing the client justice in assessing investment opportunities available,” Apkarian concludes.
Morgan Stanley announced that it will limit its brokers to 90 days per year to perform remote work.
The wirehouse is looking to get staff back in the office and fulfill supervisory duties, according to several inside sources familiar with the changes consigned by Advisorhub.
The policy changes will take effect July 1st.
Morgan Stanley CEO’s James Gorman has been a strong advocate of the move back to the office. Gorman has repeatedly reiterated that “anyone who goes to a restaurant should also come to the office and learn from their peers.”
Brokers requesting additional time to work remotely will have to demonstrate an alternative work location. Eligibility for a remote office will be based on criteria such as length of service or membership in production-based recognition clubs and senior approval.
Those working from an alternate remote location will also be subject to additional monitoring requirements, such as periodic remote inspections.
It is uncertain how many brokers will be able to opt for alternative jobs, a Morgan Stanley spokesperson told the U.S. media outlet.
On the other hand, flexibility options will differ from employee to employee depending on their role and eligibility.
This measure may cause some brokers to leave the company. Especially if some competing firms such as UBS Wealth Management USA are taken into account.
The Swiss firm has said it will not force U.S. brokers to return to their position. Bank of America, on the other hand, called its employees back to the office on March 1, although brokers were exempt from this policy.
PIMCO has hired Jaime Estevez in Miami as Account Manager.
The advisor comes after six years at BlackRock as a member of BlackRock’s offshore sales team for its Miami distribution business, according to his LinkedIn profile.
According to industry sources, Estevez will be part of the team that serves Latin American clients.
In the team he was part of at BlackRock, he covered the US Offshore market, Uruguay and Argentina.
Prior to BlackRock, Estevez worked at Highland Capital Management within their sales team in Dallas, Texas.
In addition, his first Finra booking was in 2014 for Fidelity.
Insigneo, has appointed a new Head of Investment Products, Mirko Joldzic, who joined the firm today, based in the firm’s Miami Headquarter reporting to Javier Rivero, Insigneo’s president and COO.
Mr. Joldzic will be responsible for leading the investment product team and setting the strategic direction of the Asset Management product range, including the development of new products, banking/lending opportunities and collaborating across the organization to identify opportunities and enhancements that will competitively differentiate Insigneo’s product offering.
He also will be supporting the development of new business opportunities and contributing to Insigneo’s recent expansion in Latin America and throughout the United States, according the company’s statement.
Rivero said: “I am happy to welcome Mirko to the Insigneo leadership team as we continue to build our product offering to provide Investment Professionals with a robust platform that is unparalleled in the market.”
Mr. Joldzic has an extensive background in financial services, most recently at Raymond James. He was also part of key teams at world renowned organizations such as UBS, Barclays Wealth and Investment Management, J.P. Morgan and Bank of America. He has a BA of Science Finance from Montclair State University and additionally holds the series 7 and 66 licenses.
“I am excited to join Insigneo and take on this new challenge in my career. I have been following Insigneo in the marketplace and its growth trajectory. I look forward to contributing to the long-term growth plans of the firm. I am also thrilled to join a firm, and a leadership team, whose focus is to offer innovative product solutions and exemplary service to our network of Investment Professionals and help them realize their goals.” said Joldzic.
Wells Fargo announced today $1 million in donations across three nonprofits to enable humanitarian aid for Ukraine and Ukrainian refugees, as well as support services for U.S. service members and their families across the globe.
The funding was distributed among the American Red Cross, World Central Kitchen and the USO.
American Red Cross, in coordination with the global Red Cross network including the International Federation of Red Cross and Red Crescent Societies (IFRC), International Committee of the Red Cross (ICRC) – A global first responder, the Red Cross is distributing food, water, first aid supplies, medical supplies, clothing and other urgent support as well as providing temporary shelter to people affected by the crisis.
World Central Kitchen provides meals in times of crisis. Their team is currently serving tens of thousands of meals to Ukrainian families fleeing their homes as well as those who remain in country.
The USO is rapidly responding with support for American service members in Eastern Europe with call centers, hygiene and meal kits, care packages, and other essentials. It also offers resources that provide care and comfort to U.S. service member families during this stressful time.
In addition, the company is making it easier for its employees to support these organizations through its internal employee giving system. Wells Fargo is also amplifying employee generosity to these organizations through its Community Care Grants program, allowing donations of up to $1,000 to qualify for additional grant dollars to further extend impact.
“In times like this, it’s important we come together to support those most impacted,” said Wells Fargo CEO Charlie Scharf.
Scharf adds: “We appreciate the nonprofits on the ground and hope our grants will enable them to accelerate getting humanitarian aid to those who require it most. At the same time, we want to support our nation’s military, which is often called upon in times of need, and we will continue to provide essential services for service members and their families.”
Both Mariscal Lozano and Bestard arrive from UBS’s Coral Gables office.
As for Bestard, who has more than 25 years in the Miami industry, he has worked at UBS since 2013 when he arrived from Morgan Stanley where he served from 2007 to 2013, according to his BrokerCheck records.
The advisor started in 1997 at Lehman Brothers where he worked for 10 years until 2007.
Mariscal Lozano started in 1999 at Lehman Brothers and moved to Morgan Stanley in 2007 where he worked until 2013 when he moved to UBS. Always based in Miami, according to his Finra profile.
Finally, Rivera, also with Miami experience, started at Morgan Stanley between 2008 and 2015. He then moved in 2015 to Jefferies until late last year, according to BrokerCheck.
