The VIX index has sunk to remarkably low levels, as has the MOVE index. Yields on bonds from treasuries to investment grade to junk have compressed significantly. The market is now more optimistic about the prospects for a recovery in China, a more robust US housing market and the ability of the Europeans to hold

Q&A with Burnham Banks

In the age old children’s story of persuasion versus force, the sun and the wind compete to remove the traveler’s coat to prove their power. The wind’s efforts only make the man wrap his coat more tightly and securely while the sun’s heat eventually drives the man to voluntarily remove his coat.

Model Portfolio and Strategy Review:     It’s time to review our investment outlook and strategy for 2013. It is remarkable how have arbitrary time intervals when we review and make our plans but that is how we humans have chosen to behave and so any study in human behavior or endeavor should reasonably respect

The thirst for yield has led to companies raising more debt at cheaper funding levels than before. This has led to a deterioration of credit quality. Of late some companies have been raising debt for share buy backs recognizing the gap between the cost of equity funding and debt funding. This should imply that investors