Published Research and the Middle Class Theme

More and more Americans are finding that instead of enjoying their retirement, they are instead supporting their adult children and aging parents at the intersection of our Aging of the Population and Middle-Class Squeeze investing themes.

In this issue, investor anxiety continues and we’ll hang onto our short S&P 500 position. Del Frisco’s shares garner some activity attention, but the fundamentals remain intact. Plus, what we should be focusing on in the week ahead.

New research from the Federal Reserve explains why Millennials are indeed part of our Middle-Class Squeeze investing theme – they are spending less because they have less money to spend.

Tematica Research Membership

For Experienced Individual Investors and Financial Professionals

The Tematica Individual Membership provides thematic investing strategies, trading ideas, and analysis of the most pressing economic and market developments that drive both our thematic perspectives and investing strategies.
Financial Professionals and experienced Individual Investors that become members receive access to the Thematic Leaders List which includes the top stock in each theme, plus our top overall most thematically-positioned stock. Membership also includes the Tematica Select List which are additional trading ideas of stocks riding our 10 investment themes and regular on-going insights and commentary on the market from a thematic perspective.

We’ve closed the books on a painful November, and while progress on the US-China trade front is popping the stock market today a number of issues remain that will likely come into focus as the relief rally fades. We recap the Thanksgiving through Cyber Monday holiday shopping, a boon for our Digital Lifestyle investing theme and discuss what investors should be watching this week as we kick off the last month of the trading year.

Ever the disruptor, Amazon is testing its cashierless checkout technology in larger format stores compared to the footprint for Amazon Go. Implications about even if Amazon keeps the technology to itself.

New data from Lending Tree points to consumer debt topping $4 trillion by the end of 2018. Paired with higher debt servicing costs vs. several quarters ago, it means a growing headwind to the US’s consumer spending led economy.

We are in the midst of major shifts in market dynamics. With risiing debt levels and falling liquidity we are seeing a headwind to EPS generation that investors and the multiples they assign to the stock market will have to contend with.

On this week’s Cocktail Investing Podcast, Tematica’s Lenore Hawkins and Chris Versace center not only on the rash of holiday shopping data coming out of the Thanksgiving to Cyber Monday period but also discuss Fed Chairman Powell’s “near neutral” comment on interest rates. That comment led the stock market to rip higher, offering relief to beleaguered investors that saw the majority of 2018 gains for the domestic stock market wiped out in recent weeks. But… you knew there was a but coming… the reasons behind that shift in tone as well as other risks mean we are not out of the woods just yet.

Our Themes

Thematic Signals

Signup for our weekly Thematic Signals newsletter, and have the full week of stories emailed directly to your inbox on Friday afternoons.

* indicates required
I am a . . .

What is Thematic Investing

Thematic investing looks to identify pain points by looking at the intersection of shifting economics, demographics, psychographics and technologies, mixed in with regulatory mandates and other forces. Such pain points result in a pronounced secular market shift that shapes and impacts behavior, forcing companies to make fundamental changes to their businesses to succeed.  Read More >>

What We Do at Tematica

Tematica Research provides equity research, economic insights, and investment ideas based upon its proprietary thematic perspective of the world and financial markets. The thematic discipline utilized by Tematica across its research and economic commentary, as well as its index and portfolio construction efforts, is the culmination of the more than 20 years Chief Investment Office Chris Versace spent analyzing industries and companies.  Read More >>