CHICAGO--(BUSINESS WIRE)--Nuveen Asset Management, a multi-asset class affiliate of Nuveen Investments, today announced Chief Equity Strategist and Senior Portfolio Manager Bob Doll has released his mid-year investment outlook.
The U.S. economy is coming off of a bumpy first quarter and is likely to face a measure of volatility from abroad and in response to the widely anticipated start of interest rate hikes from the Federal Reserve. Despite that backdrop, Doll believes that the market is at a turning point as many of the headwinds of late 2014 are fading and the earnings outlook for companies should begin to gain some momentum in the second half of 2015. Doll notes in his outlook that the earnings picture should brighten as continued low energy prices, which have acted as a de facto tax cut for consumers, should accelerate consumer spending with people taking advantage of this “energy dividend,” contributing to a wide range of non-energy companies achieving better revenues, profits and earnings.
However, Doll cautions that, “Volatility is likely to rise, and some sort of corrective action is a distinct possibility in the months ahead.” He adds that while future equity gains may be moderate when compared with those of the more exciting earlier phase of the bull market of the last several years, his outlook remains constructive. Furthermore, he states that equity gains remain on track to provide positive returns and importantly, better results than what can be found in other asset classes. “The key for investors going forward is to stick with equities, but be more selective. Cash flow remains an important feature in looking at companies and investors should remain focused on dividend growth and solid, sustainable long-term earnings trends,” notes Doll.
To view the entire mid-year outlook, please visit http://www.nuveen.com/Commentary/BobDoll/TenPredictions.aspx.
Large Cap Equity Series
In the two years since the new suite of large-cap equity mutual funds managed by Bob Doll was introduced, these diversified offerings have helped address the needs of a variety of investors looking to access the equity market. Celebrating their second anniversary, the funds in the series continue to show sustained strength and momentum. The funds’ performance can be attributed to a combination of focused stock selection and positioning the portfolios for the continued strengthening of the U.S. and global economies.
“We are proud of the results we have achieved for investors in our suite of investment strategies,” Doll said. “As we look ahead toward the second half of 2015, we remain focused on free cash flow, low valuations, and economic sensitivity with above-average secular growth potential. Together, we believe these factors will continue to support the investment needs of our clients.”
With funds in the traditional, specialty, and alternative styles, the series of strategies seeks long-term capital appreciation through balancing quantitative analysis with fundamental research in constructing a portfolio of securities of companies that we believe to have compelling business fundamentals. Highlights from funds in each of the three styles include:
Nuveen Large Cap Core Fund (NLACX) – A large-cap strategy that may serve as an equity anchor to an investor’s portfolio while seeking capital appreciation over full market cycles.
Nuveen Concentrated Core Fund (NCADX) – Exposure to growth-oriented, large capitalization stocks in a risk-managed approach in a risk-managed portfolio of large-cap stocks.
Nuveen Large Cap Core Plus Fund (NLAPX) – A strategy that establishes long and short positions in a diversified portfolio of equity securities.
The investment process for the suite of strategies is based on a balance of fundamental and quantitative inputs. Doll is supported by a team of Nuveen Asset Management analysts that perform in-depth company-specific and quantitative analysis. This approach has allowed the team to focus on taking what it believes are the right risks on behalf of investors. "The cornerstone to our two-year track record in NLACX, NCADX and NLAPX is our consistent and disciplined investment philosophy and process,” Doll said.
For complete information on these mutual funds—many of which are also available as a retail managed account and as an institutional account—visit http://www.nuveen.com/MutualFunds/LCES/Large-Cap-Equity-Series.aspx.
Additionally, investors and advisors looking to keep up-to-date with and subscribe to Bob Doll’s week commentary and special market reports can visit http://www.nuveen.com/Commentary/BobDoll/WeeklyCommentary.aspx.
Nuveen Investments provides high-quality investment services designed to help secure the long-term goals of institutional and individual investors as well as the consultants and financial advisors who serve them. Nuveen Investments markets a wide range of specialized investment solutions which provide investors access to capabilities of its high-quality boutique investment affiliates—Nuveen Asset Management, LLC, Symphony Asset Management LLC, NWQ Investment Management Company, LLC, Santa Barbara Asset Management, LLC, Tradewinds Global Investors, LLC, Winslow Capital Management, LLC and Gresham Investment Management LLC, all of which are registered investment advisers and independent investment subsidiaries of Nuveen Investments, Inc. Funds distributed by Nuveen Securities, LLC, a subsidiary of Nuveen Investments, Inc. Nuveen Investments operates as a separate subsidiary within TIAA-CREF, which is a leading provider of retirement and financial services in the academic, research, medical and cultural fields. In total, Nuveen Investments managed approximately $233 billion as of March 31, 2015. For more information, please visit the Nuveen Investments website at www.nuveen.com.
Past performance is no guarantee of future results. The views and opinions expressed are for informational and educational purposes only as of the date of writing and may change at any time based on market or other conditions and may not come to pass. This material is not intended to be relied upon as investment advice or recommendations, does not constitute a solicitation to buy or sell securities and should not be considered specific legal, investment or tax advice. The information provided does not take into account the specific objectives, financial situation, or particular needs of any specific person. Certain information contained herein is based upon third-party sources, which we believe to be reliable, but is not guaranteed for accuracy or completeness. Nuveen Asset Management, LLC is a registered investment adviser and an affiliate of Nuveen Investments, Inc.
Mutual fund investing involves risk; principal loss is possible. There is no guarantee the fund’s investment objectives will be achieved. The value of equity securities may decline significantly over short or extended periods of time.
The Nuveen Concentrated Core Fund is non-diversified, meaning it may invest a larger portion of its assets in the securities of a limited number of issuers and may be more sensitive to any single economic, business, political or regulatory occurrence than a diversified fund. The Nuveen Large Cap Core Plus Fund sells securities that it has borrowed but does not own (“short sales”), which is a speculative technique. The fund will suffer a loss when the price of a security that it holds long decreases or the price of a security that it has sold short increases. Losses on short sales arise from increases in the value of the security sold short, and therefore are theoretically unlimited. Because the fund invests in both long and short equity positions, the fund has overall exposure to changes in value of equity securities that is far greater than its net asset value. This may magnify gains and losses and increase the volatility of the fund’s returns. In addition, the use of short sales will increase the fund’s expenses. More information on these risks considerations, as well as information on other risks to which the fund is subject, such as futures contract and large cap stock risks, are included in the fund’s prospectus.
Before investing, carefully consider fund investment objectives, risks, charges and expenses. For this and other information that should be read carefully, please request a prospectus or summary prospectus from your financial advisor or Nuveen Investments at 800.257.8787 or visit nuveen.com.
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