Money Clip

Blog by Matthias Paul Kuhlmey


Matthias Paul Kuhlmey is a Managing Director & Partner at HighTower Advisors, where he serves as wealth manager to High Net Worth and Ultra-High Net Worth Individuals, Family Offices, and Institutions.

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  • Hangin’ With the Rich Kids

    Friday, May 22, 2015

    Posted by: Matthias Paul Kuhlmey

    http://wealthmanagement.com/viewpoints/hangin-rich-kids

    Growing up in a rather standard middle-class family never made me ponder the social divides in the world. In fact, the rich did not seem to be so much different, which in my case could have been attributed to the German “northern charm” (dedicated modesty, regardless of status). More serious wealth, on the other hand, was often the result of multi-generational family endeavors and quite commonly accepted. Today, the distinction is far more difficult. Not only is the gap between the “haves” and others widening materially, but cheap money and credit often serve as a basis for perceived wealth. Entire cities seem to have become a “playground” for the super wealthy (see my previous entry,From Mayfair to Boardwalk), and, at least according to the “Rich Kids of Instagram,” it is also cool to shove your “good life” in everyone’s faces. While this may not be the ideal forum to delve into the socioeconomic complexities of a divided world (which I continue to view critically) or my “northern charm” kind of wanting to push some of these Insta-kids around, it is nevertheless important to discuss the notion that the rich are becoming richer—much richer.

    To continue reading, please click here for the full article

  • Losing Interest

    Friday, May 15, 2015

    2

    Posted by: Matthias Paul Kuhlmey

    http://wealthmanagement.com/viewpoints/losing-interest

    There is nothing better than messing with the Google search bar, especially with the auto complete function. Here’s a good example: When typing “interest rates will …” four out of the five options offered by the crafty engine to complete the sentence call for rates to go lower or stay low forever—certainly not what the market has been experiencing and (!) fearing since last week. The eight percent rise in the U.S. 10-year yield has spooked many investors and caused some volatility in equity markets. To get a sense of direction, or even better, to get the direction right is the +$100 trillion question (the estimated size of the global debt market at 2014 figures). Whereas many conditions remain in place that call for lower rates, an immediate risk of rates moving higher is being conveyed by current chart formations.

    To continue reading, please click here for the full article

  • Cybermen

    Thursday, May 7, 2015

    Posted by: Matthias Paul Kuhlmey

    http://wealthmanagement.com/viewpoints/cybermen

    In case you are not a deeply committed sci-fi fan, Cybermen were a creation of the 1960s British television series, Dr. Who. Over time, these once-organic creatures replaced their body parts with artificial ones, mainly in order to optimize their self-preservation. With a bit of imagination, we could make the argument that today’s lifestyle is becoming eerily similar. Maybe not so much in the body-parts department, but the automation of core functions has become commonplace. Modern society is now dominated by networks that are not only social, but cyber,in nature—including information technology, computers, and virtual reality.

    To continue reading, please click here for the full article.

  • Would You Like to Buy an E?

    Friday, May 1, 2015

    Posted by: Matthias Paul Kuhlmey

    http://wealthmanagement.com/viewpoints/would-you-buy-e

    The letter E appears to be a peculiar one—not only lending its character to street names (and bands, for that matter), but also stirring up controversy in the scientific realm, with the famous Einstein formula being criticized as inaccurate. Some years ago, I even went on record and accused the E of being wrong altogether (parts one and two). Given the state of the current earnings (E) season, it is time to revisit my previous claim, especially in justification of the P (price) being paid for stocks. At a current (trailing) P/E ratio of 18.7, the claim can be made that U.S. equities are not exactly a bargain.

    To continue reading, please click here for the full article.

  • #GigEconomy

    Thursday, April 30, 2015

    Posted by: Matthias Paul Kuhlmey

    As featured at HuffingtonPost.com

    http://www.huffingtonpost.com/matthias-paul-kuhlmey/gigeconomy_b_7172746.html

    At least to me, MTV is still cool–and now, apparently, so are hashtags. Today’s #youth (that’s “hashtag youth”) won’t remember, but it was revolutionary when the once exclusively music-video-blasting television channel created reality TV, with the debut of The Real World in 1992. It did not end there–MTV went further to even address economic issues, with the comedy-drama, Underemployed, focused on a group of friends struggling to make strides in the working world. Similar to the show not making it past its first season, most of today’s underemployed may have a limited path of opportunity.

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  • Dry Spell

    Thursday, April 23, 2015

    Posted by: Matthias Paul Kuhlmey

    http://wealthmanagement.com/viewpoints/dry-spell

    All too vividly, I remember a stroll down Fifth Avenue some years ago with a close friend of mine, and his outright laughter when we passed a computer retailer displaying a rather unpopular (back then) product: a Mac. Today, of course, we all want to appear (or claim to be) much smarter, having seen such a major trend develop right in front of our eyes. Yet, hardly anyone bought Apple stock (to my recollection) when it was really, really cheap. And here we go again: It’s time to rack our brains about how to anticipate the next big trend, and, consequently, load up on those new stock opportunities right at the get-go.

    To continue reading, please click here for the full article.