Latest news with #KateEl-Hillow
Business Wire
3 days ago
- Business
- Business Wire
Russell Investments Enters ETF Market With Five New Multi-Manager Products
SEATTLE--(BUSINESS WIRE)--Russell Investments announced today that it has launched five ETFs that give U.S. investors the ability to leverage its open-architecture, multi-manager portfolios in an active ETF. The initial lineup of funds incorporates the following active strategies: U.S. small cap equity, international developed markets equity, global equity, emerging markets equity, and global infrastructure. "Investors have ambitious financial goals, and we believe they should have access to every possible advantage in pursuing them,' said Kate El-Hillow, president and chief investment officer, Russell Investments. "We believe these ETFs are a game-changer as building blocks for advisors and investors looking to maximize exposure to specialist active management in key global asset classes without the complication of researching managers and constructing portfolios themselves. We designed these ETFs to reflect our disciplined, multi-manager investment process—delivered in a way that's accessible for individual investors." "We are excited to use the ETF structure to deliver our best investment ideas to our advisor and investor partners,' said Brad Jung, head of advisor and intermediary solutions for North America at Russell Investments. 'Our open-architecture approach brings together leading managers and diverse investment strategies into an ETF wrapper. We're making it even easier for advisors to deliver sophisticated, active management while spending more time on what truly sets them apart—building stronger client relationships." 'Russell Investments has been researching managers for more than five decades,' said Edward Rosenberg, head of ETF product at Russell Investments. 'Strong manager research and a unique time-tested approach to blending multiple investments into one portfolio are a powerful combination.' The five new funds began trading on the NASDAQ in May. Multi-manager portfolio innovation Russell Investments continues to advance its long-standing multi-manager approach, tapping its deep global research network to identify and combine leading investment strategies. Through a disciplined process of evaluating investment managers around the world—their people, processes, and philosophy, the firm aims to build portfolios that are well-diversified and positioned for long-term success. This approach provides investors with access to a broad range of specialist managers and investment styles, helping to mitigate concentration risk and incorporate views from high-conviction managers. Russell Investments' global scale supports broad research access and deep manager due diligence, which inform the design of these ETFs. The firm's commitment to rigorous oversight is reflected in its more than 1,800 annual manager meetings, supporting ongoing due diligence and performance monitoring. Proprietary portfolio construction approach Russell Investments ETFs seek to provide complementary security selection strategies within a single investment. The firm starts by blending managers with diverse investment styles. It then optimizes the portfolio to retain those insights while working to constrain portfolio turnover and manage transaction costs, among other objectives. The result is a structure designed to drive consistent, risk-adjusted performance. About Russell Investments Russell Investments is a leading global investment solutions partner providing a wide range of investment capabilities to institutional investors, financial intermediaries, and individual investors around the world. Since 1936, Russell Investments has been building a legacy of continuous innovation to deliver exceptional value to clients, working every day to improve people's financial security. The firm has $332 billion in assets under management (as of 3/31/25) for clients in 30 countries. Headquartered in Seattle, Washington, Russell Investments has offices in 17 cities around the world. Fund objectives, risks, charges and expenses should be carefully considered before investing. A summary prospectus, if available, or a prospectus containing this and other important information can be obtained by calling 800-787-7354 or by visiting Please read the prospectus carefully before investing. Important Risk Disclosures ETF investing involves risk. Principal loss is possible. Fund shares are not individually redeemable and are issued and redeemed by the Fund at their net asset value ("NAV") only in large, specified blocks of shares called creation units. Shares otherwise can be bought and sold only in the secondary market at market price (not NAV). Shares may trade at a premium or discount to their NAV in the secondary market. Brokerage commissions will reduce returns. Unlike passively managed ETFs, actively managed ETFs do not attempt to track or replicate an index. The Fund's investment decisions are made at the discretion of its portfolio managers, and there is no guarantee that the strategies used will be successful. The Fund may underperform other funds with similar investment objectives, including those that track an index. Please remember that all investments carry some level of risk, including the potential loss of principal invested. They do not typically grow at an even rate of return and may experience negative growth. As with any type of portfolio structuring, attempting to reduce risk and increase return could, at certain times, unintentionally reduce returns. Diversification and multi-asset solutions do not assure a profit and do not protect against loss in declining markets. General Disclosures Russell Investments' ownership is composed of a majority stake held by funds managed by TA Associates Management, L.P., with a significant minority stake held by funds managed by Reverence Capital Partners, L.P. Certain of Russell Investments' employees and Hamilton Lane Advisors, LLC also hold minority, non-controlling, ownership stakes. Frank Russell Company is the owner of the Russell trademarks contained in this material and all trademark rights related to the Russell trademarks, which the members of the Russell Investments group of companies are permitted to use under license from Frank Russell Company. The members of the Russell Investments group of companies are not affiliated in any manner with Frank Russell Company or any entity operating under the 'FTSE RUSSELL' brand. This material is proprietary and may not be reproduced, transferred, or distributed in any form without prior written permission from Russell Investments. It is delivered on an 'as is' basis without warranty. A-00018
Yahoo
21-02-2025
- Business
- Yahoo
Bubbly valuations on 'Magnificent 7' stocks like Tesla offer an all-time great reminder to investors
Listen and subscribe to Opening Bid on Apple Podcasts, Spotify, YouTube, or wherever you find your favorite podcasts. Valuations are still so rich on the "Magnificent Seven" companies that future returns may not be as hearty as in the past — offering a great reminder to investors to stay diversified. "Is the return on investment with some of them really going to play out?" Russell Investments chief investment officer Kate El-Hillow told me on Yahoo Finance's Opening Bid podcast (video above; listen in below). "That's why we really focus on making sure we're running diversified portfolios. It's hard to get out of kind of the way of the Mag 7, and being underweight them can still be a challenge, but really diversifying the portfolio is so important because it is getting overvalued in particular pockets." This embedded content is not available in your region. The Magnificent Seven trade of Meta (META), Amazon (AMZN), Google (GOOG), Apple (AAPL), Nvidia (NVDA), Microsoft (MSFT), and Tesla (TSLA) has been a mixed bag in 2025. Only one of the big-cap tech components — Meta — has meaningfully outperformed the S&P 500 (^GSPC) this year. The stock has strung together an impressive stretch of gains, bringing its year-to-date advance to 18%. As for the others, they have generally hovered around the S&P 500's year-to-date performance of a 4% gain — except for Tesla, which has shed 7%. Despite the middling performance, the Magnificent Seven continues to retain its popularity. "Long Mag 7" remained the most crowded trade, BofA said in its latest fund manager survey this week. The valuations on each Magnificent Seven stock are at noticeable premiums to the S&P 500. Tesla alone is valued at 121 times estimated forward earnings, for example. The S&P 500 trades on a forward price-to-earnings multiple of about 22 times. Amazon has 84 sell-side analysts covering the company, and 79 of them rate the stock a Buy, per new data from Trivariate Research. In fact, only 4.8% of the 504 total sell-side analyst recommendations on the Magnificent Seven stocks are a Sell, the research outfit said. El-Hillow said her clients aren't excited to own the Magnificent Seven, but they do it in targeted ways so as not to underperform. Industrial and financial stocks continue to look compelling, El-Hillow added. "Normally, this kind of valuation, beta, and capital spending would be accompanied by a highly certain future revenue growth and the expectation of sustained stability of that growth," Trivariate Research founder Adam Parker said. "However, today's outlook seems increasingly tenuous given the disruptive nature of AI and the rapidly changing landscape of software development. Investors should be lowering their exposure to the basket of AI stocks." Brian Sozzi is Yahoo Finance's Executive Editor. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email Sign in to access your portfolio
Yahoo
20-02-2025
- Business
- Yahoo
What Nvidia bulls are whispering about before its big earnings report
The Street is sticking with Nvidia (NVDA) into its market-moving earnings report next week. Despite China-based DeepSeek rocking the super bullish AI thesis earlier this year, Wall Street still sees Nvidia profitting from the global buildout of AI infrastructure. Aggressive 2025 capital expenditures assumptions by hyperscalers such as Amazon (AMZN) and Meta (META) shared during this earnings season underscore the point. "Over the coming decades the investment [in artificial intelligence] is happening," Russell Investments chief investment officer Kate El-Hillow tells me. See for yourself — The Yodel is the go-to source for daily news, entertainment and feel-good stories. By signing up, you agree to our Terms and Privacy Policy. However, that's not to say there aren't signs of caution going into Nvidia's earnings report. Yahoo Finance data shows Nvidia's first quarter earnings per share (EPS) trend has drifted modestly lower over the past 30 days. The Street has also not pushed up its 2025 EPS estimates on Nvidia for more than 60 days. Nvidia is also among the most cheaply valued AI stocks at the moment. On a forward price-to-earnings (PE) multiple basis, Yahoo Finance data shows Nvidia trading at 32 times. Broadcom (AVGO) and Marvell Technology (MRVL) are valued at 35 times and 41 times, respectively. Arm Holdings (ARM) clocks in at 76 times. "I would say I wouldn't want to be Jensen [Nvidia CEO Jensen Huang] necessarily because, wow, other people are working on the same things," Microsoft (MSFT) co-founder Bill Gates told me on Yahoo Finance's Opening Bid podcast (listen in below). Here are the vibes on the Street a few days ahead of Nvidia's earnings on Feb. 26. Rating: Reiterated Buy Price Target: $175, down from $185 "Despite recent concerns over the long-term demand impact from DeepSeek's lower cost approach, most of the hyperscalers have actually revised up 2025 capex by 4%-26% during the earnings season, supporting our thesis that overall AI GPU demand outlook remains strong." "Nevertheless, we are lowering our FY26 estimate for data center revenue by 11% to $209 billion on the back of lower NVL rack [Nvidia data center product] assumptions, but our FY26 data center revenue forecast still remains 14% above consensus of $184 billion. However, we believe there remains greater pressure for Nvidia to deliver stronger second half fiscal year momentum on the back of its B300/GB300 roadmap to see if there is potential room for further upside." Rating: Reiterated Overweight Price Target: $190, up from $180 "While we do believe that manufacturing constraints are limiting shipments of GB200 NVL server racks, we believe this will be more than offset by the following: 1) given the lower initial manufacturing yields of GB200 NVL, we believe customers have been able to push out orders of GB200 and backfill with HGX-based B200 servers with x86 head nodes; 2) DeepSeek, as well as limited supply of Huawei's Ascend AI ASIC [custom chip], has created a surge in demand for H20 GPUs from China CSPs; 3) we believe Nvidia's customers, especially communications service providers, are financing its inventory at EMS providers, so effectively sell-in shipments from Nvidi to EMS are recognized as revenues. As such, we are raising estimates and our price target and believe Nvidia's strong results should alleviate any concerns that DeepSeek could derail near-term AI capex intensity." Rating: Reiterated Buy Price Target: $175, reiterated "Big picture we believe that two to three year Street numbers remain low as our work with both customers and the Nvidia build ecosystem points [to] ... Nvidia GPU reaching 10 million to 12 million as hyperscalers look to increase their percentage on non-CPU compute to 50% plus in coming years (from ~10% currently)." "Remember … for Nvidia the story is accelerated compute + Gen AI, which means it is facing two $1.0 trillion compute market opportunities ahead of it in coming years, each of which is just at the very start." Rating: Reiterated Buy Price Target: $190, reiterated "We expect a modest fourth quarter beat but the first quarter outlook could face headwinds from Blackwell transition, Hopper declines and China restrictions." "The stock could be volatile post results, but we expect positive momentum to resume as investors look forward to Nvidia's leading new product pipeline (GB300, Rubin) and total addressable market expansion into robotics and quantum technologies at upcoming GTC conference (March 17)." Rating: Reiterated Outperform Price Target: $190, reiterated "Nvidia remains the platform of choice for hyperscalers' customers, the robustness of its software ecosystem and breadth of its development community put it 5 -10 years ahead of anything else in the market. AMD and Amazon AWS ecosystems are a distant #2 and #3." Brian Sozzi is Yahoo Finance's Executive Editor. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email
Yahoo
20-02-2025
- Business
- Yahoo
What Nvidia bulls are whispering about before its big earnings report
The Street is sticking with Nvidia (NVDA) into its market-moving earnings report next week. Despite china-based DeepSeek coming out to rock the super bullish AI thesis earlier this year, Wall Street still sees Nvidia cleaning up from the buildout of AI infrastructure globally. Aggressive 2025 capex assumptions by hyperscalers such as Amazon (AMZN) and Meta (META) shared during this earnings season underscore the point. "Over the coming decades the investment [in AI] is happening," Russell Investments CIO Kate El-Hillow tells me. However, that's not to say there aren't signs of caution going into Nvidia's earnings report. Yahoo Finance data shows Nvidia's first quarter earnings per share trend has drifted modestly lower over the past 30 days. The Street has also not pushed up its 2025 EPS estimates on Nvidia for more than 60 days. Nvidia is also among the most cheaply valued AI stocks at the moment. On a forward price to earnings (PE) multiple basis, Yahoo Finance data shows Nvidia trading at 32 times. Broadcom (AVGO) and Marvell Technology (MRVL) are valued at 35 times and 41 times, respectively. Arm Holdings (ARM) clocks in at 76 times. "I would say I wouldn't want to be Jensen [Nvidia CEO Jensen Huang] necessarily because wow, other people are working on the same things," Microsoft (MSFT) co-founder Bill Gates told me on Yahoo Finance's Opening Bid podcast (listen in below). This embedded content is not available in your region. Here are the vibes on the Street a few days ahead of Nvidia's earnings on February 26. Rating: Reiterated Buy Price Target: $175, down from $185 "Despite recent concerns over the long-term demand impact from DeepSeek's lower cost approach, most of the hyperscalers have actually revised up 2025 capex by 4%-26% during the earnings season, supporting our thesis that overall AI GPU demand outlook remains strong. Nevertheless, we are lowering our FY26 estimate for data center revenue by 11% to $209 billion on the back of lower NVL rack [Nvidia data center product] assumptions, but our FY26 data center revenue forecast still remains 14% above consensus of $184 billion. However, we believe there remains greater pressure for Nvidia to deliver stronger second half fiscal year momentum on the back of its B300/GB300 roadmap to see if there is potential room for further upside." Rating: Reiterated Overweight Price Target: $190, up from $180 "While we do believe that manufacturing constraints are limiting shipments of GB200 NVL server racks, we believe this will be more than offset by the following: 1) given the lower initial manufacturing yields of GB200 NVL, we believe customers have been able to push out orders of GB200 and backfill with HGX-based B200 servers with x86 head nodes; 2) DeepSeek, as well as limited supply of Huawei's Ascend AI ASIC [custom chip], has created a surge in demand for H20 GPUs from China CSPs; 3) we believe Nvidia's customers, especially communications service providers, are financing its inventory at EMS providers, so effectively sell-in shipments from Nvidi to EMS are recognized as revenues. As such, we are raising estimates and our price target and believe Nvidia's strong results should alleviate any concerns that DeepSeek could derail near-term AI capex intensity." Rating: Reiterated Buy Price Target: $175, reiterated "Big picture we believe that two to three year Street numbers remain low as our work with both customers and the Nvidia build ecosystem points [to] ... Nvidia GPU reaching 10 million to 12 million as hyperscalers look to increase their percentage on non-CPU compute to 50% plus in coming years (from ~10% currently). Remember … for Nvidia the story is accelerated compute + Gen AI, which means it is facing two $1.0 trillion compute market opportunities ahead of it in coming years, each of which is just at the very start." Rating: Reiterated Buy Price Target: $190, reiterated "We expect a modest fourth quarter beat but the first quarter outlook could face headwinds from Blackwell transition, Hopper declines and China restrictions," BofA analyst Vivek Arya wrote in a note on Tuesday. "The stock could be volatile post results, but we expect positive momentum to resume as investors look forward to Nvidia's leading new product pipeline (GB300, Rubin) and total addressable market expansion into robotics and quantum technologies at upcoming GTC conference (March 17)." Rating: Reiterated Outperform Price Target: $190, reiterated "Nvidia remains the platform of choice for hyperscalers' customers, the robustness of its software ecosystem and breadth of its development community put it 5 -10 years ahead of anything else in the market. AMD (AMD) and Amazon (AMZN) AWS ecosystems are a distant #2 and #3." Brian Sozzi is Yahoo Finance's Executive Editor. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email Sign in to access your portfolio
