A roll-on/roll-off ship is docked at a berth loading vehicles for export at Lianyungang Port in Jiangsu Province on March 31, 2026:. Photo: Visual China Group (VCG) After three decades of breakneck expansion, China’s economic engine reached its peak velocity in early 2010. Since then, we have gradually transitioned into an era of medium-speed growth. In the process, the fundamental constraint on o...
A roll-on/roll-off ship is docked at a berth loading vehicles for export at Lianyungang Port in Jiangsu Province on March 31, 2026:. Photo: Visual China Group (VCG) After three decades of breakneck expansion, China’s economic engine reached its peak velocity in early 2010. Since then, we have gradually transitioned into an era of medium-speed growth. In the process, the fundamental constraint on our economy has inverted: we no longer suffer from a shortage of supply, but rather a stubborn shortage of demand. Today, China hovers at a precarious threshold, with a per capita income of roughly $10,000. Historical data shows this is a highly unstable phase for developing nations. Since World War II, only a handful of large economies, such as Japan and South Korea, have successfully crossed this threshold into high-income status. Many more have languished in the so-called middle-income trap. As China begins implementing its 15th Five-Year Plan, understanding these international precedents is paramount.
A quiet but consequential shift is reshaping the global artificial intelligence competition, and it has little to do with which country builds the most powerful model. Jensen Huang did not mean to describe a geopolitical strategy. But when Nvidia’s chief executive declared, “Your workload is inference, your tokens are your commodity, and that compute is your revenue,” he was articulating, from the...
A quiet but consequential shift is reshaping the global artificial intelligence competition, and it has little to do with which country builds the most powerful model. Jensen Huang did not mean to describe a geopolitical strategy. But when Nvidia’s chief executive declared, “Your workload is inference, your tokens are your commodity, and that compute is your revenue,” he was articulating, from the supply side, something China had concluded from the other direction. To understand why, start with...
klamb_s/iStock via Getty Images Strategy's ( MSTR ) Variable Rate Series A Perpetual Stretch Preferreds ( STRC ) offer an attractive double-digit dividend yield on a monthly distribution schedule that's attractive for yield-hungry investors looking for a low-risk security to gain exposure to Bitcoin ( BTC-USD ). The risks are material. MSTR's traditional operating unit does not generate material r...
klamb_s/iStock via Getty Images Strategy's ( MSTR ) Variable Rate Series A Perpetual Stretch Preferreds ( STRC ) offer an attractive double-digit dividend yield on a monthly distribution schedule that's attractive for yield-hungry investors looking for a low-risk security to gain exposure to Bitcoin ( BTC-USD ). The risks are material. MSTR's traditional operating unit does not generate material revenue, profit, or positive cash flows . Instead, the company relies on a type of financial engineering that requires the maintenance of a positive market price to net asset value ("mNAV") to issue new common stock in perpetuity to raise liquidity needed to buy more BTC and to service the coupons and interest payments on preferreds and debt held on their balance sheet. STRC last paid out a monthly cash dividend of $0.96 per share , unchanged from the prior distribution, and $11.52 per share annualized for an 11.50% dividend yield. Strategy STRC IPO Document The risk with investing in fixed income comes from duration and a possible suspension or default on its coupons. If I'm buying STRC, I want to know MSTR can stay current on its monthly coupon payments forever, as STRC is a perpetual security. This means there is no maturity date when MSTR will be obligated to pay back the full outstanding amount of the preferreds at their $100 per share par value. These started trading on the NASDAQ in the summer of 2025, with MSTR expanding its universe of public trading USD preferreds to four. STRC has 70,435,000 shares authorized, with 29,587,000 shares issued and outstanding as of the end of its fiscal 2025 fourth quarter. Strategy Fiscal 2025 Form 10-K STRC is currently the only monthly-paying preferred in this universe. The $100 per share redemption value acts as an anchor for the preferreds, with any variation limited so far, even with BTC prices down significantly from their recent peak. STRC's 52-week low of $88 per share represents a 12% drawdown from the par value, with the st...
Thapana Onphalai/iStock via Getty Images Q1 2026 Market Review The Davenport Equity Opportunities Fund ( DEOPX ) declined 3.86% during the first quarter of 2026, trailing the 1.29% gain for the Russell Mid Cap® Index. Despite behaving resiliently through much of the quarter, our lack of exposure to the energy sector combined with overweights in Consumer, Financials and Industrials weighed on relat...
Thapana Onphalai/iStock via Getty Images Q1 2026 Market Review The Davenport Equity Opportunities Fund ( DEOPX ) declined 3.86% during the first quarter of 2026, trailing the 1.29% gain for the Russell Mid Cap® Index. Despite behaving resiliently through much of the quarter, our lack of exposure to the energy sector combined with overweights in Consumer, Financials and Industrials weighed on relative performance as oil spiked and economically sensitive names swooned alongside war in Iran. Fund Update Contributors: Generac Holdings, Inc. ( GNRC ) was the Fund's top contributor for the period, with shares surging north of 40% on solid results, elevated severe weather threats and continued momentum in the company's emerging datacenter vertical. Other top performers included Clean Harbors, Inc. ( CLH ) and Casey's General Stores, Inc. ( CASY ). Caesar's Entertainment, Inc. ( CZR ), which at one point had rallied more than 25% year-to-date on takeout rumors, gave up roughly half of this move as volatility and risk aversion related to the Iran conflict seeped into the narrative. While the timing of a deal may be pushed out, we believe the interest is real, highlighting the extreme disconnect between the stock price and intrinsic value. Detractors: Key detractors during the period included Draftkings, Inc. ( DKNG ) and Take-Two Interactive Software, Inc. ( TTWO ), both of which are dealing with their own specific "disruption" narratives we believe to be misplaced. Other detractors included Mobileye Global, Inc. ( MBLY ) and Agilent Technologies, Inc. ( A ). While we elected to move on from MBLY in order to recycle capital into higher conviction ideas, we added to our position in Agilent, as we view the company's growth objectives as achievable and think the valuation is compelling. Fund Activity The threat of AI disruption, in some cases even the mention of it, has sent shockwaves through the investing world. While it has been slow to show up in employment data or other ta...
Lighthouse Films/DigitalVision via Getty Images Moderna Overview An increasingly common phenomenon, the FDA has reversed its prior Refuse to File (RTF) decision on Moderna’s ( MRNA ) investigational seasonal influenza vaccine, mRNA-1010. The original debate was over Moderna’s decision to test mRNA-1010 against an older, weaker standard-dose vaccine in seniors. Although I, and many, believed the RT...
Lighthouse Films/DigitalVision via Getty Images Moderna Overview An increasingly common phenomenon, the FDA has reversed its prior Refuse to File (RTF) decision on Moderna’s ( MRNA ) investigational seasonal influenza vaccine, mRNA-1010. The original debate was over Moderna’s decision to test mRNA-1010 against an older, weaker standard-dose vaccine in seniors. Although I, and many, believed the RTF seemed hasty (it implies the FDA didn’t even review the package), I thought another trial was likely. This would’ve pushed mRNA-1010 back considerably, with a dual effect of missing out on the upcoming influenza season and giving its competitors time to play "catch-up." It also seemed like the mRNA-1010 RTF had implications for Moderna’s broader pipeline efforts. Of course, this was all happening amid Moderna’s post-COVID hangover. The company went from “riches to rags” ($12.2B net income in 2021 → $2.8B net loss in 2025) after the demand of its COVID vaccine plummeted. Much of the public does not trust mRNA technology (warranted or not). And billions invested in R&D over the years has yet to pay off. Moderna has become a “battleground” stock, with its proponents convinced of its practice-changing technology, and its doubters impatiently tapping their wristwatches. Although I’d position myself somewhere in the middle, I’ve leaned bearish , even amid the recent stock "resurgence." Data by YCharts I see it, though, more as a “sigh of relief.” Moderna has been capping its spending, and recent financing has extended its runway. At the end of the day, though, Moderna is tasked with getting blockbuster drugs to the market amid regulatory and public skepticism. mRNA-1010 mRNA-1010’s PDUFA date is now set to August 5, 2026, just in time for the 2026/2027 influenza season. This followed a Type A meeting between Moderna and the FDA. Should mRNA-1010 be greenlit, it will enter a crowded market. Author's Compilation Moderna will even potentially face future competition from other mRN...
sonsam/iStock via Getty Images Overview When I previously covered the Voya Global Equity Dividend and Premium Opportunity Fund ( IGD ), I issued a sell rating due to the inconsistent earnings and questionable payout sustainability. Since my last coverage, the fund has done quite well and actually outperformed the S&P 500. However, I don't think this recent outperformance should mask the underlying...
sonsam/iStock via Getty Images Overview When I previously covered the Voya Global Equity Dividend and Premium Opportunity Fund ( IGD ), I issued a sell rating due to the inconsistent earnings and questionable payout sustainability. Since my last coverage, the fund has done quite well and actually outperformed the S&P 500. However, I don't think this recent outperformance should mask the underlying flaws of the fund. IGD recently released an updated semi-annual report for 2026, which also prompted me to revisit the fund's internal performance, outlook, and risk profile. At the time of my last coverage, the fund traded at a discount to NAV of 5.30%. Now that the market is experiencing a bit of a recovery, IGD now trades at a slightly smaller discount to NAV of 5.18%. Despite the fund's discount to NAV valuation, this doesn't automatically mean that it is a good time to accumulate shares. For instance, IGD has traded at an average discount to NAV of 9.31% over the last five years. Referring to the red line on the graph below, IGD's price now trades at the higher end of its price to NAV range, which means that the fund is now relatively expensive. CEF Data The fund now offers a starting dividend yield of 10.2%, which makes it an enticing choice for income investors. However, I believe that the high yield is hurting the underlying NAV of the fund and negatively impacting the long-term performance. It appears that the distribution policy is simply too generous at the fund would benefit from a reduction. IGD includes an option writing strategy as part of its portfolio approach, which limits price growth and in favor for a high current income. Fund Strategy According to the latest portfolio overview, the fund has total net assets of $481M that are spread across a diverse range of equities. The fund's primary objective is to achieve a high level of income generation, while also capturing capital appreciation when possible. In order to achieve this goal, the fund invests in g...
Key PointsAlthough the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite have thrived throughout most of the decade, the winds of change may be blowing on Wall Street.
Key PointsAlthough the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite have thrived throughout most of the decade, the winds of change may be blowing on Wall Street.