OUR VIEW
 
Market Commentary 12/31/19

Repo Man

Repo Man was a 1985 science fiction black comedy that became a cult classic. The main character was Otto Maddox, a punk rocker in LA who lost his job, lost his girlfriend to his best friend, and found that his hippy parents had squandered the money that they set aside for his education. While wandering the streets he is offered the opportunity to work repossessing cars, which he initially refuses. He changes his mind, and Otto, the once reluctant repo man, learns of a Chevy Malibu with a high repo bounty. The car is apparently possessed by aliens, but Otto and a mechanic from the repo shop finally grab the car, and when they do it suddenly flies them over the LA skyline and into space.

Early on, Fed Chairman Jerome Powell seemed to be a reluctant repo man, and some of his critics probably hoped that he would get launched into space, as well. Remember that early last year Powell set Fed policy on a course to normalize interest rates and reduce the Fed’s balance sheet as the economy showed signs of improvement. That policy raised concerns among critics who lobbied for additional stimulus, but the markets seemed to take it in stride. Things changed later in the year amid signs of economic uncertainty, compounded by Powell’s reluctance to slow the balance sheet runoff. Late in the year the markets reacted negatively, driving large-cap stocks down 15% and small-cap stocks down over 20%. As the markets hit bottom on December 26, Powell clearly made the decision to terminate the balance sheet runoff and lower rates. When the change was announced early in 2019 the markets reacted immediately, beginning a rebound that pushed the stock markets up and interest rates down.

More >

 

   
QUICK LINKS       
         
  MUTUAL FUNDS

> Manor Fund
> Growth Fund
> Bond Fund
> Performance
> Fund Fact Sheets
> Prospectus
> Fund Information
 
Established in 1994, Morris Capital Advisors, LLC, provides Conservative Growth-Oriented Investment Management and Distinctive Service for selected clients.

We build long-term successful client relationships through:
  • Sound investment strategies.
    Built on a rigorous analytical process with a long-term horizon, supplemented by an experienced view of the markets
  • Client-driven approach.
    Based on a clear understanding of client goals and objectives, and active and ongoing client communications

  INDIVIDUAL INVESTMENT SERVICES  
 

> Learn more about Morris Capital Advisors, LLC

 

 
SIGN UP FOR UPDATES
 


> Download our Newsletter

 
Our promise
Seek to produce consistent, competitive returns, with the goal to help eliminate the conflicts of interest that can often negatively impact results.

Our goal
Maintain a client-driven firm clearly focused on the needs and objectives of each client, owned by principals believing in what we do, investing together with clients in a true partnership relationship.
 
 
     

Privacy | Disclaimer | Directions | Contact Us | Morris Capital Advisors, LLC | 15 Chester Commons, Malvern, PA 19355 | phone: 610-722-0900 | toll-free: 800-787-3334 | fax: 610-725-8003


Morris Capital Advisors serves as the investment advisor to the Manor Investments Funds and receives a fee for its services.Shares of the Manor Investment Funds are distributed by Foreside Fund Services. FFS is not affiliated with Morris Capital Advisors or Manor Investment Funds.