Structured notes, once reserved for hedge funds and ultra-wealthy investors, have surged in popularity among retail clients thanks to bite-sized offerings, generous yields, and downside protection amid volatile markets. 

These bank-manufactured products, linked to indexes or stocks, use derivatives to offer tailored exposure—whether for income, growth, or buffered loss protection—with some notes capping upside while guarding against market drops. Products like Bank of Montreal’s Nasdaq 100-linked notes offer a fixed return if markets rise, and principal protection if they fall, while others—like buffered or contingent income notes—offer periodic income with defined loss limits. 

As volatility climbs, advisors increasingly recommend these notes to generate income without taking full equity risk, with firms like iCapital reporting major spikes in interest following market shocks. 

Finsum: It’s interesting that high level investors are using structured notes like buffer products in this high volatility environment. 

The US defined contribution (DC) retirement industry, once buoyed by steady asset growth and strong equity markets, now faces a profitability squeeze due to fee compression, demographic shifts, and intensifying competition. As baby boomers retire and withdrawals surpass new contributions, the system is experiencing net outflows, pushing providers to rethink their business models. 

Recordkeepers are seeing administrative fees decline significantly and are increasingly relying on ancillary revenue streams—like brokerage accounts and financial advice—to offset shrinking margins. 

While total DC system revenues rose modestly between 2013 and 2023, the real surge came from retail wealth management, which generated $45 billion in new revenues, reflecting a shift toward participant-centric strategies. Providers are also contending with rising technology and support costs, prompting restructuring, digitization, and outsourcing, even as consolidation gives larger firms scale advantages. 

Finsum: Retirement solutions providers are being forced to adapt quickly, with success increasingly tied to their ability to expand beyond recordkeeping.

Summer 2025 travel trends show strong demand for beach and urban destinations, with top searches on Hilton.com including Los Cabos, San Juan, New York, and Paris. Tripadvisor reports Cancun and Las Vegas as leading international and domestic picks, while experiences like cultural tours and outdoor activities remain a high priority, especially for younger travelers. 

Allianz Partners notes that 71% of Americans are staying stateside, with Seattle, Orlando, and Honolulu topping U.S. itineraries, though international beach locales like Cancun and the Caribbean remain popular. European travel is also rising, with Allianz projecting a 10% increase in U.S. trips to the region, continuing a multi-year surge. 

Meanwhile, Kindred highlights rising travel costs as a growing concern, prompting 90% of U.S. travelers to seek ways to cut expenses. Travelers are shifting toward more affordable lodging options, with many citing frustration over hotel surcharges, rental fees, and limited amenities.

Finsum: Take advantage of the travel this summer with some of these great destinations.

Empower, the $1.8 trillion 401(k) plan provider, will begin offering private credit, equity, and real estate investments in some retirement accounts later this year through partnerships with firms like Apollo and Partners Group. 

This move marks the largest entry yet of private assets into 401(k)-type plans, a $12.4 trillion market that Wall Street firms have long sought access to. While proponents argue private assets can enhance returns and reduce volatility, challenges remain—such as illiquidity, valuation complexity, and higher fees, which range from 1% to 1.6% versus the 0.28% average for typical target-date funds. 

Only select managed account services will offer these investments, with five employers already signed up to participate in the initial rollout. Allocations could range from 5% to 20% of a portfolio, depending on factors like age and risk tolerance.

Finsum: Private markets have definitely gone wide in the last decade but this sort of expansion could really help retirees. 

After Moody’s downgraded the U.S. credit rating from Aaa to Aa1, investors sold off government bonds, driving long-term Treasury yields sharply higher. This spike in yields raises borrowing costs for consumers and businesses alike, potentially slowing economic growth. 

Analysts warned that higher rates could ripple across mortgages, auto loans, and business financing, putting pressure on spending and investment. While credit downgrades by S&P and Fitch in past years had limited long-term economic impact, the timing of Moody’s move—amid heightened bond market volatility and mounting national debt—has amplified market anxiety. 

Some experts view the downgrade as a long-anticipated but symbolically important warning about unsustainable fiscal trends. Still, markets showed resilience, with equities rebounding by midday and Treasury yields pulling back slightly from their highs.

Finsum: Are equities investors neglecting the proper risk to US debt right now? Investors should keep close tabs on how this evolves

JPMorgan CEO Jamie Dimon cautioned that inflation risks remain elevated and markets are too complacent, despite the recent tariff pause between the U.S. and China. Speaking at JPMorgan’s investor day, he emphasized the potential for stagflation—sluggish growth, high unemployment, and persistent inflation—as more likely than many assume. 

While markets rallied on the news of tariff reductions, Dimon noted that the economic impact of still-high duties has yet to fully hit. 

JPMorgan lowered its recession odds for 2025 to 50%, but warned that unresolved trade tensions could reignite instability. Experts echoed that the current tariff rollback is temporary, and the underlying threat of renewed trade conflict looms. 

Finsum: Dimon’s remarks suggest investors are underestimating long-term risks, particularly if inflationary pressures persist amid constrained economic growth.

Large-cap growth funds have recently delivered strong returns, with an average gain of 16.77% over the past year and standout performances from Fidelity, Vanguard, and Loomis Sayles offerings. 

Fidelity Advisor New Insights and Contrafund, managed by veteran Will Danoff, ranked among the top five funds, with returns exceeding 18% annually over the past five years. Loomis Sayles Growth Fund posted the highest three- and five-year gains, driven by a disciplined process and long-term investment strategy. 

Vanguard’s Growth Index and Mega Cap Growth Index funds also performed well, offering low-cost, passive exposure to top-performing large-cap growth stocks. Despite their success, these funds come with risks like high concentration in mega-cap stocks and share class accessibility issues for individual investors. 

Finsum: As interest rates remain high that could provide a relative advantage to large caps over small caps. 

Private credit managers often tout their locked-up capital as a key strength, insulating them from the kind of liquidity runs that plagued banks like Silicon Valley Bank. However, the rise of evergreen vehicles—funds allowing periodic redemptions—has introduced new vulnerabilities, especially as firms like Blackstone and Apollo have raised nearly $300 billion from retail investors. 

While evergreen funds offer some liquidity and mass appeal, especially through wealth advisors, their structure forces managers to continuously invest and meet redemptions, reducing the strategic flexibility that once defined private credit’s advantage. 

This could erode returns, particularly if managers are pressured to lend during inopportune times or sell illiquid assets at discounts to meet withdrawals. Though redemptions are capped and many investments naturally mature over time, a crisis could still lead to redemption surges that slow new lending and strain fund performance. 

Finsum: As evergreens attract less experienced investors and chase more capital, the sector risks undermining its own resilience unless managers remain disciplined and transparent.

As market volatility rattles investors, many are turning to buffer ETFs—funds that limit downside losses in exchange for capped upside gains. These products, offered by firms like Innovator, BlackRock, and Allianz, use options strategies to provide partial protection during market downturns, making them especially appealing during recent selloffs.

In the first months of the year, buffer ETFs attracted nearly $5 billion in inflows, with a sharp pickup in demand during periods of steep market declines, such as the S&P 500’s worst day in 2024. 

While financial advisors increasingly recommend buffer ETFs to nervous clients seeking equity exposure with built-in protection, critics point to their higher fees and reduced potential for gains in strong bull markets. The upside cap investors receive often shrinks in volatile environments, making the cost of protection steeper just when it feels most necessary. 

Finsum: For those prioritizing risk management over maximum returns, buffer ETFs offer a middle ground—at a price.

Blackstone has officially closed its fourth energy-transition-focused private equity fund, BETP IV, at its hard cap of $5.6 billion—marking a 33% increase over its previous fund. The firm’s Energy Transition Partners platform targets scalable investments that promote cleaner, more reliable, and affordable energy solutions across global markets. 

BETP has received multiple industry honors, including being named Private Equity International’s Energy Private Equity Firm of the Year for three consecutive years and winning IJ Investor’s 2024 Market Innovation of the Year for North America. David Foley, who leads the platform globally, highlighted strong investor confidence and the growing demand for electricity and grid efficiency as key drivers behind the fund’s momentum. 

Notable portfolio companies include Energy Exemplar, Sediver, Lancium, and Trystar—each playing a role in boosting grid resilience, energy modeling, and infrastructure. Blackstone has over $23.5 billion deployed globally.

Finsum: Private equities investment in energy solutions is something to keep an eye on in the new administration.