Ferguson Wellman Capital Management Makes Forbes Magazine's Top 50 Wealth Managers List

Ferguson Wellman Capital Management is pleased to announce that the firm has been named by Forbes Magazine as a top investment company. Specifically, Forbes named Ferguson Wellman Capital Management 40th in the “RIA Giants” category of the Top Fifty Wealth Managers list. The data for the rankings is provided by RIA Database and is based on the total discretionary assets under management.

“While it is always gratifying to be ranked highly among your peers – what is most meaningful to us is earning the trust and confidence of our clients.  We work hard at doing that every day,” said Jim Rudd, chief executive officer.

Methodology RIA Database compiled the Top Advisor lists using data as reported March 31, 2013. The Top Advisor list ranked RIAs (registered investment advisors) based on total assets under management. The Growth list ranked RIAs (registered investment advisors) based on their growth in total assets under management as reported March 31, 2011 through March 31, 2013.  The Emerging Advisors list ranked RIAs (registered investment advisors) under $500 million in total assets under management based on growth in total assets under management as reported March 31, 2011 through March 31, 2013. Advisors qualified based on quantitative and qualitative factors. RIAs (registered investment advisors) qualified for the list if at least 50% of their clients include high net worth and/or non-high net worth individuals and conduct wealth management services including portfolio management services, asset allocation, manager selection and/or financial planning services.  Firms that were dually registered with FINRA as a broker/dealer and firms where their primary business includes managing hedge funds or mutual funds were excluded. Firms affiliated with banks or broker/dealers were included. Firms with no or unreported assets under management as of March 31, 2011 were excluded from the lists.

Ayotte Promoted to Senior Vice President

Ferguson Wellman Capital Management is pleased to announce that Nathan Ayotte, CFP® , has accepted an invitation from the board of directors to purchase additional shares in the firm. In this process, he was also promoted to Senior Vice President.

“When Nathan joined us, he brought experience in business management, as well as proven skills in wealth management and client service,” says Steve Holwerda, CFA, principal and chief operating officer. “Both our clients and our firm have benefitted from his contributions over the past five years.”

Ayotte joined the firm in 2008 and is a member of the investment team and wealth management committee. He has helped develop wealth management resources for clients and has been involved with the creation of Ferguson Wellman’s new division, West Bearing Investments. Ayotte is also the firm’s first Certified Financial Planner^®.

Ayotte is a member of both the Chartered Financial Analysts Society and the Financial Planning Association of Portland. He currently serves as a board member of Doernbecher Children's Hospital Foundation at Oregon Health & Science University and as a board member of the Ainsworth Foundation.

Fovinci Quoted in Bloomberg News

July 2, 2013 Bloomberg News

By Wes Goodman and Lucy Meakin

U.S. 10- to 30-Year Yield Gap Shrinks as Inflation Seen in Check

The difference between 10- and 30- year Treasury yields approached the narrowest in 17 months on speculation inflation will stay in check as the Federal Reserve scales back efforts to spur economic growth.

The spread was 1 percentage point today, down from this year’s high of 1.26 percentage points on April 1, data compiled by Bloomberg show. Longer maturities are more influenced by the outlook for prices. While U.S. government securities have handed investors a loss of 2.5 percent this year, Treasury Inflation Protected Securities tumbled 7.9 percent, Bank of America Merrill Lynch indexes show. Economists say reports today will show factory orders and vehicle sales rose.

“The economy is not growing fast enough to bring on an inflation acceleration,” said Marc Fovinci, head of fixed income in Portland, Oregon, at Ferguson Wellman Capital Management Inc., which has $3.5 billion in assets. “I certainly wouldn’t be a holder of TIPS.”

The benchmark 10-year yield fell two basis points, or 0.02 percentage point, to 2.46 percent at 8:44 a.m. London time, according to Bloomberg Bond Trader prices. The 1.75 percent note due in May 2023 rose 5/32, or $1.56 per $1,000 face amount, to 93 26/32. Even after climbing from the record low of 1.38 percent set almost a year ago, the yield is still less than the average of 3.56 percent for the past decade.

The spread between 10- and 30-year yields contracted to 97 basis points on June 24, the least since Jan. 3, 2012, data compiled by Bloomberg show.

Favoring Corporates

Ferguson Wellman favors corporate bonds for their higher yields versus Treasuries, Fovinci said. The company’s recent purchases include Yum! Brands Inc., Intel Corp., Emerson Electric Co. and Wells Fargo & Co., he said.

Investors should avoid the longest maturities because yields have been too low, said Kathy Jones, a New York-based fixed income strategist at Charles Schwab & Co., which has $2.11 trillion in client assets.

“You should be in shorter- to intermediate-term bonds,”Jones said yesterday on Bloomberg Radio’s “The Hays Advantage”with Kathleen Hays and Vonnie Quinn. “They’ll be a lot less volatile. Then as the rate environment changes and those bonds mature, you’ll have some money to reinvest at higher rates.”

Ten-year yields may rise to about 3 percent by the first quarter of next year, Jones said.

The difference between yields on 10-year notes and similar- maturity TIPS, a gauge of expectations for consumer prices over the life of the debt, was little changed at 2.03 percentage points. The average over the past decade is 2.21.

Volume Declines

Treasury trading volume at ICAP Plc, the largest inter- dealer broker of U.S. government debt, fell 44 percent yesterday to $250.9 billion, the least since May 7. June’s average was

$446.2 billion.

Volatility in Treasuries as measured by the Merrill Lynch Option Volatility Estimate MOVE Index was 101.32 yesterday. It climbed to 110.98 on June 24, the highest since November 2011.

The Fed is buying $85 billion of Treasuries and mortgage- backed securities each month to support the economy by putting downward pressure on borrowing costs. Chairman Ben S. Bernanke said on June 19 that policy makers may begin slowing bond purchases this year if the economy achieves the sustainable growth the central bank has sought since the last recession ended in 2009.

To read more, visit our News Worth Noting section on our blog, To Coin a Phrase.

Narancich Promoted to Senior Vice President of Research

Ferguson Wellman Capital Management is pleased to announce that Shawn Narancich has accepted an invitation from the board of directors to purchase additional shares in the firm. In this process, he was also promoted to senior vice president of research. Narancich joined the firm in 2008 as a member of the equity team, and manages utilities and telecom sectors on a global basis and the consumer discretionary sector domestically. He also manages the energy and consumer staples sectors internationally and assists with the management of both sectors domestically. Narancich authors Weekly Market Makers, which is the lead category of Ferguson Wellman’s To Coin a Phrase web log.

“With a passion and talent for security analysis, and a gifted writer, Shawn has been a great addition to the equity team,” said George Hosfield, principal and chief investment officer.

Narancich is a member of the CFA Institute and the CFA Institute Society of Portland. He also serves on the board and the financial development committee for the American Red Cross Oregon Region and is a member of the Metro Natural Areas Oversight Committee.

Brad Houle Hired as Senior Vice President

Ferguson Wellman is pleased to announce that Brad H. Houle, CFA, has joined the firm as senior vice president and member of the firm’s fixed income team.

With more than 20 years of experience in the investment management industry, Houle came to Ferguson Wellman after working for 17 years at Davidson Investment Advisors as co-portfolio manager for a large value dividend strategy and an intermediate-term fixed income strategy. Houle earned his Chartered Financial Analyst designation in 1999, completed an M.B.A. in business finance from the University of Oregon and graduated with honors from the University of Montana with a B.S. in business finance in 1991.

“Brad Houle brings a wide range of experience and a different perspective to the firm,” said George Hosfield, CFA, chief investment officer at Ferguson Wellman. “We are pleased to find someone with both investment experience and a desire to attract new clients.”

George Hosfield, CFA, responds to recent data about employers giving more year-end bonuses

Northwest NewsChannel 8’s Joe Smith talks with George Hosfield, CFA, principal and chief investment officer, about how employers are recognizing and rewarding workers. Hosfield also comments on the possibility of more hiring by employers in 2013.  Click here to view the news story.

Disclosures

Kralj discusses economic outlook and consumer sentiment for Oregon and the U.S.

Northwest NewsChannel 8’s Joe Smith talks with Mark Kralj, principal, about how trends in economic data seem to be improving, not deteriorating. How consumers feel about the economy is subjective, but there are indications that home ownership and retail sales are growing. A recent report from the Federal Reserve indicates that Oregon is one of three states anticipating growth greater than 4.5 percent in the next six months.  Click here to view the news story.

Norris Discusses the Threat of Hurricane Sandy

Northwest NewsChannel 8’s Joe Smith talks with Jason Norris, CFA, senior vice president of research, about the NYSE and NASDAQ closing for Hurricane Sandy. He also speculates how the economic impact the super storm might affect the final days of the election.  Click here to view.