--- title: Eagle Asset Management's Perspective on Rate Increases description: Eagle Asset Management's Richard Skepptrom discusses the Fed's approach to debt and credit in the June 2015 Market Perspective. Get the report here. image: http://www.wrapmanager.com/hubfs/MM_Logo_Images/EagleAssetManagementLogo-1.jpg --- [![Assembly Wealth](https://www.letsassemble.com/hs-fs/hubfs/Assembly/logos/Assembly-Wealth-Logo-Orange-500px.png?width=300&height=70&name=Assembly-Wealth-Logo-Orange-500px.png "Assembly Wealth")](https://www.letsassemble.com/) The Money Manager People TM [800-541-7774](tel:+18005417774) [![RESEARCH MONEY MANAGERS](https://no-cache.hubspot.com/cta/default/10700/7ecbcb66-3fbb-41e3-b219-c24fb3c769c5.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/7ecbcb66-3fbb-41e3-b219-c24fb3c769c5) [![Client Center](https://no-cache.hubspot.com/cta/default/10700/8691dcb4-caa3-42c2-a810-77b59f461fd2.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/8691dcb4-caa3-42c2-a810-77b59f461fd2) [Home](https://www.letsassemble.com/) WrapManager's Wealth Management Blog When life changes, we can help you thoughtfully respond. [< Back to read another post](https://www.letsassemble.com/wealth-management-blog) # Eagle Asset Management's Perspective on Rate Increases Posted by [ WrapManager's Investment Policy Committee](https://www.letsassemble.com/wealth-management-blog/author/wrapmanagers-investment-policy-committee) June 25, 2015 - [Tweet](https://twitter.com/share) [![EagleAssetManagementLogo-1](http://www.wrapmanager.com/hubfs/MM_Logo_Images/EagleAssetManagementLogo-1.jpg)](http://www.wrapmanager.com/wealth-management-blog/eagle-asset-management-rate-increases)[Eagle Asset Management's](http://www.wrapmanager.com/wealth-management-blog/topic/eagle-asset-management-inc) Richard Skeppstrom discusses the Fed's approach to debt and credit in this month's Market Perspective. "Betwixt and between The easy money’s been made. That’s not gloomy talk. It’s not controversial. It’s not a recommendation to do  anything. It’s a fact. You can expect high returns from  stocks when margins are depressed, valuations are low,  interest rates can be slashed and the U.S. Federal Reserve is about to juice the system. But that’s simply not where we are now. We are in a new market where the returns will be lower, fewer things will work and [volatility](http://www.wrapmanager.com/wealth-management-blog/volatility-and-wealth-accumulation-dougs-quiz-corner) will be higher. We will be in this environment for the foreseeable future. This is sort of like getting older. As they say, it’s better than the alternative. Cheer up.   Byron Wien, the legendary strategist, says the market can go higher from here even without the Fed’s help. Of  course it can. In fact, I suspect it will slowly grind higher.  What’s been working so far this year is growth. Highgrowth  names in healthcare, technology and consumer cyclicals have led. Michael Goldstein of Empirical Research Partners has identified a group he calls the  75 “Big Growers.” They have the most “unimpeachable (growth) credentials” and they’ve done exceptionally well. That isn’t surprising. Economic growth has disappointed, compelling investors to seek growth that’s unmistakably independent of the economic backdrop. They’re  expensive at about 33 times earnings but not stupidly so. They’ll likely lead until economic growth turns decisively in either direction. As unhelpful as this is, I suspect the  next leadership change will be easier to spot in hindsight.  We’re betwixt and between. The Fed: friend forever It’s certainly appropriate for Mr. Wien to consider markets post-Fed [rate increases](http://www.wrapmanager.com/wealth-management-blog/how-rising-interest-rates-may-affect-your-investments) but I doubt the Fed can ever  again take its hands off the markets. As I see it, it’s let too much debt build in the system at too-low rates to  ever disengage. And this is the state of things pretty  much everywhere in the world. We gorged on debt over  the last few decades to keep growth going and when  the inevitable retching began in 2008, the central banks  conjured the most powerful medicine imaginable (0  percent interest rates and Fed asset purchases) and the  symptoms subsided. But the disease (debt) is still there;  the therapy assured it. Is that unfair? Perhaps there was  nothing else they could do; we’ll never know. Easier credit  is the traditional remedy for a recession and I have no  doubt that a less-robust response would have been more  painful, and likely much more..." Download the full report below. To learn more about Eagle and other [money managers](http://www.wrapmanager.com/money-manager-research), give us a call at 1-800-541-7774 or [contact us here](http://www.wrapmanager.com/contact) and one of our Wealth Manager can help answer your questions. ![pdficon](http://www.wrapmanager.com/hs-fs/hub/10700/file-2346359955-gif/blog-files/pdficon.gif) [Download Eagle Asset Management's Full Commentary Here](http://www.wrapmanager.com/hubfs/MM_Commentary_PDFs/Eagle_Asset_Management_Market_Perspective_June2015.pdf) ![icon_report](http://www.wrapmanager.com/hs-fs/hub/10700/file-2346359965-gif/blog-files/icon_report.gif) [Get Free Research Reports from Eagle Asset Management](http://www.wrapmanager.com/money-manager-research/eagle_asset_management_inc) [Eagle Asset Management Inc](https://www.letsassemble.com/wealth-management-blog/topic/eagle-asset-management-inc) [market perspective](https://www.letsassemble.com/wealth-management-blog/topic/market-perspective) [![Top-equity-money-manager-picks](https://no-cache.hubspot.com/cta/default/10700/23094163-953c-4a42-b497-b5956166aaab.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/23094163-953c-4a42-b497-b5956166aaab) ### Subscribe to Updates [Subscribe to RSS Feed](https://www.letsassemble.com/wealth-management-blog/rss.xml) [![New Call-to-action](https://no-cache.hubspot.com/cta/default/10700/ffe2a394-957b-481b-9f80-4ef176bd6aaf.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/ffe2a394-957b-481b-9f80-4ef176bd6aaf) ### Most Recently Published ### Blog Authors [![Gabriel Burczyk](http://www.wrapmanager.com/hs-fs/hub/10700/file-2347381761-jpg/Athors_Avatars/Gabe-avatar.jpg "Gabriel Burczyk")](http://www.wrapmanager.com/wealth-management-blog/author/gabriel-burczyk) [**Gabriel Burczyk,**](http://www.wrapmanager.com/wealth-management-blog/author/gabriel-burczyk) [Founder & CEO](http://www.wrapmanager.com/wealth-management-blog/author/gabriel-burczyk) [![Valerie De Vol](http://www.wrapmanager.com/hs-fs/hub/10700/file-2457588837-jpg/Athors_Avatars/Valerie-De-Vol-avatar.jpg "Valerie De Vol")](http://www.wrapmanager.com/wealth-management-blog/author/valerie-de-vol) [**Valerie De Vol, **IACCP® Chief Operating Officer](http://www.wrapmanager.com/wealth-management-blog/author/valerie-de-vol) [![Seton-avatar.jpg](http://www.wrapmanager.com/hs-fs/hub/10700/file-2344519198-jpg/Athors_Avatars/Seton-avatar.jpg "Seton-avatar.jpg")](http://www.wrapmanager.com/wealth-management-blog/author/seton-mcandrews) [**Seton McAndrews, **CFP® ](http://www.wrapmanager.com/wealth-management-blog/author/seton-mcandrews)[Vice President - Investments](http://www.wrapmanager.com/wealth-management-blog/author/seton-mcandrews) [![Doug Hutchinson](http://www.wrapmanager.com/hs-fs/hub/10700/file-2347381751-jpg/Athors_Avatars/Doug-avatar.jpg "Doug Hutchinson")](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson) **[Doug Hutchinson,](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson) **[CFA® ](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson)[Director of Research and Trading](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson) ![Katie - square.png](https://www.wrapmanager.com/hubfs/Katie%20-%20square.png "Katie - square.png") [**Katie O'Connor **Director of Client Services](https://www.wrapmanager.com/wealth-management-advisors/katie-oconnor) **Important Disclosure Concerning WrapManager Blogs** Blogs found at this site have been created or supported by WrapManager. The information provided in a blog post prepared by WrapManager or an associated person of WrapManager is generally limited to financial and economic issues, but may include a discussion of general interest items. The views and opinions expressed on this blog are purely the blog authors, and not necessarily those of WrapManager, Inc. Certain blog posts include information pertaining to WrapManager’s investment advisory services and the products and services of unaffiliated money managers. Such information is provided for information purposes only. Accordingly, information provided in a blog should not be construed by any consumer and/or prospective client as a solicitation to effect or attempt to effect transactions in securities or the rendering of personalized investment advice. Any subsequent, direct communication by WrapManager with a prospective client shall be conducted by a representative of WrapManager. Moreover, no client or prospective client should assume content contained on the website serves as a substitute for personalized advice from WrapManager. Different types of investments involve varying degrees of risk, and there can be no assurance that any investment, portfolio or money manager referred to within the blog will be suitable for your individual situation and risk tolerance or will be profitable. WrapManager recommends that you retain a financial professional to provide you with specific guidance regarding your financial situation before investing. Investment in equity strategies involves substantial risk and has the potential for partial or complete loss of funds invested. Although the information included in the WrapManager, Inc. website and blog has been obtained from sources WrapManager believes to be reliable, we do not guarantee its accuracy and information may be subject to change without notice. This website should not be regarded as a complete analysis of the subjects discussed. Information on this site should not be relied upon as a substitute for legal, tax or accounting advice by a professional in your local jurisdiction. Comments made by third parties are subject to moderation by WrapManager and may not appear on this blog until they have been deemed appropriate for posting. Also, due to the volume of comments received, not all comments will be posted. WrapManager does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party website linked to WrapManager's web site or incorporated within a blog post. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.     ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "WrapManager's Investment Policy Committee", "url" : "https://www.letsassemble.com/wealth-management-blog/author/wrapmanagers-investment-policy-committee" }, "datePublished" : "2015-06-25T20:46:00.000Z", "headline" : "Eagle Asset Management's Perspective on Rate Increases", "image" : [ "http://www.wrapmanager.com/hubfs/MM_Logo_Images/EagleAssetManagementLogo-1.jpg" ], "mainEntityOfPage" : { "@id" : "https://www.letsassemble.com/wealth-management-blog/eagle-asset-management-rate-increases", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://www.letsassemble.com/hubfs/Assembly/logos/Assembly-Wealth-Logo-Orange-500px.png" }, "name" : "Assembly" } } ```