WBI Weekly News 6/4/2025

Matt Schreiber
2 days ago
5 min read

📈 2025 Market Rebound Gains Traction: Best May in 34 Years

After a volatile start to the year, U.S. equity markets are regaining momentum.

As of June 3:

S&P 500: +1.5% YTD
Nasdaq Composite: +0.5% YTD
Dow Jones Industrial Average: -0.1% YTD
Russell 2000: -5.7% YTD

May proved to be a key turning point. The S&P 500 surged 6.2%—its best May in 34 years. The Nasdaq jumped 9.6%, and the Dow added 3.9%, carrying that momentum into early June. Investor sentiment and market breadth both improved, with leadership broadening beyond a handful of names.

Information Technology, Consumer Discretionary, and Communication Services led the rally, each gaining over 8% in May. Mega-cap stocks like Nvidia and Broadcom drove much of the surge. Meanwhile, Utilities and Energy declined, as capital rotated out of defensive areas and into growth-sensitive sectors.

🚀 WBI Power Factor SMAs: Targeting Consistent, Factor-Based Performance

WBI’s Power Factor SMAs are delivering solid results in 2025, offering concentrated, rules-based exposure to high-quality equities:

Power Factor All Cap Rising Dividends: +3.66% YTD (net of fees)
A 30-stock portfolio of fundamentally strong companies with a history of growing dividends. Available at WBI direct, SMArtX, Envestnet, Cetera MAA, and Osaic WMP.

📄 View Fact Sheet
Power Factor Growth & Momentum: +5.89% YTD (net of fees)
Invests in 30 companies with accelerating revenue, earnings, and price momentum. Available direct through WBI.

📄 View Fact Sheet

These strategies are not actively managed to reduce risk—instead, they rely on a disciplined, factor-based model designed to consistently select high-quality stocks with the potential to outperform over time.

📊 Trend Switch Weekly Update

Date: Week of June 2, 2025

Equity Model

Position: Low Risk, “Risk On”

Ambient Risk Condition: Null (No Clear Trend)

Weekly return prediction dipped to -0.4%, still indicating a stable, low-risk equity environment.
Fed Sub-Model remained Bearish.
Key drivers: Technical, momentum, and economic factors.

Bond Model

Signal: Short Duration High Yield

Credit Momentum: Positive
High Yield Probability: Fell from 37.4% → 22.6%
Investment Grade Probability: Rose sharply to 50.4%
Duration Momentum: Still favors Short Duration, despite probabilities shifting back toward Long.

The equity model remains steady at Low Risk with no directional bias. In bonds, Short Duration High Yield is still favored, but declining High Yield probabilities signal a potential shift ahead.

Want to learn more?

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📞 Call us: 732-842-4920 📧 Email us: wbi@wbiinvestments.com

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Disclosure

Past performance is not indicative of future results. This is not an offer to buy or sell any security. No security , including those referred to directly or indirectly, is suitable for all accounts or profitable all the time. This information is compiled from sources believed to be reliable, but accuracy cannot be guaranteed. You should not assume that any discussion or information provided here serves as a substitute for personalized investment advice from WBI or any other investment professional. If you have questions regarding the applicability of specific issues discussed to your individual situation, please consult with WBI or your chosen professional advisor. Additional information about WBI’s advisory operations, services, conflicts of interest and fees are in the Form ADV, which is available upon request or on the SEC’s website at http://www.adviserinfo.sec.gov. WBI is a registered investment adviser. Registration of an Investment Adviser does not imply any level of skill or training.

Net of Fee Performance is net of WBI’s maximum investment management fees. This model fee approach consists of netting down 100 bps from gross returns on a monthly basis. The actual, annual investment fee rate charges shall vary (typically between 75 bps and 100 bps, but no more than 100 bps) depending upon market value of assets under management and the specific type of investment services to be rendered.

Other strategies may have different results.

References to other securities is not an offer to buy or sell.

The S&P 500 Index is a market-capitalization-weighted index of 500 of the largest publicly traded companies in the U.S., representing approximately 80% of the total U.S. equity market capitalization. The NASDAQ Composite Index is a broad index that includes more than 3,000 common equities listed on the NASDAQ Stock Market, heavily weighted toward technology and growth-oriented stocks. The Dow Jones Industrial Average is a price-weighted index of 30 large, blue-chip U.S. companies across various industries and is one of the oldest and most widely followed equity benchmarks. The Russell 2000 Index tracks the performance of approximately 2,000 small-cap companies in the U.S., serving as a key gauge of the domestic small-cap equity market.

WBI is an SEC-registered investment advisor located in Red Bank, NJ. Any investment strategy involves risk, including the possible loss of principal invested.

You should not assume that any discussion or information provided here serves as a substitute for personalized investment advice from WBI or any other investment professional. If you have questions regarding the applicability of specific issues discussed to your individual situation, please consult with WBI or your chosen professional advisor.

Additional information about WBI’s advisory operations, services, conflicts of interest and fees are in the Form ADV, which is available upon request or on the SEC’s website at http://www.adviserinfo.sec.gov.

WBI is a registered investment adviser. Registration of an Investment Adviser does not imply any level of skill or training.

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