The 2024 Olympics wrapped up with the United States leading the medal count, claiming a total of 126 medals, including 40 golds. China and Japan followed, securing 40 and 20 gold medals, respectively. 

In basketball, the U.S. women's team maintained their dominance, winning their eighth consecutive gold medal, showcasing their exceptional skill and teamwork in an incredible finish over France. The U.S. men’s team slipped by Serbia in a comeback in the semifinals, and Stephen Curry’s electric performance secured the gold in the finals.

The Olympic ceremonies closed with Tom Cruise dropping down from the ceiling and carrying the Olympic flag off to Los Angles as they prepare to host in 2028. 

Finsum: While Los Angles surely has an uphill battle when it comes to infrastructure, the Olympics had incredible viewership and engagement which is promising for 2028.

The recent market gyrations and decline prompted some retirement investors to react by shifting their 401(k) investments from large-cap stocks and target-date funds to safer options like stable-value, bond, and money-market funds. 

The trading volume was nearly 700% the usual level, marking the highest activity since March 2020, during the onset of the COVID-19 pandemic. Despite the market's volatility, most 401(k) participants did not alter their accounts, but those who did generally moved towards more conservative investments to mitigate risk. 

The S&P 500 and Dow Jones Industrial Average both showed slight gains by the market's close but remained below their mid-July highs. However stable value funds received a bulk of the inflows at just over 60%.

Finsum: While the recent sell off was prompted by international currency fluctuations, expect more volatility this fall and potentially more inflows into stable value.

Treasuries gained momentum following a weaker-than-expected U.S. producer prices report, reinforcing the potential for the Federal Reserve to lower interest rates more aggressively. The two-year yield, which closely mirrors Fed policy expectations, fell by 8 basis points, while the 10-year yield decreased by 6 basis points. 

Market participants are now eagerly anticipating the upcoming consumer price index (CPI) data, which could further influence rate-cut expectations. However, some Federal Reserve officials remain cautious, emphasizing the need for more economic data before supporting any rate reductions.

Despite recent market volatility, with shifts from expectations of a soft landing to a hard landing, uncertainty persists. 

Finsum: Markets thought there was going to be an emergency Fed meeting last week, but look to Jackson Hole for better clarification.

Crypto ETFs are expected to be integrated into model portfolios by late 2024, according to Samara Cohen, BlackRock’s Chief Investment Officer for ETFs. Cohen emphasized the roles of Bitcoin and Ether as portfolio diversifiers, noting that major wirehouses are currently conducting due diligence on these assets. 

BlackRock projects significant growth in model portfolio management, anticipating an increase from $4.2 trillion to $10 trillion over the next five years. 

Cohen also mentioned that while Bitcoin and Ether are gaining traction, the introduction of spot ETFs for altcoins like Solana is unlikely in the near term. Despite net outflows from spot Ether ETFs since their launch, Cohen remains optimistic, viewing them as valuable entry points for investors seeking ETH exposure in their portfolios.

Finsum: Integration into standard financial products has been critical to cryptos success in recent years. 

Family offices are pivoting from conventional asset allocations towards a heavier focus on alternative investments like private equity, real estate, and venture capital. J.P. Morgan's recent report indicates that nearly half of these portfolios now consist of alternative assets, with larger family offices taking the lead in this shift. 

This approach is driven by the desire for higher returns, reduced volatility, and better alignment with long-term wealth preservation and growth goals. These offices are capitalizing on their ability to invest in illiquid assets, which offer the potential for higher returns over time.

 By engaging more directly in private companies, family offices are leveraging their entrepreneurial expertise to achieve greater alignment with their wealth preservation objectives. While traditional public markets still hold a portion of these portfolios, the emphasis is clearly shifting towards alternatives that can better meet the complex, multi-generational needs of these families.

Finsum: With macro volatility looming alts could offer more risk cover and should be heavily considered.