Consistent returns may seem hard to find amid a topsy-turvy stock market and soaring Treasury yields. Yet there are certain names that have proven to benefit in this environment. Stocks have been volatile in recent weeks, as investors anticipate the Federal Reserve's next move. The latest hot inflation report dashed investors' hopes of a more accommodative Fed, which has already raised rates four times this year.
Technologies saw a median move of 4.4% and shares of Hartford Financial Services had a median move of 4.3%. Commercial lines insurer W.R. Berkley had a 2.6% median move during the 10 months of rate increases. Meanwhile, real estate investment trust Host Hotels & Resorts saw a 3.1% median move. and Hartford Financial are both down so far this year, about 11% and 6%, respectively. W.R. Berkley has gained 20% year to date, while Host Hotels & Resorts is up about 0.5%. Higher interest rates are generally a positive development for insurers and banks. Insurance companies benefit from rising bond portfolio yields as they snap up newer issues.