Equity Markets
In 2023, global equity markets experienced significant growth, with the MSCI ACWI Index rising by 22.4%, largely propelled by growth stocks, particularly in the US where technology giants dominated, leading to a 25.7% increase in the S&P 500. This surge was notably concentrated among the "Magnificen
Shorter-term View
As we venture into 2024, equity markets face a complex landscape marked by pivotal issues including inflation's downward trend, economic growth prospects, and corporate earnings resilience amidst geopolitical uncertainties and the US Presidential Election. The deceleration in inflation and potential
Macroeconomic Conditions
In 2023, the US economy exhibited robust growth, fueled by strong consumer spending and the Inflation Reduction Act, leading to a higher-than-expected GDP growth of 4.9% in Q3 and a preliminary 3.3% in Q4. However, growth is anticipated to decelerate to below 2.0% in 2024, amidst signs of a potentia
Strategic Asset Allocation View (7-years)
Our 7-year strategic asset allocation outlook incorporates key considerations such as an expected decline in interest rates from current levels, though not to the historic lows of 2009-2021, and the dual impact of onshoring and AI adoption on corporate profit margins amidst increasing geopolitical t
Capital Markets Executive Summary
In 2023, capital markets experienced robust growth, with the ACWI Index appreciating by 22.2% and major equity indexes like the S&P 500, MSCI EAFE, and MSCI Emerging Markets registering 8%-11% gains in Q4, propelled by faster-than-expected inflation declines and falling bond yields. The fixed income
