2024 Market Outlook

Key Observations

• Our 10-year return forecasts show increased opportunity across fixed income and real assets with a modest step back for equities. This makes for one of the more attractive risk-adjusted returns for fixed income relative to equity we have seen in several years.

• We believe range-bound inflation opens multiple paths to lower rates creating opportunities for tailwinds in fixed income and more rate-sensitive assets.

• The most predicted recession in history continues to shift into the future, however, we also believe investor mindsets should shift from predict to prepare as risks remain acute and market timing futile.

• Narrow market leadership in U.S. equities creates fragility within, and opportunity outside of, U.S. technology stocks. We believe long-term investors will benefit from exposure to U.S. small capitalization and non-U.S. stocks.