Ben goes over his expectations for the 2024 capital markets via video.

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.

Every month this year has brought major events for investors to digest, and August was no different. The month started with Fitch downgrading the United States’ credit rating to AA+ from the top-quality AAA rating.

Despite one of the most anticipated recessions in U.S. history, we sit here halfway through the year defying those predictions even in the face of developing geopolitical risks, a banking crisis (remember that?) and the Federal Reserve (Fed) continuing to raise rates.

Equity and fixed income indexes alike posted modestly positive returns overall with year-to-date trends for 2023 continuing in April; longer duration outperformed shorter duration, credit outperformed Treasuries, international developed equity outperformed the U.S. and emerging and commodities took another step back.

Warm winter weather seems to have been fueled by hot January economic data reported in February. Employment, retail sales, manufacturing, and inflation all showed acceleration. Markets fell in sympathy. Why?

Broad asset classes kicked off the new year higher after a not-so-jolly December. Sentiment turned decidedly positive based on slowing wage and job growth and cooling price pressures…