Third Quarter 2017 Investment Commentary

3RD Q 2017

Key Takeaways from the Third Quarter of 2017 Despite its reputation as the worst seasonal period for stocks, global stock markets rallied again in the third quarter. Emerging-market stocks were strongest, surging 8%, followed by European stocks, which gained 6.2%. More broadly, developed international stocks rose 5.5%. For the third consecutive quarter, the U.S. dollar [...]

Second Quarter 2017 Investment Commentary

2ND Q 2017

Second Quarter 2017 Key Takeaways The second quarter proved to be another very strong period for global stock markets. Larger-cap U.S. stocks gained 3.1%, developed international stocks rose 6.4% and emerging-market stocks rose by 3.4%. This makes 2017 stock performance even stronger. Larger-cap U.S. stocks have surged 9.3% year to date, while international indexes are [...]

First Quarter 2017 Investment Commentary

1ST Q 2017

First Quarter 2017 Key Takeaways– Global equities greeted the new year with the same degree of gusto with which they closed 2016. Emerging-market stocks led the way with double-digit gains, followed closely by developed international and U.S. stocks. Our portfolios benefited from their overweight to emerging-market stocks, which outpaced U.S. stocks by over five percentage points [...]

Fourth Quarter 2016 Investment Commentary

2016 Q4 Feature

Fourth Quarter 2016 Key Takeaways – Global stocks performed well both in absolute terms and relative to core bonds this year, with U.S. stocks again taking the lead. Large-cap stocks gained 11.8% . This marked the eighth straight year the large-cap S&P 500 Index had a positive return. While streaks of this length have occurred twice before, [...]

Second Quarter 2016 Investment Commentary

2016 Q2 Feature

Second Quarter 2016 Key Takeaways – U.S. markets were initially range-bound for most of the quarter until June, when the relative calm in global stock markets came to an abrupt end. Upending most forecasts and taking world financial markets by surprise, the United Kingdom voted to leave the European Union on June 23. In the [...]

First Quarter 2016 Investment Commentary

2016 Q1 Feature

First Quarter 2016 Key Takeaways – It was a tale of two halves in the first quarter of the year for global financial markets. Stock markets plunged early on, falling 10% to 16%. Broadly speaking, the decline was due to ongoing fears of a hard landing in the Chinese economy, a continuing plunge in oil [...]

Fourth Quarter 2015 Newsletter

4Q 2015 Feature

Key Takeaways – 2015 was a poor year for financial markets across the globe and across asset classes (stocks, bonds, commodities, etc.). Among the major global stock markets, the United States was the best performer, but that’s faint praise. What’s more, it was a market in which a handful of large tech/Internet companies (e.g., Facebook, [...]

Third Quarter 2015 Newsletter

3Q 2015 Feature

Key Takeaways – Increasing concern about China’s economy, accompanied by a surprise albeit modest devaluation of the yuan currency, helped trigger a sharp drop in global equity markets in late August with the S&P 500 falling 12% from its high reached just a month earlier. The S&P 500 then bounced briefly from its August 25 [...]

Third Quarter 2015 Emerging Markets Commentary

3Q 2015 Feature - EM Commentary

Our Historical and Current Perspective on Emerging-Markets Stocks Our overarching belief that emerging markets’ macroeconomic fundamentals are much better now than they were during the crisis-prone years of the late 1990s/early 2000s has guided our views on the asset class over the past several years. First, most emerging-market countries today have floating, rather than fixed [...]

Second Quarter 2015 Newsletter

2Q 2015 Feature

Key Takeaways – As the quarter ended, Greece was making headlines for its June 30th default on a debt payment to the International Monetary Fund amidst increasingly fraught negotiations with its Eurozone creditors, China was in the news for its very sharp short-term stock market decline and surprise interest rate cut, and Puerto Rico announced [...]