Multi-Asset Perspectives

Our optimistic outlook for stocks presumes a continuation of the global expansion. Supporting the U.S. fundamental picture are a flat Phillips curve, high corporate free cash flow and lack of private sector imbalances.

The first half of 2018 has seen broad retrenchment from last year's strong returns and low volatility. But if fundamentals hold up the second half may be quite different.

Though politics will create a lot of market noise, we continue to have a positive outlook for equities.

We are positive on equities, but think the U.S. may lag the rest of the world for the next few years.

Despite the ongoing corrective phase, we still believe the risk-reward between equities and fixed income favors equities.

We continue to position portfolios according to our belief that equities will outpace bonds. Equities likely can withstand an uptick of...

Despite recent volatility, equity market fundamentals are strong and improving. While mindful of risks we think the underlying earnings strength is supportive of equities globally.

While the business cycle may be late in calendar years, our economic activity models and earnings...

We think consensus expectations for 10% global earnings growth are achievable in 2018, but expect a change in equity and bond volatility profiles. 

We think policy will drive markets going forward, and focus on assets that are geared to growth. Global equities look most attractive under current conditions. We maintain our emerging market and U.S. small-cap positions, and continue to rotate our equity position toward Japan.