Low market volatility and positive returns across nearly all major asset classes in May 2014 can serve as a reminder that sometimes boring isn’t so bad after all.
June continued the trend of May’s relatively tame markets. No asset class posted a negative 12-month return, and many were meaningfully above their historical averages.
Although market returns for the first four months of 2014 may not be scintillating, they’re solid with the appropriate perspective
Market performance varied month to month in the first quarter of 2014, but for the most part, diversified and balanced portfolios were rewarded.
Equity returns came back to their winning ways in February, compared to their performance just one month earlier. Historical equity-diversifying asset classes – bonds and real assets – also posted positive returns for the month. All of this likely helped many balanced investors make back some of their losses from January 2014.
After the exceptional returns of 2013, the latest Asset Class Dashboard update shows returns moved back toward more typical ranges in January 2014.
2013 was a great year for stocks, particularly in the U.S. So now may a great time prepare for conversations with clients about the strong year and level-set expectations for 2014. The Asset Class Dashboard can help reinforce your message with clients.