Outlook 2018: Stick Around for Dessert
This year has turned into quite the feast for investors, with developed and emerging markets equities posting double-digit returns in nearly all major currencies. Looking ahead, while we concede that the rally in some assets has eaten into tomorrow’s gains, at this point it is too early to leave the party and we recommend that investors stick around for dessert. In our 2018 outlook, we review the prospects for several asset classes—developed and emerging markets equities, credit, real assets, sovereign bonds, and currencies—and share the advice of our chief investment strategist.
Overall, we are cautiously optimistic for the year ahead as the conditions for 2018 look supportive for risky assets. However, it’s getting late in the evening, so even as you stick around for dessert, be prepared for the party to end. Diversification and adequate liquidity will be welcome sights the morning after. Read the executive summary.
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