AVIOR INSIGHTS – How the Outlook for Bonds Differs in 2023
The bear market in bonds last year was a shock to markets and raised questions around the role of fixed income securities in portfolios. This is because, until 2021, inflation had been steadily falling for 40 years, pushing interest rates lower and bond prices higher. This period supported the idea that bonds act as a stable foundation to portfolios, counterbalancing the price swings in stocks and other riskier assets. Naturally,...
AVIOR INSIGHTS – Why Wages Are Central to the Economic Outlook in 2023
Only one full week into 2023, news headlines have already sparked concern among some investors. From the protracted House Speaker battle in Congress to layoff announcements across industries, markets have been on edge. Despite these challenges, the pivotal issue continues to be whether the Fed will cause a recession in 2023, even if most economists believe it would be a shallow one. Slow or negative growth is already impacting profit...
AVIOR INSIGHTS – 5 Key Insights to Guide Investors in 2023
2022 was a challenging year for investors. Markets fell into bear market territory and experienced the worst annual performance since 2008. The S&P 500, Dow and Nasdaq declined 19.4%, 8.8% and 33.1%, respectively, last year. Interest rates swung wildly with the 10-year Treasury yield jumping from 1.51% at the start of the year to a high of 4.24%, before ending at 3.88%. This mirrored inflation as the Consumer Price Index...
AVIOR INSIGHTS – How Investors Can Look Beyond a Fed-Driven Year
Inflation, interest rates and the Fed have been the driving forces behind the market in 2022. These factors broke a number of trends that have influenced portfolio decisions over the past several decades, creating an uncomfortable investment environment. This has kept many investors guessing at what might come next, leading markets to swing back and forth for weeks at a time. For investors who can ignore the short-term ups-and-downs of...