Market Commentary

Market Commentary

The major benchmarks we track produced positive total returns for the third quarter of 2018.

  • The MS World Equity Index increased 5.10%.
  • The Balanced Index of 60% MSCI World Equity and 40% BC US Aggregate Bond increased 3.05%.
  • The Conservative Index of 40% S&P 500 and 60% BC US Aggregate Bond increased 3.05%.

For the next twelve months, we are projecting that domestic equities will produce normalized positive annual total returns, while International equities and fixed income total returns will be nominal or negative. Due to that forecast, we are favoring domestic equities over international equities. Our fixed income policy is emphasizing short to intermediate term investment grade bonds.