2008 Q3 Market Letter
2008 Q2 Market Letter
Outlook 2008
Though our expectations for a wide divergence between the returns of the primary asset classes proved to be correct last year, in 2008 we anticipate that the return differentials between asset classes will be materially compressed. Specifically, with both long rates and the dollar perhaps probing for a bottom, slowing global growth, and the domestic economy flying at “stall speed,” we anticipate that large-cap domestic equities, international equities and investment grade bonds will perform much as they did last year. That is, we expect volatility to remain at elevated levels, but with a generalized upside bias. In that context, we are forecasting mid-single-digit returns for the year.
