Q4 2021 Global Markets Review & Outlook

Inside, you will find a summary of market activity and our market outlook.

After a flat Q3, global markets rose 6.7% in 2021’s final quarter, putting the MSCI All Country World Index (ACWI) up 18.5%—and confirming our expectations of a great 2021 for equities. While Emerging Markets (EM) equities overall disappointed in 2021, several constituent countries had good returns.

  • Expect the Bull Market to Continue in 2022: Global markets have abundant room to run and we expect persistent economic growth and political gridlock to help deliver double-digit gains in 2022.
  • Moderated Investor Sentiment: Increased pessimism—partly tied to the Omicron variant—likely proves temporary, while reducing the likelihood that investor sentiment reaches a euphoric peak in the near term.
  • Global Markets Typically Reward US Political Gridlock: The incumbent party routinely loses power during the midterm year, limiting the opportunity for extreme legislation. Increased gridlock likely acts as a tailwind for global markets in the back half of the year.
*The foregoing information constitutes the views of Fisher Investments based on information believed to be reliable. There can be no assurances that Fisher Investments will continue to hold these views. These views may change at any time based on new information, analysis, or reconsideration.

Investing in stock markets involves the risk of loss and there is no guarantee that all or any capital invested will be repaid. Past performance neither guarantees nor reliably indicates future performance.

About Fisher Investments Australasia

Fisher Investments Australasia offers a variety of Global, Non-US, and US Equity strategies for institutional investors. FIA delegates portfolio management to its parent company, Fisher Investments, a money management firm in the US founded in 1979 by investment guru Ken Fisher. Today, Fisher Investments and its affiliates oversee more than A$263 billion* in assets for over 100,000 clients globally.* Founder Ken Fisher’s “Portfolio Strategy” column for Forbes ran from 1984 through 2016, making him the longest continually running columnist in the magazine’s 90+ year history. He has also authored several New York Times bestsellers on finance and investing. (*As of 31/03/2022)

For your reference, Fisher Investments Australasia is an investment manager located in Sydney. The parent company, Fisher Investments, is based in the United States, and manages assets for large institutional clients around the world.