Fisher Investments' produces quarterly commentary highlighting the firm's macroeconomic research and current views of the market.
Inside, you will find a summary of market activity and our market outlook.
Inside, you will find a summary of market activity and our market outlook.
Inside, you will find a summary of market activity and our market outlook.
Inside, you will find a summary of market activity and our market outlook.
Global markets extended their climb in Q1, rising 4.6%. Value equities led growth with Tech and Tech-like equities lagging, however we believe this to be a temporary countertrend. We are monitoring this carefully with the understanding that style volatility is normal. Crucially, our outlook hasn’t changed. We still think equities should have a good year, with growth regaining its leadership as markets climb alongside sentiment.
Global markets finished 2020 positively, increasing 14.7% in Q4 to bring full-year returns to 16.3%—a testament to markets’ resiliency and forward-looking nature. Tech, Tech-like and quality, growth-oriented equities have generally led the recovery from the March low despite several countertrend value rallies.
The nascent bull market continued in Q3 as the MSCI ACWI hit new highs before encountering September turbulence—normal volatility, in our view, even this early in a bull market. Overall, global equities rose 8.1% in the quarter. Nine months in, global equities are up 1.4% on the year.
Global equities followed one of history’s worst quarters with one of its best in Q2, soaring 19.2%. Year-to-date, global equities are down -6.3%. Similarly, emerging market equities rose 18.1% in Q2, as growing progress—and clarity—on major emerging and developed countries’ COVID-19 lockdown relaxations continued.
Global equities fell sharply in Q1 dropping -21.4%, going from all-time highs in January to a bear market with record-breaking speed. The sudden fall, combined with society’s understandable worries about COVID-19’s impact on their health, their loved ones and their community, has spread fear to every corner of the world—and the marketplace.
Global equities capped the strongest year since 2009 with Q4’s 9% gain, lifting full-year returns to 26.6%. We expect the bull market to continue in 2020, although returns are unlikely to match 2019’s magnitude.
Founded in 1979, Fisher Investments is an independent, fee-only investment adviser with $197 billion under management.* Fisher Investments maintains four principal business units, Fisher Investments Institutional Group, Fisher Investments Private Client Group, Fisher Investments 401(k) Solutions Group and Fisher Investments Private Client Group International, which serve a global client base of diverse investors. The clients of Fisher Investments and its affiliates include over 100,000 clients. Founder and Executive Chairman 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 3/31/2022)
