Our Thinking

Sage Insights: Strong U.S. Economic Data and the Geopolitical Climate Stall Market Momentum

January’s market momentum failed to carry over into February as stocks and bonds relinquished some of the year’s gains. While investment returns remain positive overall, uncertainty surrounding the path of Federal Reserve policy and the geopolitical climate weighed on the markets. The economy continues to offer mixed signals in certain segments, and, as we shared | Read More +

Sage Insights: Central Banks Slow Hikes, Corporate America Kicks off Earnings Season, and Long-Term Perspectives on the Debt Ceiling

Financial markets started 2023 on a positive note as stocks and bonds both saw gains in January. It was a welcomed change as many investors hope to put 2022 firmly in the rearview mirror. As shared in our annual outlook, we forecast that 2023 will be a year of more normalized market conditions, albeit against | Read More +

Sage 2023 Annual Letter

Following three consecutive years of positive returns, 2022 was a challenging year for investors as portfolios struggled in the face of prolonged periods of market volatility, the decline of both stocks and bonds, unprecedented interest rate hikes, high inflation, anticipation of a recession, and geopolitical conflict. We are cautiously optimistic, based on our experience and | Read More +

Sage Insights: Markets Bounce as Economic Growth Slows and China Adjusts Its COVID Policy

In November, financial markets recovered some of the ground lost during the previous ten months. This was the second straight month of positive returns for equities, which is encouraging in a year with no shortage of challenges. At the same time, bond returns had their strongest single month of 2022 in November. As we look | Read More +

Sage Insights: Federal Reserve Rate Hikes Persist, Political Volatility in China, and Perspective on the Journey of Investing

October was a very strong, yet volatile, month for the equity markets driven by aggregate positive corporate earnings. Bonds prices declined modestly as interest rates continued to rise. For most investors, this widespread historic selloff has created bumps in their investment journeys, underscoring the value of custom investment plans. The unfortunate reality is that large | Read More +

Sage Insights: Global Growth Slows and Valuations Compress Amid Historic Central Bank Tightening

Stocks and bonds lost ground in September, completing a third consecutive quarterly decline. Across the globe, central bankers continued to increase interest rates and the cost of borrowing at an unprecedented speed in an effort to control inflationary pressures. This swift rise in interest rates has created the risk of a monetary policy-induced recession, along | Read More +

Sage Insights: Central Banks Seek Equilibrium, Europe’s Energy Problem, and a Broader Investment Perspective

Stocks and bonds had a broadly negative month in August. Bond returns were negative in most areas of the world as interest rates continued to rise. Stocks in the U.S. and other developed markets declined on average while emerging market stocks were positive. While the indices were mixed, persistent volatility in prices signaled that the | Read More +