Asset Allocation Outlook
There was no end-of-year rally in 2024. In fact, the final trading week in the US was the worst since 1952. Global equities declined in December, with the US posting a slightly larger loss than Europe in local currency. The Tokyo equity market climbed, but as the Japanese yen decreased in value this didn’t benefit foreign investors. The lack of an end-of-year rally in the US isn’t that much of a surprise. Up to the end of November, the S&P500 had noted an upturn of 26.5%. Such a strong rally makes it difficult to accelerate further at the end of the year. The S&P500 recorded an increase of 23.3% over 2024, far higher than Europe (6.5% in euros), Pacific (6.7% in US dollars) and emerging markets (5.4% in US dollars).
Please see Van Lanschot Kempen’s Asset Allocation Outlook for January. The highlights this month are:
- No end-of year rally but 2024 was a good year for US equities
- Rising bond yields hinder US equities but we remain positive
- Trends in emerging markets give us no reason to hold an overweight
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Risque de perte en capital. La valeur des investissements et des revenus qui en découlent peut évoluer à la hausse comme à la baisse. Les investisseurs sont susceptibles de ne pas récupérer l’intégralité de leur investissement initial. Les performances passées ne présagent pas des performances futures et ne sont pas constantes dans le temps.