Throughout 2019 we discussed broad based macroeconomic themes of slowing global growth, changes in trade policy, low inflation, political uncertainty, and US recession potential. Despite these concerns, global central bank accommodation, low unemployment, and a strong consumer boosted the global stock markets in 2019. Global equity markets as evidenced by the All Country World Index
(ACWI) experienced the best return since 2009.

Looking out to 2020 and beyond, not a lot has changed. We have a little more clarity on near-term trade with Mexico, Canada, and China, but as in 2019, we expect growth to moderate globally. The continued macroeconomic themes of lower growth, low inflation, and low interest rates have led to a reduction in our long-term capital markets forecasts across most assets classes. In addition, we expect that US elections and geopolitical uncertainty globally will increase the volatility and noise in the investment markets.

Read our full 2020 Capital Markets Forecast.