The major benchmarks we track produced negative total returns for the first quarter of 2026.

• The MS World Equity Index decreased 3.47%.
• The S&P 500 Composite Index decreased 4.33%.
• Balanced Index of 60% MSCI World Equity and 40% BC US Aggregate Bond decreased 2.09%.
• The Conservative Index of 40% S&P 500 and 60% BC US Aggregate Bond decreased 1.76%.

With the composite US Treasury yield curve increasing to 4.5% and coupon yields at historical norms, we believe fixed income securities will produce positive but volatile normalized returns for the next 12 months. We will favor intermediate-term investment grade bonds going forward. We are projecting equities will produce positive normalized returns.  We will continue to prioritize diversified domestic and international stocks and favor equities over bonds in blended accounts.

You can review our current outlook and policy by going to the Client Info page.