What Actually Matters For Markets During Geopolitical Shocks?

Geopolitical tensions, particularly in the Middle East, have raised new questions for investors as energy prices, inflation expectations, and interest rates respond in different ways. While headlines can drive short-term volatility, markets are ultimately reacting to how these events influence the broader economic backdrop—leading to a more nuanced and sometimes conflicting set of signals beneath the surface. In our latest Quarterly Investment Perspective, we explore how markets process geopolitical risk and what tends to matter most over time.

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Narrow Market Leadership and Higher Expectations — Are We in a Bubble?

Stock market gains have become increasingly concentrated in a small group of companies, raising questions about how sustainable today’s market leadership really is. At the same time, strong earnings, innovation, and easing financial conditions continue to support investor confidence, creating a tension between optimism and caution. In our latest Quarterly Investment Perspective, we explore whether current market dynamics reflect excess—or a more nuanced phase of the market cycle—and what it means for long-term investors.

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