In this issue:

Economic and Market Overview

Evaluating the Variables
For investors, there are numerous variables that can impact the trajectory of movements in the financial markets. Among the more traditional variables are monetary policy, fiscal policy, geopolitical risk and economic growth.

Fixed Income Commentary

Flat Quarter, Down Year
The Bloomberg Barclays Aggregate Bond Index finished the fourth quarter with a near-zero return of +0.01%. Investment grade corporate bonds posted their second consecutive quarterly loss versus Treasuries despite the S&P 500 finishing at all-time highs.

Equity Commentary

Equity Returns Keep Going and Going and…
The ascent of U.S. equity returns, like the Energizer bunny, remained undeterred during 2021, exceeding 20.0% for the third consecutive year.