Equities highlights


  • Historically, geopolitical crises have provided reasonable entry points for long-term equity investors.
  • As the Federal Reserve transitions to tighter monetary policy, our view is that investors should consider moving up in quality (we prefer U.S. Large and Mid Cap equities) and reducing cyclical exposure in favor of growth exposure.


  • We anticipate above-average revenue growth and slightly lower operating margins to guide the level of earnings growth in 2022.
  • As the U.S. recovery continues, we prefer U.S. over international equities, and we prefer quality and growth-oriented sectors over defensive sectors.


  • Looking ahead, we expect economic growth differentials in favor of the U.S. and developed Europe’s trade exposure to Russia, to add to dollar strength. This leaves us less supportive of developed market international equities.
  • We believe regulatory and economic factors in China will slow the Chinese economy below its pre-COVID-19 pace, potentially dampening the performance of emerging market equities.