SLC Management 2022 Mid-Year Global Investment Outlook

From an economic standpoint, 2022 has already been a year of both challenges and opportunities. Inflation has become a critical issue globally, and particularly in the U.S.

Against that backdrop, we expect the Federal Reserve to continue to increase the federal funds target rate multiple times during the year. This will have important implications for fixed income markets, as will the Fed’s continued tapering of its asset purchase program. Markets have already priced in significant rate rises and this is beginning to create more attractive entry points into many fixed income asset classes than we have seen in a number of years.

The COVID-19 pandemic and the sudden emergence of hostilities in Europe have made the past two years one of the most difficult periods in our country’s history. The war in Ukraine has created a political and humanitarian crisis in Europe on a level not seen since the second world war, and as of this writing, the outcome of the conflict remains very much in question. Nevertheless, the Ukrainian people, the U.S., NATO, and many others remain committed to countering Russian aggression and restoring peace in Europe. Despite this, U.S. financial markets have remained resilient—sometimes stunningly so. While geopolitics and unexpected crises may yet produce more adversity for investors, we expect that the U.S. economy and the American people will meet any new challenges with calm determination.

Investment professionals across SLC Management, BentallGreenOak, InfraRed and Crescent Capital provide invaluable insights into what lies ahead for traditional and alternative investments, as well as for the global economy. Read the full report here.