We went from neutral back to positive on equities. The important thing always with this is looking FORWARD.
There’s always plenty of downside catalysts, but after a healthy earnings season and nearing shutdown resolution – there are some positive longer term catalysts in that “investors can begin to focus on what is in front of them: around $250bn of business and consumer tax cuts and the Fed easing financial conditions through rate cuts and no more balance sheet contraction.”
Key Points:
- The Federal Reserve is taking fed funds rates lower and in an easing cycle to bolster growth. Supportive and can lower market risk.
- Corporate earnings and the consumer remain resilient. Earnings growth in 2Q very strong and above expectations.
- Valuation elevated, but not everywhere. Innovation in artificial intelligence to exert to real economic positive impact and market support.
ABOUT WESTWOOD HOLDINGS GROUP, INC.
Westwood Holdings Group, Inc. (NYSE: WHG) is a boutique asset management firm that offers a diverse array of actively-managed and outcome-oriented investment strategies, along with white-glove trust and wealth services, to institutional, intermediary and private wealth clients. For over 40 years, Westwood’s client-first approach has fostered
strong, long-term client relationships due to our unwavering commitment to delivering bespoke investment strategies with a vehicle-optimized approach, exceptional counsel and unparalleled client service. Our flexible and agile approach to investing allows us to adapt to constantly changing markets, while continually seeking innovative strategies that meet our investors’ short- and long-term needs.
Our Westwood team comes from varied backgrounds and life experiences, which reflects our origins as a woman-founded firm. We are committed to incorporating diverse insights and knowledge into all aspects of our services and solutions. Our culture and approach to our business reflect our core values—integrity, reliability, responsiveness, adaptability, flexibility and collaboration—and underpin our constant pursuit of excellence. For more information on Westwood, please visit westwoodgroup.com.
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