What’s attractive amid the volatility? Insights from Michael J. Kelly, CFA

While the market worries about China’s ability to continue driving global growth, we expect developed market economies to accelerate after a period of deleveraging

Our Capital Market Line, a five-year forward-looking view into risk and return across the asset class spectrum, repriced this quarter and exhibits a normal slope once again. Unusually wide dispersion among asset classes remains and volatility has reset higher, driven by the shift that previously favored emerging markets – and now more favorably positions developed markets.

We believe intermediate-term investors should take advantage of the emotional market environment, and continue to lean toward growth assets.