Seeing the potential for opportunities in weaker markets
Looking back at 2022 investors faced new headwinds including high inflation and
National Trends, Local Effects
The
Typically, tightening cycles first impact interest rate–sensitive sectors. Later, they lead to job losses across the economy—sometimes even 12–18 months after rates reach restrictive levels. Sectors including technology, residential real estate and manufacturers may have more job cuts.
Pandemic Impacts for Long-Term Resilience
The pandemic and shifting geopolitical risks have raised critical issues in areas including supply chain resilience, access to energy, food and other natural resources, and traditional and digital security. As we move into 2023 and beyond, there will be a renewed focus on stability and security across the global economy with a focus on minimizing those disruptions locally.
Last, healthcare is another highpoint as revenues aren't as cyclical as they are in other sectors. For example, the New Orleans BioInnovation Center has been very successful and has led to the start-up of new companies.
The global reset in valuations presents investors with a broader range of viable options to help achieve their goals. Investors should define and revisit financial goals and then designing investment portfolios to reach those goals.
Disclaimer:
U.S. banks consider raising deposit yields in the face of customer defections
Rising interest rates, the real estate cycle and the new year
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News