MINNEAPOLIS (Nov. 20, 2018) – Following nine straight years of economic expansion, the third-longest stretch since World War II, some investors are starting to wonder how much longer it can last. While the U.S. economy is in the late stages of what will probably go down as the longest-ever economic expansion, there remain ample opportunities in the market, according to RBC Wealth Management’s Global Insight 2019 Outlook.
“None of the major indicators we monitor are signaling that a U.S. recession is on the way or about to start, which means there are still opportunities for investors,” said Kelly Bogdanov, vice president and portfolio analyst at RBC Wealth Management. “Still, we believe that investors should lean away from the riskiest equities and invest in higher quality companies with reasonable valuations.”
RBC Wealth Management’s Global Insight 2019 Outlook, compiled by RBC’s Global Portfolio Advisory Committee (GPAC) showcases analysts’ unique perspectives and highlights compelling opportunities for investors in the year ahead.
The report also explores what may happen with interest rates in the year to come and outlines the impact such moves could have on the market and on investors.
“It’s challenging to gauge the level at which higher interest rates lead to a slowdown in economic activity, but as we reach a more advanced stage of the economic cycle, it can result in higher volatility,” said Craig Bishop, vice president and lead strategist, U.S. Fixed Income Strategies at RBC Wealth Management. “We believe now is a good time for investors to start reducing credit risk in fixed income portfolios, as it’s best to prepare for choppier waters while the seas remain calm.”
In the United States, RBC Wealth Management operates as a division of RBC Capital Markets, LLC. Founded in 1909, RBC Capital Markets, LLC is a member of the New York Stock Exchange, the Financial Industry Regulatory Authority, the Securities Investor Protection Corporation, and other major securities exchanges. RBC Wealth Management has $353 billion in total client assets with approximately 1,800 financial advisors operating in 200 locations in 42 states.
Jonell Lundquist, RBC Wealth Management, 612-371-2239, or firstname.lastname@example.org
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