The Evelyn Partners Investment Podcast: Why could equities outperform bonds?
Find out how the global economy escaped a sharp downturn in 2023. Discover how labour markets, spending and borrowing have set equities up to outperform bonds.
Published on 11 Jan 20242 minute read
Listen to the podcast now
Pessimists were proved wrong in 2023 as stocks rallied and the global economy escaped a sharp downturn. Equities are set to outperform bonds, boosted by company sales growth and elevated profits.
The backdrop for bonds is also positive as central banks are expected to cut interest rates, which should lead to higher bond prices.
Last year the S&P 500 was dramatically lifted by the performance of the ‘Magnificent Seven’, consisting of tech companies like Microsoft and Alphabet. This year the US market could broaden out beyond artificial intelligence-led stocks to unloved areas like energy and small caps if a recession is avoided.
How Bestinvest can help you
Our Coaches are always on hand to discuss what’s happening in the markets, give your existing investment portfolio a health check and to talk through your goals and plans.
The value of an investment may go down as well as up and you may get back less than you originally invested.
Past performance is not a guide to future performance.