2024 Market Outlook 

2023 has been a rather promising year. According to Roshan, in 2024, potential returns across various asset classes will be a lot more promising than they have in over a decade. So, what does this mean for your investment strategy? Here are some areas you should look out for in 2024. 

Inflation Insights

Inflation has been a constant topic in the U.S. for almost two years now. The good news is that headline inflation in the developed world has dropped from nearly 8% to under 3.5%. The labor market is balancing out, signalling softer wage growth. Job gains are slowing, and in the U.S., there are 1.3 job openings for every unemployed worker. While inflation may settle at a higher level than in the past decade, there is still reason for optimism heading into 2024. 

The Cash Conundrum

Cash is king. And although a 5% yield is tempting, it might not be the star player in the current environment. Market odds are pointing towards the Fed cutting rates, making cash less attractive. 

Bonds Are Back

November was the best month for U.S. core fixed income in 40 years. So, are Bonds really back? Bonds offer stability, generate income through coupon payments, and rise when economic growth slows. Currently, almost 60% of global government debt offers yields above 3%. 2024 might be the year you resize the bond portion of your portfolio. 

Equities and A.I.

The S&P 500 is up over 20% this year. Why? Because inflation of between 2% and 3% historically yields strong returns for the S&P 500. Earnings growth is picking up, and the impact of A.I. extends beyond tech – companies across various sectors are making significant A.I. investments.

Listen now to learn about the Market Outlook 2024.