2018 was an interesting year. 2019 is shaping up to be marked with slowing growth in the face of global changes.
Looking back, we can see that 2018 remained an eventful year until the very end. Overall volatility and global growth slowing reflected the concerns over geopolitical concerns such as trade disputes, Brexit and inflation rates. Equity markets were down significantly at 12% in Q4. The US dollar remained strong compared to the euro. Government bonds had a low return in the last quarter of 2018 in almost every market.
With uncertainty across Europe and the United States due to political activity and fiscal stimulus in the US and Europe fading, it is probable that growth will be subdued over 2019, particularly in Europe and Asia. Investors should expect that concerns over this weakening global growth will cause short-term volatility in the markets to continue for some time. However, most experts agree that things look cautiously positive in the long-term.
At Claffey and Egan, we are looking at the best possible options for mitigating any long-term effects of the recent shifts in the markets. Be sure to talk to your advisor about our house portfolio, and see if it might be right for you.
Warning: Past performance is not a reliable indicator of future performance. Any opinions stated in this blog should not be taken as advice. Please speak to a qualified financial advisor to assess your personal financial needs.