ETF Trends publisher Tom Lydon spoke with Sharon French, Executive VP & Head of Beta Solutions at OppenheimerFunds, at Inside ETFs conference that ran Jan. 22-25, 2017.
French discussed economic growth and how the Fed is no longer in the driver seat under the Trump Administration.
An Asset Allocator’s Guide to 2017
Markets seesawed through much of 2016 and, by the eve of the U.S. Presidential election, the S&P 500 Index was up barely 5% for the year, while global markets were up even less. Following the U.S. Presidential election, however, equities moved sharply higher, with the S&P closing out the year up almost 12% while Treasury yields rose above 2.5%.
Will 2017 continue to favor risk assets or will the combination of higher rates and richer valuations help end the cycle? In formulating our 2017 outlook, we asked ourselves three key questions: Does the macroeconomic backdrop support risk-taking? What is the nature and level of risk across assets? And finally, are investors well-compensated today for taking risk?