Source: New York Life Investments Multi Asset Solutions Team FiveThirtyEight Data. As of 9/3/2020. Polling represents a simple weighted average of various general election polls.
Many of the most important factors for the election and the markets are out of the candidate’s control, such as like the path of the pandemic, a vaccine, and the shape of the economic recovery.
Still we suspect that most investors ill-positioned for the impending uncertainty. Equity markets have moved notably higher in recent months, despite a recent setback, which likely contributed to significant portfolio drift. Investors should consider portfolio rebalancing to correct for that. Investors could also consider building a cash position to take advantage of market opportunities, broadening sector and asset class exposure moving beyond Large Cap US technology stocks, and adjusting expectations for future market returns.
This material represents an assessment of the market environment as at a specific date; is subject to change; and is not intended to be a forecast of future events or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding any funds or any particular issuer/security. The strategies discussed are strictly for illustrative and educational purposes and are not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. There is no guarantee that any strategies discussed will be effective.
Any forward-looking statements are based on a number of assumptions concerning future events and although we believe the sources used are reliable, the information contained in these materials has not been independently verified and its accuracy is not guaranteed. In addition, there is no guarantee that market expectations will be achieved.
This material contains general information only and does not take into account an individual’s financial circumstances. This information should not be relied upon as a primary basis for an investment decision. Rather, an assessment should be made as to whether the information is appropriate in individual circumstances and consideration should be given to talking to a financial advisor before making an investment decision.
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