2026 Outlook

Our outlook for resilient markets and synchronized global economic growth in the year ahead 

After a year defined by policy uncertainty and narrow tech leadership, 2026 begins with the prospect of widening profitability—both within the U.S. and beyond. Global economic growth, solid corporate earnings, and improving policy support are aligning for the first time in years. 

We believe these underlying drivers of investment performance are well positioned to extend the market advance into 2026. Three key themes to consider as we enter the New Year: 

1. Growth is broadening across markets. Earnings participation has begun to expand in earnest—across sectors and regions—as synchronized global economic growth takes hold. 

2. Policy clarity is set to support the expansion. Fiscal, trade, and monetary policies are converging to offer a more supportive backdrop, leaving behind a transitional period during which they served as a source of considerable uncertainty. 

3. Diversification is regaining its relevance. With concentrated U.S. market leadership and elevated valuations across asset classes, we expect opportunistic investment strategies to offer differentiated sources of return in many types of market environments. 

As 2026 begins, we see a maturing yet steady expansion. We believe investors will face fewer extremes as policy volatility recedes and a broader cross-section of stocks contributes to earnings growth. As always, we expect patience and selectivity to be rewarded as we enter the next phase of the market cycle.