Wealth Management Solutions Market Flash Report...Wealth Management Solutions Market Flash Report...

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Wealth Management Solutions Market Flash Report November 2020

Transcript of Wealth Management Solutions Market Flash Report...Wealth Management Solutions Market Flash Report...

Page 1: Wealth Management Solutions Market Flash Report...Wealth Management Solutions Market Flash Report ... Director 10 years Shannon Spradlin Analyst 1 year Executive Summary ... Morningstar

Wealth Management Solutions

Market Flash ReportNovember 2020

Page 2: Wealth Management Solutions Market Flash Report...Wealth Management Solutions Market Flash Report ... Director 10 years Shannon Spradlin Analyst 1 year Executive Summary ... Morningstar

Investment products offered through Enterprise Bank & Trust are: not insured by theFDIC, not insured by any Federal Government Agency, not deposits or other obligationsof Enterprise Bank & Trust and are not guaranteed by Enterprise Bank & Trust or any ofits affiliates, and may lose value. The information provided represents the opinions ofEnterprise Bank & Trust and is not intended to forecast future events or guaranteefuture results. Past performance does not guarantee future returns. The proceedinginformation is for educational purposes only. Investors should consult with theirinvestment professionals for advice concerning their particular situation.

Disclaimer

Page 3: Wealth Management Solutions Market Flash Report...Wealth Management Solutions Market Flash Report ... Director 10 years Shannon Spradlin Analyst 1 year Executive Summary ... Morningstar

2

Todd Baur

Principal

25 years

Warren Holmes, CFA

Director

10 years

Shannon Spradlin

Analyst

1 year

Executive Summary

Economic

• 2020 U.S. GDP is expected to fall 3.6%; followed by an increase of 5.0% in 2021.

• Central Bank balance sheets have expanded considerably in 2020, now rest at $27 trillion.

• U.S. manufacturing was weaker in November 2020 but remains in solid shape.

Equities

• All major global equity indices posted very strong, positive returns in November.

• All S&P 500 sectors generated positive performance in November, led by Energy (+28%).

• Value stocks and small cap stocks FINALLY outperformed their growth/large counterparts.

Fixed Income

• All major fixed income indices posted strong returns, led by Emerging Market Bonds.

• The U.S. 10-year Treasury yield was relative unchanged, landing at 0.84% as of 11/30/20.

• Within non-investment grade bonds, bank loans look more attractive than high yield bonds.

Page 4: Wealth Management Solutions Market Flash Report...Wealth Management Solutions Market Flash Report ... Director 10 years Shannon Spradlin Analyst 1 year Executive Summary ... Morningstar

3

Todd Baur

Principal

25 years

Warren Holmes, CFA

Director

10 years

Shannon Spradlin

Analyst

1 year

Market Performance (as of 11/30/20)

November 30, 2020 MTD QTD YTD 1 Year 3 Year 5 Year 10 Year

Fixed Income Indices

BarCap Municipal 1.51% 1.20% 4.58% 4.89% 4.80% 3.93% 4.36%

BarCap US Aggregate Bond 0.98% 0.53% 7.36% 7.28% 5.45% 4.34% 3.71%

Barclays US High Yield 3.96% 4.48% 5.13% 7.24% 5.68% 7.63% 6.79%

S&P/LSTA Leveraged Loan 2.23% 2.43% 1.76% 3.38% 3.69% 4.73% 4.31%

Barclays Global Aggregate 1.82% 1.92% 7.75% 8.38% 4.50% 4.62% 2.82%

JPM GBI-EM Global Diversified 5.49% 5.94% -0.76% 3.34% 2.52% 5.52% 1.46%

Equity Indices

DJ Industrial Average 12.14% 7.08% 6.11% 8.09% 9.37% 13.54% 13.17%

S&P 500 10.95% 8.00% 14.02% 17.46% 13.17% 13.99% 14.19%

NASDAQ Composite 11.80% 9.23% 35.96% 40.77% 21.07% 19.01% 17.18%

Russell 1000 11.78% 9.08% 16.06% 19.41% 13.66% 14.23% 14.27%

Russell 1000 Growth 10.24% 6.50% 32.40% 36.40% 21.47% 19.56% 17.31%

Russell 1000 Value 13.45% 11.96% -1.00% 1.72% 5.25% 8.44% 10.93%

Russell Mid Cap 13.82% 14.55% 11.86% 14.43% 10.26% 11.75% 12.65%

Russell 2000 18.43% 20.91% 10.41% 13.59% 7.09% 10.25% 11.13%

Russell 2000 Growth 17.63% 18.53% 23.12% 25.95% 12.83% 13.19% 13.30%

Russell 2000 Value 19.31% 23.57% -3.05% 0.35% 0.80% 6.83% 8.70%

MSCI ACWI 12.36% 9.66% 11.60% 15.58% 9.56% 11.44% 9.99%

MSCI World 12.83% 9.40% 11.72% 15.11% 10.11% 11.49% 10.81%

MSCI ACWI Ex USA 13.46% 11.04% 5.40% 10.00% 4.31% 7.89% 5.64%

MSCI EAFE 15.51% 10.91% 3.45% 6.83% 3.77% 6.70% 6.35%

MSCI EAFE Small Cap 13.75% 9.80% 5.52% 10.14% 3.86% 8.52% 8.70%

MSCI Emerging Markets 9.25% 11.52% 10.51% 18.83% 5.31% 11.13% 3.97%

MSCI Frontier Markets 4.10% 5.20% -3.85% 0.32% -0.56% 5.35% 3.52%

Real Assets

FTSE NAREIT Composite 9.65% 6.11% -8.43% -7.71% 4.04% 6.39% 9.19%

Alerian MLP 23.78% 29.20% -30.44% -24.50% -12.06% -7.09% -2.38%

Bloomberg Commodity 3.51% 4.97% -7.71% -3.06% -3.15% -0.57% -6.00%Source: Morningstar, Bloomberg, Barclays, MSCI, FTSE, Dow Jones, Factset Research, HFR

1-year, 3-year, 5-year, and 10-year data are annualized

Market Performance

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4

Todd Baur

Principal

25 years

Warren Holmes, CFA

Director

10 years

Shannon Spradlin

Analyst

1 year

Sector Performance – S&P 500 (as of 11/30/20)

Source: S&P, Morningstar Direct

10.95

14.30

9.55 8.56 7.52

28.03

16.90

7.94

15.97

11.43 12.51

6.95

0.72

14.02

8.21

19.92

30.01

8.81

-36.47

-7.50

9.18 9.75

36.08

17.73

-3.62

-0.22

-50

-40

-30

-20

-10

0

10

20

30

40

S&P 500 Sector Perform ance (%)

1 Month YTD

Page 6: Wealth Management Solutions Market Flash Report...Wealth Management Solutions Market Flash Report ... Director 10 years Shannon Spradlin Analyst 1 year Executive Summary ... Morningstar

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Todd Baur

Principal

25 years

Warren Holmes, CFA

Director

10 years

Shannon Spradlin

Analyst

1 year

Sector Performance – Russell 2000 (as of 11/30/20)

Source: Russell, Morningstar Direct

18.4320.64

15.40

39.16

14.10

17.41 17.0818.54

22.43

12.6010.41

18.79

15.35

-11.59-9.48

33.45

17.49

3.20

28.18

-1.95

-20

-10

0

10

20

30

40

50

Russell 2000 Sector Perform ance (%)

1 Month YTD

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Todd Baur

Principal

25 years

Warren Holmes, CFA

Director

10 years

Shannon Spradlin

Analyst

1 year

Sector Performance – MSCI EAFE (as of 11/30/20)

Source: MSCI

15.51

10.73

15.97

8.52

35.49

22.93

10.35

16.21 16.43 15.89 15.54

12.36

3.45

7.96 8.60

2.29

-29.85

-7.16

9.867.50

19.77

11.32

-9.31

10.57

-40

-30

-20

-10

0

10

20

30

40

MSCI EAFE Sector Perform ance (%)

1 Month YTD

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Todd Baur

Principal

25 years

Warren Holmes, CFA

Director

10 years

Shannon Spradlin

Analyst

1 year

Sector Performance – MSCI EM (as of 11/30/20)

Source: MSCI

9.25

1.36 1.54

8.70

16.17 15.57

7.13

11.6413.23

15.62

10.4312.62

10.51

23.22

35.78

1.53

-20.34

-12.72

37.69

-2.83

38.40

12.17

-15.28

-11.39

-30

-20

-10

0

10

20

30

40

50

MSCI EM Sector Perform ance (%)

1 Month YTD