Allocation Update

Find timely intelligence to inform your portfolio positioning right now. Touchstone conducts deep dive analyses of specific asset classes and offers asset allocation guidance using different approaches that are designed to add value for financial professionals and their clients. While certainly not exhaustive, these fresh perspectives include not only historically significant findings, but they also incorporate more recent trends or ideas about important market or economic environments - the culmination of which can serve as a solid framework for discussion and consideration.

Fixed Income Monthly

Crit Thomas, CFA, CAIA, Erik M. Aarts, CIMA, Tim Paulin, CFA

The economy is holding up, but the drivers are shifting. AI-led investment is doing the heavy lifting while energy shocks and geopolitics add pressure, creating a more uneven backdrop. For fixed income, that combination reinforces a simple message: higher yields matter, but how you capture them matters more.

Allocation Update

Asset Allocation Chart of the Month

Crit Thomas, CFA, CAIA, Erik M. Aarts, CIMA, Tim Paulin, CFA

Beneath a historically expensive S&P 500 cap-weighted index sits a much more attractively valued universe of companies, particularly outside the largest mega-cap growth names.

Allocation Update

International Equities Monthly

Crit Thomas, CFA, CAIA, Erik M. Aarts, CIMA, Tim Paulin, CFA

While we are maintaining our international equity positioning, we recognize that the longer the Strait of Hormuz remains closed the tail risks are growing. The key risk may no longer be an immediate energy shock, but rather a prolonged period of elevated inflation expectations and higher interest rates. Equity markets can tolerate higher oil prices for a time. Persistently higher discount rates are often much harder to absorb.

Allocation Update

Touchstone Asset Allocation Guidance

Touchstone Asset Allocation Committee

AI continues to dominate earnings, economic growth, and even inflation dynamics. While equity market participation has broadened on the surface, much of the underlying strength still traces back to the global AI investment cycle.

Allocation Update

Domestic Equity Monthly

Crit Thomas, CFA, CAIA, Erik M. Aarts, CIMA, Tim Paulin, CFA

Strong earnings are driving the market higher but returns remain concentrated and recent gains may leave equities vulnerable to a near-term pause.

Allocation Update