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Decoding Market Dynamics: Predicting Recessions and Mastering Asset Allocation with Aaron Soderstrom

Lead-Lag Live

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The Different Stages of Asset Allocation

The four main factors are economic growth, credit risk factor, inflation expectations, and real rates. If you follow just those four, you can explain a good chunk of market returns. But what we're seeing right now is growth, for example, hasn't it slowed? And it's definitely trending below trend, but it's not contracting. In that scenario, equity is still have a decent positive expected return. So both growth and credit has been more sideways since January.

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