The buoyant mood that pushed stocks higher through year-end 2016 continued into the first quarter as signs of an improving global economy continued to mount. Stock indexes were up across the board. Emerging-market stocks were the star performers.
As we discuss in this quarter’s commentary, a quick survey of the economic landscape suggests the environment should remain supportive of stocks and other risk assets, at least over the next six to 12 months or so.
We are always comparing investment opportunities. While we believe prospective returns in specific private real estate investments are lower than in the past, we also believe they continue to stand out compared to what we expect from stocks and bonds over our investment decision horizon.