Chart is for illustrative purposes only. Past performance is not necessarily an indication of future results.
After reaching a new all-time high on October 28, the S&P 500 declined 5% through November 20, leading to concerns of a renewed correction. We believe the market was due for a healthy correction and while further volatility may persist, additional downside would not concern us.
History shows that markets don’t move in a straight line, and drawdowns are normal. Since 1946, the S&P 500 has experienced a median annual correction of 11%.
Additionally, we do not believe we’re heading for a bear market or imminent recession, and we see the latest decline as more technically driven rather than a change in fundamentals or a more negative outlook. In 2026, we expect economic growth near 2% and earnings growth to continue to broaden beyond the tech sector, which should support equity performance. Therefore, staying invested and weathering the downside is critical for capturing potential upside.
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The S&P 500 Index: The S&P 500 Index is a stock‐market index that tracks the performance of 500 of the largest publicly traded U.S. companies, weighted by their market capitalization, and is widely used as a benchmark for the overall U.S. equity market. Investors may not invest directly into any index.
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Views expressed are those of the author stated and do not reflect views of other managers or the firm overall. Views are current as of the date of this publication and subject to change. This information contains projections or other forward-looking statements regarding future events, targets or expectations, and is only current as of the date indicated. There is no assurance that such events or expectations will be achieved, and actual results may be significantly different from that shown here. The information is based on current market conditions, which will fluctuate and may be superseded by subsequent market events or for other reasons. References to specific securities, asset classes and financial markets are for illustrative purposes only and are not intended to be and should not be interpreted as recommendations. Information contained herein has been obtained from sources believed to be reliable but not guaranteed. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission.
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MARK-845998-2025-11-26