January 2022

Chart of the Month

COVID Waves Have Been Slowing, Not Derailing, Growth.

• While we saw PMI contract sharply in 2020 due to COVID, overall economic growth has remained resilient through different variants indicating that the population is learning to adapt to COVID.
• Global growth should slow into 2022 but remain above historical norms.
• Supporting continued economic growth is high savings and wealth and broadening vaccine rollouts.
• Headwinds for growth in 2022 include: maturing economic cycle, inflation, prolonged supply chain issues and tighter monetary policy.
• All of these factors contribute to the reasoning behind our current asset allocation and manager/security selections.