Macroeconomic Global Asset Allocation

Our Global Asset Allocation Service was built on the thesis that forecasts and evolving macroeconomic conditions drive broad asset class returns.

Non-Traditional

Commonly, dynamic asset allocation approaches do not incorporate a formal macro exercise as a core element or starting point. Conditions in the economy are part of any Asset Manager’s decisionmaking but typically not formalized as an explicit macroeconomic forecast and risk-driven, change-focused method of asset allocation.

Model-Based

Decision Economics’ US macro modeling exercises are updated daily, considering key macroeconomic drivers, including consumption, exports, and real GDP. Results from DE Macroeconomic Research are incorporated into the US macro modeling exercises, creating explicit links to the global economy. Broad outputs from US Model are blended in 10 Sector and Industry Models with intermediate macro data (example: PPI for Oil/Gas in Energy Sector) in a Baseline Scenario to forecast S&P500 Quarterly Earnings over a 5-year horizon. 

Detailed quarterly reports provide weightings by region, asset class and sectors as well as qualitative discussion around our rationale and outlook. Intra-quarter updates provide insight on dynamic shifts in thinking based on evidence.

Inquire about our Global Asset Allocation historical results available against relevant benchmarks since inception in 2002.