High-yield bond weakness has led investors to fear that a recession or bear
market may be forthcoming.
We expect a limited return environment may persist in 2016 and the year
as a whole may look similar to 2015.
Our view is that the U.S. economy — as measured by real gross domestic
product (GDP) — is likely to post growth of 2.5 – 3.0% in 2016.
Gains in 2016 may require tolerance for volatility. Stocks historically have
offered a tradeoff of higher return for higher risk...