Welcome to this edition of Mercer Private Wealth Management’s e-newsletter, Optimist.
Risk assets continue to climb despite a raft of challenges: the spread of the the COVID-19 Delta variant prompting new lockdown measures and restrictions, the theatrics of the debt ceiling stalemate in the US, supply chain disruptions and semi-conductorchip shortages increasing input costs and fueling inflation fears, and regulatory change afoot in China. The US Federal Reserve continues to be the main attraction as it signals a beginning to the end of quantitative easing (with respect to the tapering of asset purchases) starting in Q4 of this year and forecasting its expectations for interest rate increases in the second half of 2022. Recovery and reflation are the prevailing themes driving global markets — and market sentiment. Perhaps lost in all these “macro” headlines is the earning power being generated by global equities — most notably, US equities. The fundamental backdrop remains supportive of equities.
While markets continue to vacillate with uncertainty, we at Mercer remain committed to building up in-house capabilities to support the long-term growth of our Private Wealth practice. Over the past quarter, we have added talent to our Operations Team, Investment Management Team and our private wealth counsellor team. Further, we are investing to upgrade our IT systems and have initiated a comprehensive review with the goal of providing an enhanced experience for our clients, private wealth counsellors and internal teams. And don’t miss our new look and content for value added thought leadership at www.mercer.ca/private-wealth. Finally, we continue to explore and evaluate new value added investment options to expand our investment platform with exclusive, high-quality strategies.
As always, we look forward to the day when a return to office and in-person client meetings becomes the norm — but we understand that safety for all is the most prudent course for now.
Leader, Mercer Private Wealth