Disruption and consumer spending – are these the two key trends to watch in 2020? In this video, portfolio managers Marc Pinto and Jeremiah Buckley discuss why they believe US equities should remain an attractive choice for investors over the next 12 months.

Key takeaways: 

  • US equity valuations are reasonable, remaining well within their historical range. The S&P 500 dividend yield has not compressed as much as yields on US treasuries, suggesting greater relative opportunities for prices to rise.
  • Consumer spending has been a core driver behind economic growth performance in 2019. Whether or not that continues will depend in part on wage growth.
  • Disruption is a multi-year trend with global ramifications: those companies with superior earnings and revenue growth are those that may be best positioned to benefit.