Monday, Oct 31

Weekly Talking Points for Financial Advisors (10/31/2022)

As an OCIO, Helios distributes a 19-page Weekly Report to member firms every Friday, which includes risk level summaries, model allocations, detailed model positioning information, market index information, and much more. Here, we are sharing discussion points for Financial Advisors to use with their clients which we provide in the Weekly Report.

Read the highlights of this week's commentary from Helios:

Third quarter US GDP rose at a 2.6% annualized rate, slightly ahead of expectations for a 2.4% rise. As a result, immediate recession talks were effectively put to bed in this report, but risks still remain for next year. The gain also reverses the prior two-quarters of losses, putting the inflation-adjusted size of the US economy slightly above Q4 2021.

In the GDP report, personal consumption, making up ~70% of the economy, grew at a 1.4% annualized rate, which slowed from Q2, but remains higher than Q1. Residential investment fell off a cliff, -26.4%, though business investment rose by 3.7%.

The Fed is meeting this week and will announce its next policy move on Wednesday. As of Friday at noon ET the market is pricing in an 84% probability of a 75 basis point hike and 16% for a 50 basis point hike.

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Team Helios

Team Helios

Helios partners with Financial Advisors to help them grow their business, save time, and add scale to their services through enhanced asset management capabilities. Helios was founded in 2016 in Granite Bay, California.