Fall 2022 Investor Letter: What Is The Good News

Insights | Fall 2022 Investor Letter: What Is The Good News

Author: David I. Templeton, CFA, Principal and Portfolio Manager

In our Fall 2022 Investor Letter we discuss the current investing environment and the challenges investors face due to the fact most investment vehicles have generated a negative return this year. Historically, investors in a diversified portfolio of stocks and bonds would be insulated in an equity market decline with the bond or fixed income holdings rising in value. Rick Rieder, chief investment officer of global fixed income and head of their global allocation team for BlackRock, was quoted in a recent Wall Street Journal article, “In 50 years we haven’t seen debt and equity markets fall this much in unison.” As of August 2022, 104 out of 112 asset classes have generated a negative return according to Morningstar data.

Negative returns for most asset classes as of August 31, 2022

Charlie Bilello of Compound Advisors prepared a table of prior corrections for the S&P 500 Index that were greater than 5%. The current correction that began on January 4 of this year is the longest since the March 2009 low.

S&P 500 corrections greater than 5% as of October 10, 2022

Our Fall 2022 Investor Letter discusses events currently impacting the market and our market thoughts as we look to year end and into 2023.


HORAN Capital Advisors, LLC is an SEC registered investment advisor. The information herein has been obtained from sources believed to be reliable but we cannot assure its accuracy or completeness. Neither the information nor any opinion expressed constitutes a solicitation for the purchase or sale of any security. Any reference to past performance is not to be implied or construed as a guarantee of future results. Market conditions can vary widely over time and there is always the potential of losing money when investing in securities. HCA and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only and is not intended to provide and should not be relied on for tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.