Winter 2022 Investor Letter: Closing The Book on 2022

Insights | Winter 2022 Investor Letter: Closing The Book on 2022
Winter 2022 Investor Letter Cover

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

“A Bear of a Market” and “Nowhere to Hide.” These were a few of the headings from our Investor Letters last year, so along with most investors we are happy to close the book on 2022. Most asset classes generated a negative return last year with it being one of the worst years ever for the classic balanced investment portfolio of 60% stocks and 40% bonds. Despite declines in December, asset classes were largely positive in the 4th quarter as illustrated by the blue bar in the chart below. The rally was also noteworthy because international stocks outperformed U.S. stocks in the final three months of the year after underperforming for some time. As we comment in the Investor Letter, one cannot predict stock market bottoms, but the market pullback in 2022 is creating an environment maybe like 1982, i.e., an opportunity to invest in some good companies at reasonable prices. More of our thoughts on 2022 and expectations for the coming year are discussed in more detail in our Winter 2022 Investor Letter.

Asset Class returns as of December 30, 2022


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.