September 2023 highlights

• Inflation adjusted (real yield) for bonds
  Historically, periods of 1.5%+ real yields has been the strongest period for total return of bonds, which have seen a 6.4% average return during the following 12 months.
• Real yield impact on stock and bond correlation
  With lower real yields, bonds had seen their diversifying role diminished. However, periods of real yields has tended to mean negative correlations to stocks, historically.
• Upcoming election year and historical stock returns
  Non-election years such as 2023 have tended to see stocks perform well, with an average annual return of 14.6% since 1926.