The global economy lost momentum in July and inflation pushed to new highs, however, risk assets looked through the weak economic data and rallied sharply for the month.  U.S. stocks led the way with 9.2% gains in the S&P 500, helping to recover some of the significant losses taken in the first half of the year. Foreign developed market stocks rebounded with 5% gains while emerging market stocks were basically flat in July. Weaker economic data and a growing belief that inflation may have peaked contributed to a rally in bonds for the month.  Core bonds in the U.S. finished up 2.44% and global bonds were up 2.13%.  Reflecting a return to 'risk-on' in the financial markets, high yield bonds in the U.S. rallied a whopping 5.9% for the month.

This month we focused on the following topics: 

• Behavioral Mistakes – We discuss some of the biggest behavioral mistakes investors make and the impact they can have on their investment returns. We also provide some tips on how to avoid the most common behavioral mistakes.  
• Lessons Learned – We highlight some of the most important lessons we have learned in our investment careers.  We often review these lessons during challenging times as a way to keep us focused on what matters and filter out the noise of the financial markets.

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