Three weeks ago, the S&P 500 (a measure of U.S. Large Cap stocks) hit a new closing high of 2011.36 (intraday high of 2019 a day later) and was up 10% for the year after returning 32% the year prior. Such fantastic returns over a relatively short period of time prompted the SEIA Investment Committee to mention this past July that investors should “revisit ones asset allocation as the moves over the last 18 months may have left some investors overexposed.” But now that the U.S. stock market has backed away from its historical high, investors are now asking whether anything has changed or rather has the change in fall colors coincided with a change in our outlook for economic growth.

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