(PUB) Investing 2016

12

S&P 500 Recoups Losses to Move Into the Black for 2016 Market Overview | Andrew Daniels

Benchmark Performance

Total Return % Through

A N N U A L I Z E D

03-31-16

1Mo

YTD

3Yr

5Yr

10Yr

Large Growth Large Blend Large Value

6.2 6.4 6.9 7.3 7.3 8.5 7.1 7.7 8.2 6.0 3.6 4.7 6.0 7.0 9.2 6.6 9.7 7.5 8.2 6.8 8.5 8.0

-2.5

11.1

9.9 9.6 8.8 7.6 7.7 8.1 6.5 6.7 6.6 5.8 4.0 5.9 7.1 6.7 6.4

6.6 6.0 5.2 6.0 5.9 6.1 5.4 5.2 5.1 4.2 4.1 5.0 4.0 1.1 2.9 5.7 7.3 7.2 6.9 7.8 5.3 2.8 2.4 2.9 1.6 2.8 0.7 4.4 2.8 4.1 4.3 2.3 1.6 2.1 5.5 3.6 4.5 4.3 4.3 4.7 6.8 4.9 1.3

0.3 1.3

9.6 8.2 8.4 7.8 7.9 6.3 6.4 6.1 5.6 2.6 5.2 8.4 6.3 4.0

Mid-Cap Growth Mid-Cap Blend Mid-Cap Value

-1.8

1.3 2.4

U.S. stocks rebounded sharply in March. The S&P 500 rose 6 . 8% , and it is now in the black for 2016 , and the Russell 2000 Index rose 8 . 0% but remains 1 . 5% in the red for the year. Stocks rallied as U.S. economic data continued to show signs of strength and oil prices rebounded. Additionally, the Federal Reserve signaled it would take a cautious approach when increasing interest rates in the future. Overseas markets also rebounded in March. European stocks rose 6 . 5% amid the European Central Bank’s announcement that it would expand its stimulus program by cutting interest rates and increasing the monthly government bond purchases to EUR 80 billion, up from EUR 60 billion previously. Emerging markets stocks climbed across the board. Brazilian and Greek stocks rose 31% and 24% , respectively, while Chinese stocks rose 12% . DFA Emerging Markets Value DFEVX climbed 14 . 7% . Brent crude prices ended March at $38 . 34 , up ap- proximately 8% from its price at the end of February, and up 24% from its January low. As a result, the energy sector was the top-performing sector during the month, rising 10% , led by oil and gas giants Chevron CVX , Phillips 66 PSX , and ConocoPhillips COP . Neutral-rated Vanguard Energy VGENX rose 12 . 3% . The technology sector also posted strong results, as Apple AAPL and Cisco CSCO each rose more than 8% . Although the healthcare sector posted a 3 . 3% gain in March, it was still the worst-performing sector. Valeant Pharmaceuticals VRX fell more than 60% as it lowered earnings forecasts and implied it could potentially default on its debt. In addition, biotech firm Alexion Pharmaceuticals ALXN , Botox producer Allergan AGN , and medical-device maker Medtronic MDT all posted negative results. K Contact Andrew Daniels at andrew.daniels@morningstar.com

Small Growth Small Blend Small Value

-4.3

0.6 2.2 0.6 1.7 0.9

Aggressive Allocation Conservative Allocation Moderate Allocation

Communications

5.5

Financial

-5.1

Global Real Estate

3.9

Health

3.2 -13.5

15.0 -8.1

16.2 -7.2 -18.1 10.8

10.0 -0.8 -3.0

Natural Resources

10.1

5.3

Equity Precious Metals

40.7 -15.7

Real Estate Technology

4.7

9.4

-2.3 11.4

13.7

8.9 9.2

Utilities

7.5

S&P 500

1.4 3.8

11.8

11.5

S&P MidCap 400

9.5 6.9

9.5 7.2

Russell 2000

-1.5

Diversified Pacific/Asia Diversified Emerging Mkts

8.6

-0.8

2.5

3.3

11.0

3.9

-4.5

-3.8

Europe Stock

6.0 6.9 6.7 7.1 7.2 8.1 6.8

-2.5 -2.0 -2.0 -1.6 -1.5 -0.1

3.8 1.7 2.8 1.3 5.7 4.0 5.7

3.3 1.6 2.9 1.0 5.5 2.8 5.5

Foreign Large Blend Foreign Large Growth Foreign Large Value

Foreign Small/Mid Growth Foreign Small/Mid Value

World Stock

0.1

MSCI World

6.8

-0.3

6.8

6.5

MSCI Emerging Markets

13.0

6.4

-5.1

-4.8

MSCI EAFE MSCI Europe

6.6 6.3

-2.7 -2.5

1.9 2.7

2.1 2.1

MSCI Latin America

20.2

18.5 -17.2

-14.1

-1.3

MSCI Pacific

7.1

-3.8

1.3

2.8

High Yield Bond

3.5 2.1 1.3 0.5 3.1 0.9 4.4 0.3

2.1 3.6 2.5 1.6 4.2 3.0 3.2 1.7

1.1

3.8 1.9 3.5 6.0 1.8 3.8 4.7 5.6

Inflation-Protected Bond Intermediate-Term Bond

-1.6

1.9 3.3 0.1 2.4 1.8 3.6

Muni National Long

World Bond

BarCap US Agg Bond TR USD BofAML US HY Master II TR BarCap Municipal TR USD