Market Insight | Weekly Brief
October 02, 2023

60/40 Portfolio Woes

60/40 Portfolio Woes

About the Author

avatar
Torsten Slok

Partner, Chief Economist

About the Author

avatar
Torsten Slok

Partner, Chief Economist

With high rates and slowing earnings, the outlook for the 60/40 portfolio remains negative.

The Weekly Brief is a short overview of the macroeconomic trends we’re tracking for investors, prospective clients, and market watchers by Apollo Chief Economist Torsten Slok.

Inflation has been falling gradually, but the conclusion for markets remains the same: We are still above the Federal Reserve’s 2% inflation target. So, we should expect higher rates for longer. Fed fund futures are currently pricing that interest rates will stay elevated until July 2024.

According to the Bloomberg US BMA6040 Index, 60/40 portfolio value is down 5% over the last two months. In an environment of high rates and slowing earnings—which is needed to get inflation under control—the outlook for the 60/40 portfolio remains negative.


This presentation may not be distributed, transmitted or otherwise communicated to others in whole or in part without the express consent of Apollo Global Management, Inc. (together with its subsidiaries, “Apollo”).

Apollo makes no representation or warranty, expressed or implied, with respect to the accuracy, reasonableness, or completeness of any of the statements made during this presentation, including, but not limited to, statements obtained from third parties. Opinions, estimates and projections constitute the current judgment of the speaker as of the date indicated. They do not necessarily reflect the views and opinions of Apollo and are subject to change at any time without notice. Apollo does not have any responsibility to update this presentation to account for such changes. There can be no assurance that any trends discussed during this presentation will continue.

Statements made throughout this presentation are not intended to provide, and should not be relied upon for, accounting, legal or tax advice and do not constitute an investment recommendation or investment advice. Investors should make an independent investigation of the information discussed during this presentation, including consulting their tax, legal, accounting or other advisors about such information. Apollo does not act for you and is not responsible for providing you with the protections afforded to its clients. This presentation does not constitute an offer to sell, or the solicitation of an offer to buy, any security, product or service, including interest in any investment product or fund or account managed or advised by Apollo.

Certain statements made throughout this presentation may be “forward-looking” in nature. Due to various risks and uncertainties, actual events or results may differ materially from those reflected or contemplated in such forward-looking information. As such, undue reliance should not be placed on such statements. Forward-looking statements may be identified by the use of terminology including, but not limited to, “may”, “will”, “should”, “expect”, “anticipate”, “target”, “project”, “estimate”, “intend”, “continue” or “believe” or the negatives thereof or other variation

Market Insight | Weekly Brief
October 02, 2023

More Episodes

More Episodes

Market Insight | Weekly Brief
October 02, 2023

This Series

This Series

Market Insight | Weekly Brief
October 02, 2023

Play Next

Play Next

November 20, 2023

November 13, 2023

November 06, 2023

October 30, 2023


Recommended For You