December 2024 Market Quick Hit

• The S&P 500 finished the year up 25% marking the second consecutive calendar year of 25% or higher returns (last time this happened was 1997 and 1998).

• Big tech once again fueled the market rally during the year with the “magnificent 7” (Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla) returning over 65% collectively.

• Treasury yields moved higher in December as investors anticipate a more hawkish Federal Reserve, leading bond prices to decline during the month.

• The job market remains solid, fueling continued consumer spending through the holiday season, but is slowly softening as continuing claims have risen to their highest level since November 2021.

• Inflation has come down below 3%, but the decline has stalled out before reaching the Fed's target of 2%, contributing to expectations for fewer rate cuts in 2025.

Positioning & Outlook

• We believe the risk of a recession remains relatively low given the positive GDP readings and solid, albeit waning, job market.

• We enter 2025 with cautious optimism in both the stock and bond markets, supported by a positive economic backdrop while risks of inflation, job market strength, and elevated stock valuations will need to be closely monitored.

• We remain overweight to US stocks and continue to favor shorter term bonds on the fixed income side.

• We believe incorporating alternative assets specific to investment objectives can further improve return, income and risk metrics within a portfolio.

• While our expectations for another 25%+ year from the stock market are tempered, we encourage investors to focus on their long-term objectives rather than short-term comparisons.

Investment Advisory services are provided through Bison Wealth, LLC located at 3550 Lenox Rd NE, Ste 2550 Atlanta, GA 30326 or Bison Advisors, LLC located at 140 Cateechee Trail, Hartwell, GA 30643. Securities offered through Metric Financial, LLC. located at 725 Ponce de Leon Ave. NE Atlanta, GA 30306, member FINRA/SIPC. Bison Wealth, LLC and Metric Financial, LLC are not affiliate entities. More information about Bison Wealth or Bison Advisors  and its fees can be found in their respective Form ADV Part 2, which is available upon request by calling 404-841-2224. Bison Wealth and Bison Advisors are independent investment advisers registered under the Investment Advisers Act of 1940, as amended. Registration does not imply a certain level of skill or training. 

The statements contained herein are based upon the opinions of Bison and the data available at the time of publication and are subject to change at any time without notice. This communication does not constitute investment advice and is for informational purposes only, is not intended to meet the objectives or suitability
requirements of any specific individual or account, and does not provide a guarantee that the investment objective of any model will be met. An investor should assess his/her own investment needs based on his/her own financial circumstances and investment objectives. Neither the information nor any opinions expressed herein should be construed as a solicitation or a recommendation by Bison or its affiliates to buy or sell any securities or investments or hire any specific manager. Bison prepared this Update utilizing information from a variety of sources that it believes to be reliable. It is important to remember that there are risks inherent in any investment and that there is no assurance that any investment, asset class, style or index will provide positive performance over time. Diversification and strategic asset allocation do not guarantee a profit or protect against a loss in a declining markets. Past performance is not a guarantee of future results. All investments are subject to risk, including the loss of principal.

Index definitions: “U.S. Large Cap” represented by the S&P 500 Index. “U.S. Small Cap” represented by the S&P 600 Index. “International” represented by the MSCI Europe, Australasia, Far East (EAFE) Net Return Index. “Emerging” represented by the MSCI Emerging Markets Net Return Index. “U.S. Aggregate” represented by the Bloomberg U.S. Aggregate Bond Index. “Treasuries” represented by the Bloomberg U.S. Treasury Bond Index. “Short Term Bond” represented by the Bloomberg 1-5 year gov/credit Index. “U.S. High Yield” represented by the Bloomberg U.S. Corporate High Yield Index. “Real Estate” represented by the Dow Jones REIT Index. “Gold” represented by the LBMA Gold Price Index. “Bitcoin” represented by the Bitcoin Galaxy Index