- The MSCI ACWI was down -1.55% in March and only 25% of the countries in the model had positive returns. The range of returns between countries stayed fairly wide at 21.57%.
- Dollar strength is continuing to impact investment returns. The currency impact on international equities cost dollar based investors 2.46% last month.
- Performance in Chinese equities has played a major role in the recent strategy outperformance. China is up 24.0% over the last 12 months while the average country is down -2.38%.
- The regional impact from China and Japan has helped strengthen the case for Hong Kong which is now the #3 country in the model.
- The US has continued to move slowly down the rankings and is moving towards a neutral allocation. If international continues to show increased momentum, we would expect the US to settle in the middle of rankings during the second quarter.