The growth rate in the US economy has been declining; Long-term Treasury rates peaked; Small caps started to underperform large caps…

A fatal flaw is saying "3.6% is still good" or "above trend."

The growth rate almost never flatlines or moves sideways at "trend"

The next major asset allocation pivot will come when the growth rate in the economy sustainably changes direction again.

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— Eric Basmajian (@EPBResearch) December 17, 2021

Small caps started to underperform large caps.

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— Eric Basmajian (@EPBResearch) December 17, 2021

So if you want to take the opposite side of these trends such as betting on:

-Higher rates
-Small caps over large caps
-Value over growth
-International over US, etc.

Then you need to have convincing evidence that growth is about to sustainably turn higher.

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— Eric Basmajian (@EPBResearch) December 17, 2021

The Liquidity Threat Looming Over Markets in 2022: FT

After nearly two years of solid gains across stock markets, will the feared roller-coaster return? The answer is yes, due to higher debt levels, the tapering of central banks’ liquidity support for markets and the growth of indexation.