The BEAT

BONDS | EQUITIES | ALTERNATIVES | TRANSITION

March 2025

The BEAT | March 2025

 The BEAT provides connectivity between changing market events and implications for
TOP IDEAS investor portfolios.

3 Spanning Bonds, Equities, Alternatives and Transition*, this monthly review provides timely
information across a broad array of markets and investment topics.

BONDS Each edition explores investment ideas, identifies areas of focus and provides a
comprehensive outlook on asset allocation — all supported by a concise review of economic
22 and asset class data through clear and impactful charts.

We believe The BEAT is a critical desk reference that enables more informed discussion and
EQUITIES
understanding of financial markets.
34
17
29
3
ALTERNATIVES
45
If you are viewing this book on your computer or
TRANSITION tablet, click or tap on the section box to jump to
the beginning of each section.
51

Data provided is for informational use only. See end of report for important additional information.
*Transition is an asset allocation view, which refers to cash, cash equivalents or liquid short-duration assets, such as short-dated Treasuries, that can be used to “transition” to other
asset classes.

The BEAT | March 2025 2

TOP IDEAS

Key Themes for March 2025

Europe: The Underdog Let’s Get Fiscal: Tariffs, Taxes, Budget

Tariffs, reconstruction and reindustrialization. Europe is It’s part of the plan. One of President Trump’s main goals
the next regional target for tariffs, and although this is well- this year is to pass a pro-growth budget plan, accomplished
advertised, the announcement may still roil markets. We by creating easier fiscal policy spurred by tax relief, while
would view this as a buying opportunity. While European simultaneously controlling the deficit. As we saw in February,
equities are the consensus underweight heading into 2025, tariffs were the first step to create the revenue needed to
they are the best performing DM year-to-date. As PMIs (an offset his plan to lower taxes. Starting in March, the linkage
indication of the health of manufacturing) recover from a between the two will become part of the narrative, where we
multi-year trough below 50, Europe is poised to recover. A will be watchful of which sectors stand to benefit most.
ceasefire between Russia and Ukraine would provide further
support. After all, doesn't everyone like the underdog!
Growth: Taking the Easy Way Out
To Be or Not To Be Inflationary Despite the noise, growth is still good. Global economic
That is the question. Whether tariffs are inflationary or not growth is still pointing toward expansion. Other than Japan,
is hotly debated. On the one hand, they may not be because global central bank policies remain easy or at least are not
without a monetary offset the impact is just a one-off rise in tightening. This provides a tailwind to earnings and margins
prices subject to substitution effects to lower priced goods. and is supportive of asset prices - let's not lose sight of this
On the other, it may be because it disrupts supply chains and as it provides the signal through the noise. We think this
creates inefficiencies that put sustained upward pressure on supports a broadening of markets and our cyclical recovery
prices. What does the market think? It seems to have sided theme.
with mildly-inflationary, as inflation breakevens have risen.
This puts duration at risk.

The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing of this presentation and are subject to change at any time due to market, economic, or
other conditions, and may not necessarily come to pass. Not to be construed as an investment or research recommendation.

The BEAT | March 2025 3

TOP IDEAS

The Portfolio Solutions Group – Our Top 4 Ideas

Adding to Equities Are Bonds Riskier than Stocks?

Finding value and diversification in Europe. It is counter the Duration. We have shifted portfolios to a modest underweight in
consensus to add to European equity exposure, but this is what we duration, but we may continue to reduce. This is because 1) we hold a
are doing regardless. Why? A number of reasons: Recovering global view that the yield curve may continue to steepen and 2) pro-growth
PMIs, a low bar for earnings expected to surprise to the upside, fiscal policy is unfolding alongside tariffs, tilting the scales towards
German elections, pro-growth polices gaining favor and diversification slightly higher inflation. As such, we prefer adding exposure to equities
all benefit European equities as an attractive large-cap value play. at the expense of duration-sensitive bonds. However, we remain
One of our themes calls for a broadening of the markets that favors overweight less duration-sensitive and higher-yielding credit.
cyclicals and value, which we are adding exposure to in both the U.S.
and Europe.

Add Exposure to European Construction A Turning Point for Real Estate

Improving fundamentals with positive optionality. After a Pricing stabilizing amid improving fundamentals. Real estate has
challenging few years, the European Construction & Construction been experiencing a repricing over the last few years in response to
Materials sector looks poised for a rebound, as the tailwind from rate higher interest rates, cyclical oversupply and, in certain sectors,
cuts works its way into construction activity. Additionally, news of a secular demand destruction. However, the long-term operating outlook
ceasefire in Ukraine and related reconstruction efforts could provide a is markedly improving, with future supply materially decreasing and
further boost to EPS, providing positive optionality to the trade. With the demand destruction underway in certain sectors stabilizing. Entry
cheap valuation and relative insulation from tariff risks, we view this as pricing is meaningfully lower, providing a margin of safety and an
an attractive opportunity. interesting access point to these improving fundamentals.

The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing of this presentation and are subject to change at any time due to market, economic, or
other conditions, and may not necessarily come to pass. Not to be construed as an investment or research recommendation.

The BEAT | March 2025 4

TOP THEMES

Market Measures of Inflation Have Been Trending Higher

Are tariffs inflationary? On the one hand, without a monetary offset the impact is just a one-off increase in prices which are
then subject to substitution effects. On the other, tariffs disrupt supply chains and create inefficiencies that may lead to
sustained inflationary impulses. Thus far, markets seem to have sided with the latter argument, with longer-term breakevens
all moving above post-pandemic averages for the first time since late 2022.
Inflation Breakevens Recently Broke Above Post-Pandemic Averages
U.S. 5Y, 7Y, 10Y inflation breakevens (%) with post-pandemic averages
3.6

3.4

3.2

3.0 Long-term inflation breakevens have all

risen above post-pandemic averages…
2.8

2.6

2.4

2.2

2.0
Jan 2021 Jul 2021 Jan 2022 Jul 2022 Jan 2023 Jul 2023 Jan 2024 Jul 2024 Jan 2025
US 5Y Breakeven US 7Y Breakeven US 10Y Breakeven
5Y Breakeven Avg 7Y Breakeven Avg 10Y Breakeven Avg
Source: Bloomberg, MSIM. As of February 11, 2025. “Inflation breakevens” are a market-based measure of inflation expectations. The views and opinions expressed are those of the
Portfolio Solutions Group at the time of writing/of this presentation and are subject to change at any time due to market, economic, or other conditions, and may not necessarily come to
pass. Forecasts/estimates are based on current market conditions, subject to change, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 5

TOP THEMES

Regime Change: Excess Liquidity Shifting from Public to Private Sector

It’s a zero-sum game. Larger public sector spending from the government crowds out the private sector. Many worry that
Trump’s plans to reduce government spending will hurt growth, but we do not believe this to be the case. The private sector
can replace the public sector as a growth engine, which is beneficial as the private sector tends to have higher productive
growth (i.e. higher growth with a lower inflation impulse).

As Money from Fiscal Largesse Wanes, the Private Sector Can Take Over as the Growth Driver
Fed balance sheet (RH, in $ billions), reverse repo facility (LH, in $ billions)
$3,000 $9,500

$2,500 $8,500
Reverse Repo Facility (in $ billions)

Fed Balance Sheet (in $ billions)

$2,000 $7,500

$1,500 $6,500

$1,000 $5,500

$500 $4,500

$- $3,500
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Reverse Repo Facility (in $ billions) Fed Balance Sheet (in $ billions)

Source: Bloomberg, MSIM. As of February 11, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 6

TOP THEMES

Tariffs Will Impact Global Trade, but Risks Are Skewed Towards ex-U.S.
We continue to view the core policy priorities of the Trump administration as net positive for the U.S. (deregulation, taxes)
and negative for ex-U.S. (tariffs). Canada, Mexico and China represent ~40% of U.S. trade and have all been subjected to
noise surrounding tariffs. While trade represents ~25% of U.S. GDP, it represents ~70% of GDP for Canada and Mexico.
Canada, Mexico and China Are ~40% of U.S. Trade… … but the U.S. Relies Less on Trade than Its Peers
Share of U.S. imports/exports by region (%) Trade in goods and services as % of GDP
100% 100%

90% 90%

80%
80%
70%
70%
60%
60%
50%

50% 40%

40% 30%

20%
30%
10%
20%
0%

2016
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015

2017
2018
2019
2020
2021
2022
2023
10%

0% United States Germany Japan UK

Imports Exports
Mexico Canada China
Canada Mexico China Rest of World

Source: World Bank, Council of Foreign Relations, MSIM. As of February 11, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of
this presentation and are subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Past performance is no guarantee of
future results.

The BEAT | March 2025 7

TOP THEMES

Economic Policy Uncertainty Has Risen to Near All-Time Highs

Heightened uncertainty surrounding the path for tariffs, taxes and government spending have all driven gauges of general
economic policy uncertainty to levels not witnessed since 2008 and 2020. Despite this, economic growth data remains solid
and continues to point towards expansion. We remain focused on these signals amid the noise and uncertainty.

Economic Policy Uncertainty Has Spiked to Levels Consistent with Past Crises
Baker, Bloom and Davis U.S. Economic Policy Uncertainty Index
700

600

500

400

300

200

100

0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Source: Bloomberg, MSIM. As of February 11, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 8

TOP THEMES

4Q24 Earnings Scorecard: Materials Lead Improvement in Cyclicals

With ~73% of market cap now having reported, earnings for cyclical sectors have improved noticeably since last quarter, with
the average positive-negative surprise spread now at 62%, compared to 39% last quarter. Within cyclicals, the largest
marginal improvement since last quarter was in materials, which displayed more positive surprises after a difficult Q3.

Earnings for Cyclical Sectors Have Shown More Positive Surprises thus far in Q4
Positive-negative surprise metric spread by sector group
90
Positive-negative surprise metric for cyclicals
has risen by ~23% from last quarter 80

70

60

50

40

30

20

10

0
2023 Q1 2023 Q2 2023 Q3 2023 Q4 2024 Q1 2024 Q2 2024 Q3 2024 Q4
Cyclicals Defensives (ex utilities) Technology/Growth
Source: Bloomberg, MSIM. As of February 11, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 9

TOP THEMES

A Continued Manufacturing Recovery Should Benefit SMID Segments

Manufacturing PMIs have historically displayed high correlations with earnings growth trends. Interestingly, large-cap earnings
have decoupled from their historical relationship with PMIs, while small- and mid-caps (SMID) continue to move in line. A
continued manufacturing recovery should benefit small- and mid-caps, and further fuel a broadening in U.S. equity markets.

Large-Cap EPS Has Defied the Trend in PMIs… … While for Small Caps the Trend Is More Consistent
ISM manufacturing (LH), S&P 500 BF Real EPS 6M Change (RH) ISM manufacturing (LH), S&P 600 BF Real EPS 6M Change (%)
70 30% 70 45%

65 65 35%
20%
25%
60 60
10%
15%
55 55
0% 5%
50 50
-10% -5%
45 45
-15%
-20%
40 40
-25%

35 -30% 35 -35%

30 -40% 30 -45%

2013
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025

2007
2008
2009
2010
2011
2012

2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
ISM Manufacturing PMI S&P 500 Real BF EPS 6M % Change ISM Manufacturing PMI S&P 600 Real BF EPS 6M % Change

Source: Bloomberg, MSIM. As of February 11, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 10

TOP THEMES

Equities Expected to Continue to Dominate Returns in a Balanced Strategy

We expect equities to continue to dominate returns in a balanced portfolio strategy. But the main difference going forward is
that as the interest rate cycle moves sideways, passive bond strategies may not prove to be an effective hedge. One needs
to actively manage duration risk within bond allocations moving ahead.
Equities Are Expected to Continue to Dominate Returns in a Balanced Strategy
Return contributions in a 60/40 portfolio (as measured by S&P 500 and Bloomberg Global Aggregate Bond Index)

40% 40%

30% 30%

20% 20%

10% 10%

0% 0%

-10% -10%

-20% -20%

-30% -30%

Equity Contribution

Source: Bloomberg, MSIM. As of December 31, 2024. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Forecasts/estimates are based on current market conditions, subject
to change, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 11

TOP THEMES

Bank Loans Continue to Deliver Strong Performance

We continue to hold a favorable view on bank loans, which have outperformed other sectors of the credit markets since the
onset of the Fed rate cutting cycle last September. Valuations remain attractive and the sector offers high carry relative to
other areas of fixed income.

Loans Continue to Outperform Other Credit Sectors Since the Fed Began Cutting Rates
Performance since 9/18/2024 (first Fed rate cut)

6%

4%
Loans
3.4%

2%
US High Yield
2.7%

0% US IG Corporates
-0.7%

-2% 10Y Treasury

-2.7%

-4%

-6%

-8%

-10%
Sep 2024 Oct 2024 Nov 2024 Dec 2024 Jan 2025 Feb 2025

Source: Morningstar, MSIM. As of February 28, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Forecasts/estimates are based on current market conditions, subject
to change, and may not necessarily come to pass.Past performance is no guarantee of future results.

The BEAT | March 2025 12

TOP THEMES

Mortgage-Backed Securities: Brightest Bright Spot in Fixed Income?

We continue to hold a high-conviction overweight on Mortgage-Backed Securities (MBS) as U.S. 30-year fixed mortgage
rates are higher than BB-rated corporate yields, a rare occurrence in the past 25 years.

Agency MBS Spreads Look Attractive Today The Demand for Agency MBS Is Expected to Rise in 2025
Current spread to worst (RHS) and 10-year spread BankPortfolio demand (in $ billions)
percentile (LHS)

140 100% 350.0

90%
120 300.0
80%
100 250.0
70%
60% 200.0
80
50% 150.0
60
40%
100.0
40 30%
20% 50.0
20
10% 0.0
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
0 0% proj.
-50.0
AAA AA A BBB Agency
MBS
-100.0
10-Year Percentile Current Spread (bps)

Source: Bloomberg, MSIM. As of February 28, 2024. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Forecasts/estimates are based on current market conditions, subject
to change, and may not necessarily come to pass. It is not possible to invest directly in an index. Past performance is no guarantee of future results.

The BEAT | March 2025 13

TOP THEMES

Europe: The Underdog

As PMIs recover from a multi-year trough below 50, Europe is poised to generate improved performance, with a ceasefire
between Russia-Ukraine potentially providing added support to this sentiment. Although Europe is the next regional target for
tariffs, this is a well-advertised headwind, something we view as a buying opportunity.

The Drag on PMIs from Monetary Policy and FX EU GDP Forecasts Have Been Significantly Revised Down
Appreciation Is Set to Fade in Coming Months Since the Odds of a Trump Victory Started to Rise;
EU manufacturing PMI (LH), GS EU financial conditions The Impact of Tariffs Looks Well “Baked In”
(6M lag, inverse) (RH) Bloomberg consensus forecast for 2025 GDP growth
65 -2 1.5

-1.5
1.4
60
-1
1.3
-0.5
55

0 1.2
50
0.5
1.1
1
45
1.5 1

40 2
0.9
2001 2005 2009 2013 2017 2021

EU Manufacturing PMI
0.8
GS EU Financial Conditions Index (6M Lag,Inverse, RHS)) Jan-24 Apr-24 Jul-24 Oct-24 Jan-25
Source: Macrobond, Bloomberg, Goldman Sachs, MSIM. As of January 17, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this
presentation and are subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Forecasts/estimates are based on current market
conditions, subject to change, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 14

TOP IDEAS

Adding European Equity Exposure

It is counter consensus to add to European equity exposure, but this is what we are doing regardless. Why? Recovering
global PMIs, a low bar for earnings to surprise to the upside, German elections, pro-growth polices gaining favor and
diversification* all benefit European equities as an attractive large-cap value play.
Despite Rising Growth, 2025 Expectations Are Still Earnings Revisions Are Rebounding from a low Base,
Significantly Lower than for the U.S. Suggesting a lot of Negativity Was in the Price
IBES EPS growth expectations Earnings revision ratio; 3M Moving Average
14% 6

12% 4

11% 11%
2

8%
-2

-4

-6

-8
1%
-10

2024 2025 2026 -12

Feb-22 Nov-22 Aug-23 May-24 Feb-25

MSCI Europe MSCI USA MSCI EMU S&P 500 MSCI Japan

* Diversification does not eliminate the risk of loss. IBES stands for the Institutional Brokers’ Estimate System.
Source: Bloomberg, MSIM. As of February 17, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 15

TOP IDEAS

Overweight European Construction

After a challenging few years, the European Construction & Construction Materials sector looks poised for a rebound, as the
tailwind from rate cuts works its way into construction activity. Additionally, news of a ceasefire in Ukraine and related
reconstruction efforts could provide a further boost to EPS, providing positive optionality to the trade.
Leading Indicators Point to a Recovery in Construction Activity in 2H25
ECB bank lending survey expected mortgage demand (4Q lag) (LH), EU residential spending (RH)
25
65
20

45 15

10
25
5
5
0

-15 -5

-10
-35
-15
-55
-20

-75 -25
2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026

ECB Bank Lending Survey Expected Mortgage Demand (4Q Lag) EU Residential Spending

Source: MSIM, Bloomberg. As of February 17, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Forecasts/estimates are based on current market conditions, subject
to change, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 16

TOP IDEAS

A Turning Point for Real Estate

Real estate has been experiencing a repricing over the last few years in response to higher interest rates, cyclical oversupply
and, in certain sectors, secular demand destruction. However, the long-term operating outlook is markedly improving, with
future supply materially decreasing and the demand destruction in certain sectors stabilizing. Entry pricing is meaningfully
lower, providing a margin of safety and an interesting access point to these improving fundamentals.

U.S. Cap Rates Have Stabilized… …and the Pace of New Construction Has Slowed
Real estate sector cap rates (%) Construction square footage (M, LH), as % of inventory (RH)
11.0% SF (M) Construction % of Inventory

1,400 7.0%

10.0%
1,200 6.0%

9.0%
1,000 5.0%

8.0% 800 4.0%

600 3.0%
7.0%

400 2.0%
6.0%

200 1.0%

5.0%
0 0.0%

4.0%

Office Retail
Multifamily Industrial
Office % of Inventory Retail % of Inventory
Office Retail Multifamily Industrial Multifamily % of Inventory Industrial % of Inventory

Source: CoStar (Sept 01 – Dec 24) as of February 1, 2025. The views and opinions expressed are those of the Portfolio Solutions Group at the time of writing/of this presentation and are
subject to change at any time due to market, economic, or other conditions, and may not necessarily come to pass. Past performance is no guarantee of future results.

The BEAT | March 2025 17

TOP IDEAS

Capital Markets Investment Framework Current allocation

Change from previous
––
–
High conviction underweight
Underweight
Representative Allocations from the Portfolio Solutions Group = Neutral
+ Overweight
++ High conviction overweight
Asset Allocation Our View Commentary
–– – = + ++
Bonds

Duration We remain underweight duration. While the UST 10Y yield at ~4.5% sits towards the middle of our view on a
longer-term range, we see the near-term balance of risks skewing higher with recession risk low, but inflation
risk a relevant focus.
Credit

Equities We remain overweight equities, having added incrementally to our European equity exposure in February. Our
core view in the U.S. remains soft landing, and we continue to assess U.S. political developments as net
Risk Level positive for 2025 equity returns. We remain vigilant to new policy developments.

Alternatives Private investment activity has been subdued year-to-date as investors cautiously interpreted announcements
to changes in U.S. Fed policy, including its interaction with global geopolitics. However, we believe the
Private Markets directional clarity of the new administration and the continuing maturation of relatively low-cost financing are
expected to expand deal-making activity in 2025. In addition, attractive entry prospects have emerged within
sub-segments of real estate, private equity and private credit, but investor commitment levels have not yet
responded to the heightened level of opportunity.
Hedge Funds
Hedge funds are benefiting from a constructive market environment for skill-based managers. We maintain
conviction in equity long/short and fixed income relative value strategies as our expectations for market
dispersion remain supportive while correlations have decreased at the micro level.
Commodities We remain neutral on key commodity markets as geopolitical upside risks are balanced by high spare capacity
in markets such as crude, which limit upside absent physical disruptions.
Transition
We remain underweight cash and short duration instruments.
Cash/Short Duration

For informational purposes and does not constitute an offer or a recommendation to buy or sell any particular security or to adopt any specific investment strategy. The tactical views expressed
above are a broad reflection of our team’s views and implementations, expressed for client communication purposes. Individual team allocations may differ. The information herein does not contend
to address the financial objectives, situation or specific needs of any individual investor. The signals represent the Portfolio Solutions Group view on each asset class.

The BEAT | March 2025 18

TOP IDEAS

Global Fixed Income Current allocation

Change from previous
––
–
High conviction underweight
Underweight
Representative Positioning from Portfolio Solutions Group = Neutral
+ Overweight
++ High conviction overweight
Fixed Income Our View Commentary
–– – = + ++
Bonds
We remain underweight duration in the U.S. with 10Y yields at ~4.5%, given our view that the near-term
balance of risks continues to skew higher with recession risk low, but inflation risk a relevant focus.
U.S. Treasuries (USTs)
We are reducing breakeven exposure as shorter term breakevens look particularly expensive relative to our
view of future inflation. Longer term breakevens are closer to fair value.
Inflation Linked Bonds
We remain overweight duration in Europe, with scope for the ECB to continue cutting rates even if growth
improves slightly. Core inflation and real GDP growth are likely to remain lower than in the U.S.
Eurozone Govt. Bonds
EMD looks somewhat expensive on a standalone basis, yet remains more attractive relative to other segments
of the market, such as corporate credit. We still think it’s sensible to have an allocation to hard currency EMD.
EM Hard Currency Govt. Bonds
The U.S. dollar (USD) appears very expensive from a Real Effective Exchange Rate perspective, which could
manifest in attractive EM Local returns. However, this dynamic can take years to play out and policy uncertainty
EM Local Currency Govt. Bonds near term is too high for us to overweight EM Local given current real rate spreads vs USTs.

Public Credit
Muni ratios versus USTs currently look closer to “fair value” than cheap. We still like the asset class for taxable
investors but are not forecasting large excess returns.
Municipal Bonds
Spreads are near all-time tights, excess return over USTs should be minimal and IG remains sensitive to left-tail
outcomes. Our positive economic outlook keeps this from being a high-conviction underweight.
Investment Grade
We continue to hold high conviction in ABS and yield per unit of credit quality remains attractive. U.S. 30Y fixed
mortgage rates are higher than BB-rated corporate yields, a rare occurrence in the past 25 years.
MBS/ABS
With spreads at historic lows across credit ratings, we see little upside left for high yield. We prefer to allocate to
areas of fixed income with less stretched valuations.
High Yield
Loan spreads have continued to tighten and now look moderately expensive versus history. However, we still
see a lot of relative value with the recent repricing of Fed expectations higher. Loans look poised to continue
Bank Loans outperforming other fixed income asset classes due to their higher carry and low-duration sensitivity.

For informational purposes and does not constitute an offer or a recommendation to buy or sell any particular security or to adopt any specific investment strategy. The tactical views expressed
above are a broad reflection of our team’s views and implementations, expressed for client communication purposes. Individual team allocations may differ. The information herein does not contend
to address the financial objectives, situation or specific needs of any individual investor. The signals represent the Portfolio Solutions Group view on each asset class.

The BEAT | March 2025 19

TOP IDEAS

Global Equity Current allocation

Change from previous
––
–
High conviction underweight
Underweight
Representative Positioning from Portfolio Solutions Group = Neutral
+ Overweight
++ High conviction overweight
Equity Our View Commentary
–– – = + ++
Regional
We remain overweight the U.S. based on our view that the key policy priorities of the new administration will be
beneficial for domestic growth (deregulation, fiscal), while posing challenges outside the U.S. (tariffs). We
Developed Markets
manage elevated U.S. valuations through mid-caps and selective cyclical exposure.
We increased European equity exposure given our continued conviction in a manufacturing recovery, view that
U.S. the worst-case tariff scenarios don’t materialize and depressed sentiment/valuation. We view EU construction
as a beneficiary of these tailwinds, and as having some positive optionality on a potential ceasefire in Ukraine.
Eurozone Japan’s structural domestic improvements remain intact, while valuations remain undemanding. Near-term
headwinds are U.S. trade policy uncertainty and renewed yen appreciation from rising inflationary pressure and
continued BoJ rate hike prospects.
Japan
We continue to see regional dispersion in EM, with structural economic headwinds for China and tailwinds for
India. Fortunes are reversing in the near-term with China’s AI breakthrough and change in leadership attitude
Emerging Markets toward the private sector, while India’s economy is undergoing a cyclical slowdown.

Style

Growth vs. Value Growth style indexes remain disproportionately exposed to Big Tech, where we seek to keep our risk exposure
close to neutral.
Quality With little excess risk premium in equities and a limit to economic growth acceleration due to inflation risk, we
continue to prefer a tilt toward quality. We balance this with selective cyclical exposure.

Large Cap vs. Small Cap Mid-caps represent the sweet spot between elevated large-cap valuation and small-cap quality risk.
We continue to favor selective cyclical exposure consistent with late cycle expansion.

Cyclical vs. Defensive Sectors

For informational purposes and does not constitute an offer or a recommendation to buy or sell any particular security or to adopt any specific investment strategy. The tactical views expressed
above are a broad reflection of our team’s views and implementations, expressed for client communication purposes. Individual team allocations may differ. The information herein does not contend
to address the financial objectives, situation or specific needs of any individual investor. The signals represent the Portfolio Solutions Group view on each asset class.

The BEAT | March 2025 20

TOP IDEAS

Alternatives
Representative Positioning from Portfolio Solutions Group
Alternative Assets Commentary
Private Markets

We expect investor cash flows to recover due to increasing market activity, and asset pricing to offer an attractive entry point. While a key discipline in private equity investing is to limit
exposure to exogenous risks, the directional clarity associated with the change of government in the U.S. is expected to expand deal-making activity, but likely to have an uneven impact on
Private Equity the growth opportunities and risks within each sector. The prospect of deregulation will potentially lead to increased opportunities in Financials and Healthcare and reduced anti-trust
intervention could spark additional M&A more broadly. However, growth policies have the potential to add to inflation, so we continue to focus on middle-market strategies that rely less on
leverage and are well-placed to deliver asset management initiatives to drive margin expansion and real earnings growth.

Commercial real estate is working through its debt maturity wall and pockets of elevated supply, leading to increased transaction volumes at more attractive entry valuations. These reset
valuations and retreat of bank lending have created interesting opportunities for commercial real estate lenders. At the same time, fundamentals are constructive, as debt liquidity improves
and the future supply in key sectors is materially lower, setting up an attractive opportunity for commercial real estate equity as well - particularly in secularly growing sectors including
industrial, residential and net lease.
Private Real
Assets Private infrastructure continues to participate in the investable opportunities relating to the mega trends of digitization and power generation. These themes converge where data services
require power, and generative Artificial Intelligence (AI) is highlighting the fact that the current power mix is insufficient in terms of volume, density and reliability. Private investors are playing a
key role in supplying this enabling infrastructure with attractive growth prospects. Recently observable policy changes in the U.S. and the Deepseek announcements could threaten
performance in projects that are over-extended in their cash flow or valuations, but we believe investments in mature cost-competitive technologies that are under supplied versus demand
tailwinds will continue to be positioned for strong returns.

Within corporate lending, covenant relief cases have increased as debt service has become more burdensome, but demand for products and services is generally healthy which is supporting
Private Credit profitability and debt coverage. Companies in unorthodox or transitional situations are accessing special situations capital that is improving alignment and offering attractive returns for
investors.

Liquid Alternatives

Given the current market drivers, we prefer hedge fund specialist portfolio managers who are best positioned to analyze policy impacts on security prices and capture the potential opportunity
Hedge Funds in increased capital markets activity. We stress the need to incorporate highly liquid, responsive, macro convexity strategies within portfolios to capitalize on price volatility should consensus
views prove incorrect, stoking periods of broader market volatility. In addition, our highest conviction sub-strategies are fixed income relative value and quantitative long / short equity to take
advantage of decreasing correlations at the micro level.

Commodities We remain neutral on key commodity markets as geopolitical upside risks are balanced by high spare capacity in markets such as crude, limiting upside absent physical disruptions.

For informational purposes and does not constitute an offer or a recommendation to buy or sell any particular security or to adopt any specific investment strategy. The tactical views
expressed above are a broad reflection of our team’s views and implementations, expressed for client communication purposes. Individual team allocations may differ. The information
herein does not contend to address the financial objectives, situation or specific needs of any individual investor. The signals represent the Portfolio Solutions Group view on each asset
class. Note: Over/underweight in private markets refers to decisions regarding the flow of new investments, not the stock of existing investments.

The BEAT | March 2025 21

BONDS

Sovereign Bond Yields

Developed Markets Emerging Markets
(10 yr. Yield) (10 yr. Yield)

16% 16%
1 Mo. Ago 1 Mo. Ago
12 Mo. Ago 12 Mo. Ago

12% 12%

8% 8%

4% 4%
Feb ’25

Feb ’25
0% 0%

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Factset as of 2/28/25. Data provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 22

BONDS

Key Rates (%)

Security Current 12-Mo. Ago Average Minimum Maximum

1-Week SIFMA 1.86 3.30 3.33 1.86 4.35

Secured Overnight Financing Rate 4.39 5.31 4.99 4.27 5.40
1-Mo SOFR 4.32 5.33 4.96 4.30 5.35
3-Mo SOFR 4.32 5.34 4.90 4.29 5.35
2-Yr Treasury 3.98 4.68 4.35 3.54 5.03
5-Yr Treasury 4.00 4.27 4.17 3.41 4.71
10-Yr Treasury 4.19 4.26 4.27 3.62 4.79
30-Yr Treasury 4.47 4.40 4.48 3.93 4.98
2-Yr Japan 0.81 0.17 0.43 0.17 0.83
10-Yr Japan 1.37 0.69 0.99 0.70 1.44
2-Yr German Bund 2.02 2.91 2.48 1.91 3.11
10-Yr German Bund 2.41 2.45 2.37 2.03 2.67
2-Yr UK Gilt 4.20 4.63 4.19 3.53 4.62
10-Yr UK Gilt 4.49 4.11 4.23 3.74 4.89
Bloomberg US Agg 4.58 4.93 4.78 4.10 5.31
Bloomberg Global Agg 3.54 3.82 3.69 3.26 4.06
Bloomberg US Corporate 5.08 5.42 5.23 4.64 5.75
Bloomberg US Long Corporate 5.57 5.59 5.56 5.07 6.01
Bloomberg US Municipal 3.55 3.42 3.58 3.28 3.93
Bloomberg US Long Municipal 4.28 4.16 4.21 3.94 4.54
US High Yield 7.16 7.90 7.51 6.98 8.32
US Loans 8.41 9.93 9.31 8.36 9.90

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Bloomberg, Leveraged Commentary & Data (LCD), and Factset as of 2/28/25. Current represents most recent month. Average,
minimum, and maximum measure a 12-month period ending most recent month. Data provided is for informational use only. US High Yield is represented by ICE BofA US High Yield
Index. US Loans is represented by Morningstar LSTA U.S. Leveraged Loan Index. Bloomberg indices and ICE BofA US HY index using yield to worst. Morningstar LSTA U.S. Leveraged
Loan Index using yield to maturity. SOFR is the Secured Overnight Financing Rate, a broad measure of secured overnight U.S. Treasury repo rates. See end of report for important
additional information.

The BEAT | March 2025 23

BONDS

Monetary Policy

Central Bank Policy Rates Market Expectations for Future Central Bank Rates
Current 1-Mo. Ago 12-Mo. Ago
5.0%
U.S. Federal Reserve 4.50% 4.50% 5.50%
10% 4.49%
BOE
BOE 4.50% 4.75% 5.25% 4.26% 4.23%
9% BOE 4.07% 3.95%
BOJ 0.50% 0.50% -0.10% 4.0% 4.29% 3.83%
4.0% 4.21% 3.74%
3.80%
8% 4.06% 3.79%
ECB 2.90% 3.15% 4.50% 3.98% 3.61%
U.S. Federal Reserve 3.80%
U.S. Federal Reserve
3.65% 3.62% 3.55%
3.66%
7% 3.58%
3.0%
6% 3.0%
BOE
U.S. Federal Reserve ECB
5%
2.48%

4% 2.0% ECB
2.0% 2.24% 2.15%
1.95% 2.05%
1.85%
2.05% 1.72%
3% 1.66%
1.86%

0.83%
1.01% 1.14%
0.86%
2% 1.0% 0.74%
ECB 0.84%
1.0% 0.58%
0.47% 0.70%
1% BOJ BOJ 0.57%
BOJ
0% 0.0%
'98 '00 '02 '04 '06 '08 '10 '12 '14 '16 '18 '20 '22 '24 3M 6M 1Y 2Y 3Y
0.0%
(1%) 3M 6M 1Y 2Y 3Y

Source: Bloomberg, Factset as of 2/28/25. Data provided is for informational use only. See end of report for important additional information. Forecasts/estimates are based on current
market conditions, subject to change, and may not necessarily come to pass.

The BEAT | March 2025 24

BONDS

U.S. Treasury Yields

U.S. Treasury Yield Curves

Yields & Performance
7%
Yield (%) Total Return (%)

Security 1-Mo. 12-Mo.

6% Current 1-Mo. 12-Mo.
Ago Ago

3-mo. Treasury 4.30 4.28 5.40 0.32 5.09

5%
1-Mo. Ago
Feb ‘25
12-Mo. Ago
6-mo. Treasury 4.27 4.30 5.33 0.32 5.23
4%

2-yr. Treasury 3.98 4.20 4.63 0.68 4.99

3%
3-yr. Treasury 3.96 4.24 4.42 1.04 5.13

2%
5-yr. Treasury 4.00 4.33 4.24 1.73 4.88

1% 10-yr. Treasury 4.19 4.55 4.24 3.09 4.34

30-yr. Treasury 4.47 4.80 4.36 5.57 1.89

0%
3M 2Y 5Y 10Y 30Y

Source: Factset, Morningstar as of 2/28/25. Data provided is for informational use only. Past Performance is not a reliable indicator of future results. See end of report for important
additional information.

The BEAT | March 2025 25

BONDS

Characteristics and Performance Analysis

Averages Total Returns (%)

Coupon Price Yield to Spread Maturity Duration

Index
(%) ($) Worst (%) (bps) (yrs.) (yrs.) 1-Mo. 3-Mo. YTD 1Y 3Y 5Y 10Y
U.S. High Grade
Bloomberg U.S. Aggregate Index 3.48 92.5 4.58 32 8.4 6.1 2.20 1.06 2.74 5.81 -0.44 -0.52 1.51
U.S. Treasury 3.06 92.8 4.14 − 7.8 6.0 2.16 1.10 2.68 4.95 -1.17 -1.15 0.99
U.S. Mortgage Backed Securities 3.36 90.2 4.85 31 7.6 5.9 2.55 1.38 3.07 6.53 -0.32 -0.48 1.15
U.S. Asset Backed Securities 4.80 100.0 4.55 50 3.6 2.7 0.97 1.25 1.30 6.19 2.83 1.89 2.20
U.S. Commercial Mortgage Backed Securities 3.37 94.2 4.86 79 4.6 4.1 1.57 1.74 2.30 7.15 1.13 0.57 2.26
U.S. Corp. Investment Grade 4.32 93.7 5.08 87 10.6 6.9 2.04 0.62 2.60 6.56 0.38 0.09 2.49
Bloomberg Municipal Bond Index 4.60 102.5 3.55 − 13.5 6.3 0.99 0.02 1.50 2.96 0.99 0.67 2.33
Bloomberg Taxable Municipal Bond Index 4.38 93.6 4.92 − 14.3 7.7 2.85 0.79 3.33 6.20 -1.06 -0.66 2.75
ICE BofA US Inflation-Linked Treasury Index 1.05 94.7 1.52 - 7.7 5.1 2.24 1.83 3.55 6.33 -0.96 1.73 2.38
ICE BofA Preferred Index (Fixed Rate) 5.35 92.1 5.69 97 - 5.7 1.10 -0.11 1.73 5.11 2.94 2.69 4.11
U.S. High Yield
ICE BofA US High Yield Index 6.44 96.5 7.16 287 4.7 3.1 0.65 1.60 2.04 10.06 4.89 4.79 4.97
Morningstar LSTA U.S. Leveraged Loan Index S+3.32 97.2 8.41 427 4.5 − 0.11 1.37 0.80 8.10 7.34 6.19 5.05
Emerging Markets
J.P. Morgan EM Bond Index (EMBI) Global Diversified 5.41 87.7 7.56 328 − 6.6 1.57 1.59 3.03 9.82 3.36 0.61 3.26
J.P. Morgan Corp. EM Bond Index (CEMBI) Broad Diversified 5.32 95.8 6.29 211 − 4.4 1.55 1.80 2.36 8.75 4.06 2.34 4.09
J.P. Morgan Govt. Bond Index-EM (GBI-EM) Global Diversified 5.67 − 6.33 − − 5.3 0.66 0.74 2.72 2.41 1.66 -0.38 0.81
Global Developed Markets
Bloomberg Global Aggregate Ex-U.S. Index 2.30 96.5 2.62 30 8.6 7.0 0.81 -1.25 1.40 0.59 -4.87 -3.21 -0.50
FTSE World Government Bond Index 2.54 − 3.37 − − 7.0 1.40 -0.46 1.87 1.84 -4.23 -3.22 -0.23
ICE BofA European Union Government Bond Index 2.16 94.8 2.69 44 9.0 7.3 0.75 -2.40 1.05 0.09 -5.16 -3.59 -0.91
ICE BofA Developed Mkts HY Ex-Sub Fincl Index (USD Hedged) 6.20 96.9 6.81 314 3.7 3.0 0.76 1.85 2.01 10.12 5.39 4.89 5.10
Bloomberg Euro-Aggregate Corporates (EUR) 2.53 97.8 3.06 91 5.1 4.4 0.60 0.66 1.04 6.62 0.92 -0.02 1.04
Bloomberg Pan-European High Yield Euro (EUR) 4.76 98.7 5.48 284 3.7 3.1 1.04 2.33 1.67 8.83 4.84 3.47 3.61

Past performance is no guarantee of future results. It is not possible to invest directly in an index. Source: Bloomberg, J.P. Morgan, ICE BofA Data Indices, LLC, Factset, and Leveraged
Commentary & Data (LCD), as of 2/28/25. Data provided is for informational use only. See end of report for important additional information. Yield to maturity is shown for the Morningstar
LSTA U.S. Leveraged Loan Index and the FTSE World Government Bond Index. S+ refers to SOFR (Secured Overnight Financing Rate) as the base rate. Loan Index spread represents
the three-year discounted spread over SOFR. Returns of the ICE BofA Developed Mtks HY Ex-Sub Financial Index are USD Hedged. The averages for the index are unhedged. Returns
and averages for the Bloomberg Euro-Agg Corps and Bloomberg Pan-Euro HY indices are in EUR (unhedged).

The BEAT | March 2025 26

BONDS

Spread Analysis (bps)

1,600

1,400 1331
High

1,200 1087
Current
Median 1,000

Low
800
721

600 492
373 475
400 325 427 398
260 363
328 287
366
200 127 132
261 259
83 87 118 97 134
32 45 31 50 52 79
0 34
54 74
29 7 22
-200 -88
Floating-Rate Emerging
Aggregate MBS ABS CMBS Corporate Preferred Loans Markets (USD) High Yield

Max Spread Date 3/20/2020 3/19/2020 3/26/2020 3/25/2020 3/23/2020 3/23/2020 3/20/2020 3/23/2020 3/23/2020

Min Spread Date 4/14/2021 4/14/2021 6/21/2021 6/21/2021 11/08/2024 12/6/2017 4/20/2018 2/1/2018 1/22/2025

Spread on 12/31/24 34 43 44 80 80 77 424 325 292

Spread on 12/31/23 42 47 68 126 99 148 490 384 339

Spread on 12/31/22 51 51 76 120 130 227 645 452 479

Past performance is no guarantee of future results. It is not possible to invest directly in an index. Source: Factset and Leveraged Commentary & Data (LCD) as of 2/28/25. Spread
history measures past 10 years. Data provided is for informational use only. See end of report for important additional information. All fixed-income spreads are in basis points and
measure option-adjusted yield spread relative to comparable maturity U.S. Treasuries using daily data. Aggregate represented by Bloomberg US Aggregate Index. MBS represented by
Bloomberg U.S. Mortgage Backed Securities (MBS) Index. ABS represented by Bloomberg U.S. Asset Backed Securities (ABS) Index. CMBS represented by Bloomberg U.S. CMBS
Investment Grade Index. Corporate represented by Bloomberg U.S. Corporate Investment Grade Index. Preferred represented by ICE BofA Fixed Rate Preferred Securities Index.
Floating-Rate Loans represented by Morningstar LSTA U.S. Leveraged Loan Index. Loan Index spread represents the three-year discounted spread over SOFR (Secured Overnight
Financing Rate). Emerging Markets(USD) represented by J.P. Morgan Emerging Markets Bond Index (EMBI) Global Diversified. High Yield represented by ICE BofA US High Yield Index.

The BEAT | March 2025 27

BONDS

Corporate Bond Market Update

Averages Total Returns (%)

Coupon Price Yield to Spread Maturity Duration

(%) ($) Worst (%) (bps) (yrs.) (yrs.) 1-Mo. 3-Mo. YTD 1Y 3Y 5Y 10Y

U.S. High Grade

Bloomberg U.S. Corp. Investment Grade Index 4.32 93.7 5.08 87 10.6 6.9 2.04 0.62 2.60 6.56 0.38 0.09 2.49

AAA Index 3.39 84.4 4.71 38 16.8 10.0 2.99 -0.18 3.23 4.04 -2.79 -2.33 1.58

AA Index 3.69 90.1 4.76 51 12.5 7.8 2.23 0.43 2.72 5.26 -1.24 -1.19 1.47

A Index 4.20 93.9 4.96 74 10.4 6.9 2.02 0.55 2.58 6.10 0.12 -0.23 2.20

BBB Index 4.56 94.4 5.27 105 10.4 6.7 2.00 0.72 2.59 7.24 0.97 0.64 2.92

U.S. High Yield

ICE BofA U.S. High Yield Index 6.44 96.5 7.16 287 4.7 3.1 0.65 1.60 2.04 10.06 4.89 4.79 4.97

BB Index 5.79 98.2 6.12 182 4.9 3.3 0.72 1.35 2.02 8.61 4.11 4.40 4.89

B Index 7.11 98.7 7.20 288 4.5 2.8 0.61 1.72 2.04 9.27 4.83 4.36 4.63

CCC Index 7.23 84.7 11.75 760 4.2 2.8 0.46 2.30 2.10 18.38 7.72 7.27 6.08

Morningstar LSTA U.S. Leveraged Loan Index S+3.32 97.2 8.41 427 4.5 - 0.11 1.37 0.80 8.10 7.34 6.19 5.05

BBB Index S+1.90 100.0 6.21 189 5.1 - 0.29 1.35 0.90 7.43 6.81 4.97 4.30

BB Index S+2.50 99.8 6.87 257 5.1 - 0.18 1.38 0.84 7.78 7.43 5.36 4.52

B Index S+3.60 98.2 8.50 430 4.5 - 0.09 1.31 0.76 8.68 7.78 6.59 5.40

CCC Index S+4.71 80.2 18.69 1411 3.3 - 0.33 1.91 1.30 5.92 4.41 6.12 6.06

D Index - 45.8 - - - - -9.31 -3.07 -7.25 -20.69 -30.51 -23.58 -18.57

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Bloomberg, J.P. Morgan, ICE BofA Data Indices, LLC, Factset, and Leveraged Commentary & Data (LCD), as of 2/28/25. Data
provided is for informational use only. See end of report for important additional information. Yield to maturity is shown for the Morningstar LSTA U.S. Leveraged Loan Index. S+ refers to
SOFR (Secured Overnight Financing Rate) as the base rate. Loan Index spread represents the three-year discounted spread over SOFR.

The BEAT | March 2025 28

BONDS

Corporate Bond Market Update

Average Spread (bps) Current 1-Mo. Ago 12-Mo. Ago Median

1,200 HY Corporate 287 268 329 395

1,000 Loans 427 417 473 469

800 IG Corporate 87 79 96 118

Loans
600

400
High Yield Corporate
200

0 Investment
Grade Corporate

Annual Default Rate

8%
Current 1-Mo. Ago 12-Mo. Ago Median
6% HY Corporate 0.27 0.39 1.66 1.81
High Yield Loans 0.81 0.94 1.41 1.43
Loans Corporate
4%

2%

0%

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: J.P. Morgan and Leveraged Commentary & Data (LCD), as of 2/28/25. Data provided is for informational use only. See end of report
for important additional information. Corporate spreads are in basis points and measure option-adjusted yield spread relative to comparable maturity U.S. Treasuries. Loan Index spread
represents the three-year discounted spread over SOFR (Secured Overnight Financing Rate).

The BEAT | March 2025 29

BONDS

Municipal Bond Market Update

Averages Total Returns (%)

Coupon Price Yield To Maturity Duration

(%) ($) Worst (%) (yrs.) (yrs.) 1-Mo. 3-Mo. YTD 1Y 3Y 5Y 10Y

Bloomberg Municipal Bond Index 4.60 102.5 3.55 13.5 6.3 0.99 0.02 1.50 2.96 0.99 0.67 2.33

AAA Index 4.53 103.5 3.39 13.1 6.5 1.01 -0.03 1.57 2.60 0.79 0.46 1.92

AA Index 4.62 103.4 3.42 13.1 6.1 1.00 0.03 1.41 2.64 0.90 0.56 2.13

A Index 4.60 101.0 3.79 13.9 6.3 0.96 0.08 1.57 3.52 1.37 1.01 2.74

BBB Index 4.61 97.7 4.28 17.4 7.2 1.03 -0.14 1.83 4.90 1.49 1.15 3.36

5-Year Index 4.73 106.0 3.02 5.0 3.6 0.86 0.76 1.51 2.95 1.45 0.85 1.74

10-Year Index 4.58 105.9 3.26 9.9 5.7 1.19 0.82 2.02 2.14 1.25 0.77 2.44

22+ Year Index 4.63 98.2 4.28 26.6 10.1 0.98 -1.46 1.06 3.24 -0.47 -0.18 2.62

Bloomberg High Yield Municipal Bond Index 4.74 66.7 5.43 19.4 6.6 1.25 0.32 2.02 8.12 2.01 2.15 4.35

Hospital 5.31 78.0 5.64 20.6 5.9 1.62 0.94 2.49 14.20 1.69 1.47 3.83

IDR/PCR 4.47 38.8 6.01 19.2 6.8 1.17 0.57 1.86 5.24 1.34 1.88 5.25

Tobacco 2.27 19.2 6.24 27.8 10.4 1.37 1.68 2.95 4.38 0.78 2.00 6.83

Puerto Rico 3.55 56.2 4.61 18.9 6.9 1.00 0.22 2.05 4.39 2.27 2.85 4.78

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Bloomberg, Morningstar as of 2/28/25. Coupon and Yield To Worst figures are based on average market prices while Price is based
on an average of par value. Data provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 30

BONDS

Municipal Bond Market Update

AAA Muni-to-Treasury Yield Ratios

350% Current 1-Mo. Ago 12-Mo. Ago Median

5Y 64 63 57 73
280%
10Y 67 65 58 84
210% 30Y 86 83 82 95

140% 10Y 30Y

70%
5Y

0%

Credit Quality Spreads vs. AAA (bps)

200 Current 1-Mo. Ago 12-Mo. Ago Median

AA 11 11 7 16
150
A 35 35 31 38

BBB 83 83 83 85
100
BBB

50
A

AA
0

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Bloomberg as of 2/28/25. Data provided is for informational use only. See end of report for important additional information. All
spreads are in basis points and measure option-adjusted yield spread relative to comparable maturity U.S. Treasuries.

The BEAT | March 2025 31

BONDS

Emerging Markets Bond Market Update

Sovereign EMD Spreads (USD) Corporate EMD Spreads (USD) Local EMD Yields (%)
Bps Bps Bps

700 700 10%

8%
500 500
6%
300 300
4%

100 100 2%
'15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25
Avg. Spread (bps) Avg. Spread (bps) Avg. Yield (%)

Current 328 Current 211 Current 6.33

1-Mo. Ago 316 1-Mo. Ago 207 1-Mo. Ago 6.33

12-Mo. Ago 368 12-Mo. Ago 245 12-Mo. Ago 6.19

Median 367 Median 297 Median 6.29

Averages Total Returns (%)

Coupon (%) Price ($) Yield (%) Duration 1-Mo. 3-Mo. YTD 1Y 3Y 5Y 10Y

JPMorgan Emerging Markets

5.41 87.7 7.56 6.6 1.57 1.59 3.03 9.82 3.36 0.61 3.26
Bond Index (EMBI) Global Diversified
JPMorgan Corporate Emerging Markets
5.32 95.8 6.29 4.4 1.55 1.80 2.36 8.75 4.06 2.34 4.09
Bond Index (CEMBI) Broad Diversified
JPMorgan Government Bond Index-Emerging
5.67 − 6.33 5.3 0.66 0.74 2.72 2.41 1.66 -0.38 0.81
Markets (GBI-EM) Global Diversified

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: J.P. Morgan, Morningstar as of 2/28/25. Data provided is for informational use only. See end of report for important additional
information. All spreads are in basis points and measure option-adjusted yield spread relative to comparable maturity U.S. Treasuries.

The BEAT | March 2025 32

BONDS

Asset Class Return Analysis (%)

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD 2025
Higher EMD (Local Investment Global Agg
Municipal High Yield Municipal High Yield Bank Loan High Yield Bank Loan MBS
Currency) Grade Ex-U.S.
3.30 17.49 1.28 5.36 -0.77 13.46 8.95 3.07
15.21 14.54 10.11

EMD (Hard Global Agg EMD (Hard Investment EMD (Hard

MBS MBS Bank Loan Municipal Bank Loan High Yield
Currency) Ex-U.S. Currency) Grade Currency)
1.51 0.99 5.20 -8.53 13.32 8.20
10.19 10.51 14.42 9.89 3.03

EMD EMD (Hard EMD (Local EMD EMD (Local

Bank Loan Treasury High Yield Treasury Municipal High Yield
(Corp. Bonds) Currency) Currency) (Corp. Bonds) Currency)
10.16 0.86 14.41 8.00 1.52 -11.22
1.30 9.32 12.70 7.63 2.72

EMD (Hard EMD (Local EMD EMD (Local EMD EMD EMD (Local EMD (Hard EMD (Hard
Bank Loan Treasury
Currency) Currency) (Corp. Bonds) Currency) (Corp. Bonds) (Corp. Bonds) Currency) Currency) Currency)
0.44 2.68
1.23 9.94 7.96 13.47 7.13 0.91 -11.69 11.09 6.54

EMD EMD EMD Investment EMD Investment Investment

Treasury High Yield High Yield MBS
(Corp. Bonds) (Corp. Bonds) (Corp. Bonds) Grade (Corp. Bonds) Grade Grade
0.84 7.48 6.17 -11.81
9.65 -1.65 13.09 -1.04 9.08 2.13 2.60

Investment Investment Investment Global Agg EMD (Hard EMD Investment EMD
Bank Loan MBS MBS
Grade Grade Grade Ex-U.S. Currency) (Corp. Bonds) Grade (Corp. Bonds)
8.64 -1.04 1.20
-0.68 6.11 6.42 -2.15 5.88 -12.26 8.52 2.36

EMD (Hard
Bank Loan MBS Municipal High Yield Municipal Municipal Treasury Municipal Municipal High Yield
Currency)
-0.69 1.67 5.45 -2.26 7.54 5.21 -12.46 6.40 1.05 2.04
-1.51

Global Agg Investment Investment Global Agg

High Yield Bank Loan Treasury MBS Treasury Treasury Municipal
Ex-U.S. Grade Grade Ex-U.S.
-4.64 4.12 6.86 3.87 -2.32 0.58 1.50
1.49 -2.51 -15.76 5.72

Global Agg EMD (Hard Global Agg EMD (Hard EMD (Local Global Agg
Treasury MBS MBS Bank Loan MBS
Ex-U.S. Currency) Ex-U.S. Currency) Currency) Ex-U.S.
1.04 2.47 6.35 3.12 5.05
-6.02 -4.61 -7.05 -16.45 -2.38 1.40

EMD (Local EMD (Local Global Agg EMD (Local EMD (Local Global Agg Global Agg
Municipal Treasury Treasury Bank Loan
Currency) Currency) Ex-U.S. Currency) Currency) Ex-U.S. Ex-U.S.
0.25 2.31 4.05 0.80
-14.92 -6.21 5.09 2.69 -8.75 -18.70 -4.22
Lower
Past performance is no guarantee of future results. It is not possible to invest directly in an index. In general, fixed income investments are subject to credit and interest rate risks. High
yield investments may have a higher degree of credit and liquidity risk. Foreign securities are subject to currency, political, economic and market risks. Investors should carefully review
the risks of each asset class prior to investing. Source: Morningstar as of 2/28/25. Data provided is for informational use only. See end of report for important additional information.
Investment Grade represented by Bloomberg U.S. Corporate Index. MBS represented by Bloomberg U.S. Mortgage Backed Securities (MBS) Index. Treasury represented by Bloomberg
U.S. Treasury Index. High Yield represented by ICE BofA US High Yield Index. Municipal represented by Bloomberg Municipal Bond Index. Bank Loan represented by Morningstar LSTA
U.S. Leveraged Loan Index. Global Agg Ex-U.S. represented by Bloomberg Global Aggregate Ex-USD Index. EMD (Local Currency) represented by J.P. Morgan Government Bond
Index-Emerging Markets (GBI-EM) Global Diversified. EMD (Hard Currency) represented by J.P. Morgan Emerging Markets Bond Index (EMBI) Global Diversified. EMD (Corp. Bonds)
represented by J.P. Morgan Corporate Emerging Market Bond Index (CEMBI) Broad Diversified.

The BEAT | March 2025 33

EQUITIES

Performance: Market Barometer (%)

1-Month Returns 1-Year Returns 3-Year Returns

Value Core Growth Value Core Growth Value Core Growth

Large Cap 0.41 -1.75 -3.59 15.75 18.11 19.75 8.65 12.07 14.84

Mid Cap -1.82 -2.84 -5.70 11.67 12.25 14.54 6.14 7.18 9.51

Small Cap -3.83 -5.35 -6.77 7.58 6.69 5.83 2.79 3.34 3.62

< -20

-20 to -10 Global U.S. Global U.S. Global U.S.

-0.60 -1.30 15.06 18.41 9.14 12.55
-10 to 0

0 to 10
Emerging Emerging Emerging
International International International
Markets Markets Markets
10 to 20 1.94 8.77 6.42
0.48 10.07 0.46

> 20

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Morningstar as of 2/28/25. Data provided is for informational use only. See end of report for important additional information.
Returns over 1 year are annualized. Large Cap Value represented by Russell 1000 Value Index. Large Cap Core represented by Russell 1000 Index. Large Cap Growth represented by
Russell 1000 Growth Index. Mid Cap Value represented by Russell Mid Cap Value Index. Mid Cap Core represented by Russell Mid Cap Index. Mid Cap Growth represented by Russell
Mid Cap Growth Index. Small Cap Value represented by Russell 2000 Value Index. Small Cap Core represented by Russell 2000 Index. Small Cap Growth represented by Russell 2000
Growth Index. Global represented by MSCI ACWI Index. US represented by S&P 500 Index. International represented by MSCI EAFE Index. Emerging Markets represented by MSCI
Emerging Markets Index.

The BEAT | March 2025 34

EQUITIES

Dividend Yields and Volatility Analysis

Historical Yields Current Yields

4.0%
5.0%
4.19
3.5%
MSCI EAFE 4.0%
3.0% 2.91
3.0% 2.65
2.5%
MSCI EM 2.0% 1.72
2.0% 1.23
MSCI World
1.5% 1.0%
S&P 500
1.0% 0.0%
'20 '21 '22 '23 '24 '25 S&P 500 MSCI World MSCI EM MSCI EAFE 10 Yr Treasury

Correlation of S&P 500 Stocks CBOE Market Volatility Index (VIX)

1.0 60.0

0.8 50.0

40.0 VIX
0.6
Average 30.0
0.4
20.0
0.2 10.0

0.0 0.0
'02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24 '25 '20 '21 '22 '23 '24 '25

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: FactSet and Ned Davis Research as of 2/28/25. Correlation of S&P 500 Stocks is measured by the median 63-day rolling correlation
of one day returns data provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 35

EQUITIES

Valuation Analysis

Regions/Styles: Current NTM P/E vs. 10-Year High, Low, Average

High 69.0
70.0

Current
60.0
Average

Low
50.0

40.0
32.7

30.0
22.9 27.8
24.2 24.3 23.3 21.2
MSCI World 19.7
21.5 18.1 19.3 17.4 17.4
20.0 17.6
18.3 15.7
Current P/E 16.9 17.0
15.3 15.2 14.3 14.3
16.9 16.8 12.8 14.2
12.1 14.2 13.6 13.6
12.1
10.0 14.4 13.5
12.1 11.3 11.0 11.3
10.1 10.5

0.0 Russell 1000 Russell 1000 MSCI World ex MSCI AC

S&P 500 Russell 2000 Growth Value MSCI World USA Small Cap MSCI EAFE MSCI EM MSCI Europe Asia Pac

High Date 8/20 6/20 8/20 3/21 8/20 8/20 8/20 1/21 6/20 1/21

Low Date 12/18 9/22 2/16 9/22 12/18 9/22 9/22 10/18 9/22 12/18

Source: FactSet as of 2/28/25. NTM P/E is market price per share divided by expected earnings per share over the next twelve months. Data provided is for informational use only. See
end of report for important additional information. Forecasts/estimates are based on current market conditions, subject to change, and may not necessarily come to pass.

The BEAT | March 2025 36

EQUITIES

Valuation Analysis

S&P 500 Sectors: Current NTM P/E vs. 10-Year High, Low, Average

High
77.2

70.0
Current
Average
50.0 45.3
Low

30.4
24.0 26.2
30.0 22.1 21.3
S&P 500 27.0 22.6 19.9 27.1
24.0 22.6 17.7 22.5
Current P/E
19.6 19.8 17.4 17.9 18.6 21.5 20.7 17.2 17.9 17.7
16.5 14.4 15.5 16.3
13.4
10.0 16.9 16.4 14.7 14.7
13.8 13.6 12.2
10.0 9.3

(10.0)

(30.0) -263.8
*Not to scale
Communication Consumer Consumer Information
Services Discretionary Staples Energy Financials Health Care Industrials Technology Materials Utilities

High Date 8/20 6/20 2/25 4/16 11/24 8/24 8/20 6/24 7/20 3/22

Low Date 5/18 2/16 4/18 7/20 3/20 3/20 12/18 12/18 9/15 6/15

Source: FactSet as of 2/28/25. NTM P/E is market price per share divided by expected earnings per share over the next twelve months. The Real Estate sector is excluded from this 10-
year chart since the sector was created on August 31, 2016. Data provided is for informational use only. See end of report for important additional information. Forecasts/estimates are
based on current market conditions, subject to change, and may not necessarily come to pass.

The BEAT | March 2025 37

EQUITIES

Corporate Earnings Growth

Regions/Styles
Expected EPS Growth
28.95
30.0 2023 EPS Growth
18.25 17.14
20.0 21.68
10.46 8.21 7.29
10.0 3.18 2.55 0.10
1.36 0.79 0.31 -0.13
0.0
-6.33 -1.02 -4.04 -0.03
(10.0) -7.28
(20.0) -17.73
Russell 1000 MSCI EM MSCI Asia Pac S&P 500 MSCI World ex MSCI World Russell 2000 MSCI EAFE Russell 1000 MSCI Europe
Growth USA Small Cap Value

S&P 500 Sectors

Expected EPS Growth

40.0 39.89
2023 EPS Growth
30.0 23.85 18.79
18.92 16.87
20.0 22.71 11.83 20.44
10.0 4.02 3.68 2.18
6.48 6.49 5.47 2.39 0.08
3.97
0.0
(10.0)
-10.19
(20.0) -20.62 -22.81 -17.80
(30.0) -28.52
Communications Info. Tech. Financials Discretionary Utilities Health Care Real Estate Staples Industrials Materials Energy

Source: FactSet as of 2/28/25. Expected EPS Growth is defined as the expected % change in the EPS growth from the beginning of the current calendar year though the end of the
calendar year. 2023 EPS Growth is defined as the % change in EPS from the beginning of the year through the end of the year. Data provided is for informational use only. See end of
report for important additional information. Forecasts/estimates are based on current market conditions, subject to change, and may not necessarily come to pass.

The BEAT | March 2025 38

EQUITIES

S&P 500 Index: 1-Month Return Analysis

3-5 Year Earnings Growth Trailing 12 Month P/E Return On Equity

4.0% 2.0% 0.9 1.2
2.5 4.0% 0.1
1.6 2.1
2.0% 0.0%
2.0% 0.5 1.1
0.0% 0.0% (2.0%) (1.3)
(0.6) (2.0%)
(2.0%) (1.0) (1.3) (4.0%)
(1.3)
(4.0%) (3.0)
(4.0%) (6.0%) (6.0%) (5.0)
(5.6) (5.9)
(6.0%) (8.0%) (8.0%)
(5.4)

Market Cap Beta Dividend Yield

0.0% 4.0% 6.0%
5.5
(0.1) 2.2 3.9
2.0% 4.0%
0.3
0.0% 2.0%
0.7
(1.3)
(2.0%) (1.7) (2.0%) 0.0%
(1.3) (1.4)
(2.5)
(4.0%) (2.0%) (1.3)
(2.0)
(6.0%) (4.0%)
(3.4) (6.2) (4.0)
(4.0%) (8.0%) (6.0%)
S&P 500 $100B+ $15B-$100B <$15B S&P 500 1.5+ 1.1-1.5 0.9-1.1 0.6-0.9 <0.6 S&P 500 3.5+ 2.4-3.5 1.6-2.4 0.6-1.6 0.0-0.6

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: FactSet as of 2/28/25. Data provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 39

EQUITIES

S&P 500 Index: YTD Analysis

3-5 Year Earnings Growth Trailing 12 Month P/E Return On Equity

8.0% 6.0% 5.1
8.0% 7.3 4.2
5.8 5.6
6.0% 4.0%
6.0% 4.7
3.9 1.4
4.0% 4.0% 2.0% 1.1
1.4 0.2
1.4 2.0% 0.3
2.0% 0.9 0.0%
0.0%
0.0% (2.0%) (2.0%)

(0.8) (0.6) (2.4)

(2.0%) (4.0%) (3.3) (4.0%)

Market Cap Beta Dividend Yield

4.0% 6.0% 10.0%
3.7 5.4 5.6 8.0
8.0% 7.4
4.0% 6.0%
2.0% 4.9
1.4
1.8 4.0%
0.7 2.0% 1.4 1.4
2.0% 1.4 1.4
0.0%
0.0%
0.0%
(0.3)
(2.0%)
(2.2)
(2.0%) (2.0%) (1.4) (4.0%)
S&P 500 $100B+ $15B-$100B <$15B S&P 500 1.5+ 1.1-1.5 0.9-1.1 0.7-0.9 <0.7 S&P 500 3.5+ 2.4-3.5 1.6-2.4 0.6-1.6 0.0-0.6

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: FactSet as of 2/28/25. Data provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 40

EQUITIES

Index Sectors: Return Analysis

S&P 500 MSCI World

Return % Return %
40.00 1 month 40.00 1 month
YTD YTD
1 year 1 year
30.00 30.00

20.00 20.00

10.00 10.00

0.00 0.00

(10.00) (10.00)

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Morningstar as of 2/28/25. Data provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 41

EQUITIES

Current Characteristics and Sector Weights

MSCI MSCI World ex MSCI MSCI MSCI

S&P 500 R2000 R1000G R1000V World USA Small Cap EAFE EM MSCI Europe Asia Pac
Number of Holdings 503 1960 395 870 1395 2243 722 1250 414 1302
Maximum Market Cap $3,632.94B $15.26B $3,632.94B $1,110.83B $3,676.97B $12.48B $289.46B $780.85B $289.46B $780.85B
Minimum Market Cap $4.61B $0.01B $0.99B $0.30B $1.69B $0.00B $1.95B $0.13B $1.95B $0.13B
Dividend Yield 1.23 1.32 0.55 1.96 1.72 3.00 2.91 2.65 2.99 2.45
NTM PE 21.52 24.22 27.83 16.90 19.26 12.80 14.31 12.05 14.27 13.57
Price to Book 5.01 2.02 12.94 2.78 3.58 1.38 1.99 1.82 2.22 1.74
Price to Cash Flow 17.83 15.29 25.99 12.66 14.59 8.36 9.52 8.14 8.46 10.33
Price to Sales 3.03 1.25 5.70 1.83 2.36 0.87 1.43 1.43 1.47 1.40
Est 3-5 Yr EPS Growth 11.69 11.71 13.94 9.00 11.15 10.87 9.41 12.84 10.01 11.02
5Yr. Div Growth Rate 10.49 #N/A 11.95 7.18 8.34 7.43 4.20 2.38 4.82 1.11

Real Estate Utilities Real Estate Utilities

2% 2% 2% 2%

Materials Communication Services Communication Services

Materials 8%
2% 9%
3%
Discretionary Discretionary
11% 11%
Information Technology Information Technology Staples
Staples 25%
31% 6%
6%
Energy Energy
3% 4%
Industrials
Industrials Financials 11% Financials
8% 15% Health Care 17%
Health Care
11% S&P 500 11% MSCI World

Source: FactSet as of 2/28/25. Data provided is for informational use only. See end of report for important additional information. Forecasts/estimates are based on current market
conditions, subject to change, and may not necessarily come to pass.

The BEAT | March 2025 42

EQUITIES

Asset Class Return Analysis (%)

1-Mo. 3-Mo. YTD 1Y 3Y 5Y 10Y 2024 2023 2022 2021 2020
S&P 500 -1.30 -0.97 1.44 18.41 12.55 16.85 12.98 25.02 26.29 -18.11 28.71 18.40
Russell 1000 Defensive -0.18 -0.13 2.57 15.65 10.52 13.73 11.87 18.55 20.23 -16.43 26.93 13.93
Russell 1000 Dynamic -3.23 -2.69 0.25 20.57 13.54 19.15 13.36 30.63 33.34 -21.94 25.57 27.69
Russell 2500 -4.69 -8.75 -1.32 7.64 4.55 10.85 8.30 12.00 17.42 -18.37 18.18 19.99
U.S.
Russell 1000 Growth -3.59 -0.82 -1.69 19.75 14.84 19.71 16.01 33.36 42.68 -29.14 27.60 38.49
Equities
Russell 1000 Value 0.41 -2.13 5.05 15.75 8.65 12.51 8.95 14.37 11.46 -7.54 25.16 2.80
Russell Mid Cap -2.84 -5.84 1.29 12.25 7.18 12.41 9.35 15.34 17.23 -17.32 22.58 17.10
Russell 2000 -5.35 -10.89 -2.87 6.69 3.34 9.39 7.23 11.54 16.93 -20.44 14.82 19.96
CBOE S&P 500 Buywrite BXM -0.56 3.89 1.63 17.69 7.70 9.17 6.97 20.12 11.82 -11.37 20.47 -2.75

MSCI World -0.72 0.11 2.78 15.63 10.22 13.91 9.82 18.67 23.79 -18.14 21.82 15.90
MSCI EAFE 1.94 4.86 7.30 8.77 6.42 8.70 5.28 3.82 18.24 -14.45 11.26 7.82
MSCI EM 0.48 2.14 2.28 10.07 0.46 4.26 3.49 7.50 9.83 -20.09 -2.54 18.31
MSCI AC Asia Pac -0.30 0.23 1.14 8.39 2.62 5.73 4.72 9.56 11.45 -17.22 -1.46 19.71
MSCI ACWI -0.60 0.30 2.73 15.06 9.14 12.79 9.11 17.49 22.20 -18.36 18.54 16.25
Global MSCI Europe 3.67 8.10 10.81 11.20 7.40 9.74 5.42 1.79 19.89 -15.06 16.30 5.38
Equities MSCI World Small Cap -3.31 -5.93 0.04 7.68 3.18 9.12 6.98 8.15 15.76 -18.76 15.75 15.96
MSCI World Ex USA Small Cap -0.40 0.08 2.77 7.13 0.76 6.20 5.22 2.76 12.62 -20.59 11.14 12.78
FTSE 100 3.36 5.92 8.90 19.21 7.49 9.53 4.26 7.73 14.38 -7.01 17.36 -8.73
FTSE All Small -1.63 -2.90 -2.01 9.42 0.15 7.35 4.96 8.62 12.57 -23.06 22.15 10.77
STOXX Europe 600 3.46 7.80 10.46 11.13 7.20 9.64 5.50 1.97 19.87 -16.14 16.09 6.83
Nikkei 225 Average -3.47 -2.94 -2.81 -4.44 3.97 6.32 6.22 8.45 22.05 -19.49 -4.69 23.99

S&P 500 Comm. Services -6.29 5.92 2.26 29.17 15.46 16.38 10.85 40.23 55.80 -39.89 21.57 23.61
S&P 500 Cons Disc -9.37 -3.11 -5.38 17.42 8.39 14.51 12.41 30.14 42.41 -37.03 24.43 33.30
S&P 500 Cons Staples 5.70 2.49 7.85 19.25 8.38 12.01 8.92 14.87 0.52 -0.62 18.63 10.75
S&P 500 Energy 3.97 -3.93 6.13 9.16 12.87 19.88 5.64 5.72 -1.33 65.72 54.64 -33.68
S&P 500 Financials 1.41 2.19 8.06 31.45 12.77 16.78 12.47 30.56 12.15 -10.53 35.04 -1.69
Sectors S&P 500 Health Care 1.49 1.65 8.38 4.56 6.42 11.88 9.43 2.58 2.06 -1.95 26.13 13.45
S&P 500 Industrials -1.44 -4.70 3.52 14.42 12.87 15.14 10.93 17.47 18.13 -5.48 21.12 11.06
S&P 500 Info Tech -1.33 -3.09 -4.19 18.44 18.76 24.40 21.35 36.61 57.84 -28.19 34.53 43.89
S&P 500 Materials -0.01 -5.74 5.58 3.16 4.24 13.25 7.83 -0.04 12.55 -12.27 27.28 20.73
S&P 500 Real Estate 4.22 -2.98 6.14 14.30 2.14 6.90 6.91 5.23 12.36 -26.13 46.19 -2.17
S&P 500 Utilities 1.69 -3.64 4.67 31.73 8.70 8.45 9.40 23.43 -7.08 1.57 17.67 0.48

Past performance is no guarantee of future results. It is not possible to invest directly in an index. Source: Morningstar as of 2/28/25. Data provided is for informational use only.
Results in US Dollar. See end of report for additional information.

The BEAT | March 2025 43

EQUITIES

Asset Class Return Analysis (%)

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD 2025
Higher Emerging
Growth Small-Cap Growth Growth Growth S&P 500 Value Growth Growth International
Markets
5.67 21.31 -1.51 36.39 38.49 28.71 -7.54 42.68 33.36 7.30
37.28

International International
Value S&P 500 S&P 500 Small-Cap Growth International S&P 500 S&P 500 Value
Small-Cap Small-Cap
17.34 -4.38 31.49 19.96 27.60 -14.45 26.29 25.02 5.05
5.46 31.04

International
S&P 500 Mid-Cap Growth Value Mid-Cap S&P 500 Value Mid-Cap Global Global
Small-Cap
1.38 13.80 30.21 -8.27 30.54 18.40 25.16 -17.32 22.20 17.49
2.77

Emerging
International S&P 500 International Mid-Cap Global Mid-Cap S&P 500 International Mid-Cap Global
Markets
-0.81 11.96 25.03 -9.06 26.60 22.58 -18.11 18.24 15.34 2.73
18.31

Emerging Emerging
Global Global Global Value Mid-Cap Global Global Mid-Cap Value
Markets Markets
-2.36 23.97 -9.42 26.54 17.10 18.54 -18.36 17.23 14.37
11.19 2.28

Emerging
Mid-Cap Global S&P 500 Small-Cap Small-Cap Global Small-Cap Small-Cap Small-Cap S&P 500
Markets
-2.44 7.86 21.83 -11.01 25.52 16.25 14.82 16.93 11.54 1.44
-20.09

International International International Emerging

Value Growth Mid-Cap International International Small-Cap Mid-Cap
Small-Cap Small-Cap Small-Cap Markets
-3.83 7.08 18.52 -13.79 11.26 -20.44 1.29
25.41 12.78 12.62 7.50

International Emerging International International

Small-Cap Small-Cap International International Value International Growth
Small-Cap Markets Small-Cap Small-Cap
-4.41 14.65 22.01 7.82 11.46 3.82 -1.69
4.32 -14.58 11.14 -20.59

Emerging International Emerging Emerging Emerging International

International Value Value Growth Small-Cap
Markets Small-Cap Markets Markets Markets Small-Cap
1.00 13.66 2.80 -29.14 -2.87
-14.92 -18.07 18.42 -2.54 9.83 2.76
Lower

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. In general, Foreign securities are subject to currency, political, economic and market risks. The risks of investing in emerging market
countries are greater than investments in foreign developed countries. Investors should carefully review the risks of each asset class prior to investing. Source: Morningstar as of 2/28/25.
Data provided is for informational use only. See end of report for important additional information. Small-Cap represented by Russell 2000 Index. Emerging Markets represented by MSCI
Emerging Markets Index. Value represented by Russell 1000 Value Index. Mid-Cap represented by Russell Midcap Index. Global represented by MSCI ACWI Index. Growth represented
by Russell 1000 Growth Index. International represented by MSCI EAFE Index. International Small-Cap represented by MSCI World Ex USA Small Cap Index.

The BEAT | March 2025 44

ALTERNATIVES

Developed Market Currency Performance and Yields

Spot Returns vs. USD (%) Spot Returns vs. EUR (%) Local Interest Rates (%)

Currency 1-Mo. YTD 1Y 3Y 5Y 1-Mo. YTD 1Y 3Y 5Y 1Y

U.S. Dollar (USD) - - - - - -0.04 -0.43 4.05 2.60 1.10 4.06
Euro (EUR) * 0.04 0.43 -3.90 -2.53 -1.09 - - - - - 2.09
British Pound (GBP) 1.34 0.54 -0.46 -2.10 -0.29 1.29 0.10 3.58 0.45 0.81 1.59
Japanese Yen (JPY) 2.76 4.29 -0.68 -8.57 -6.47 2.71 3.84 3.35 -6.19 -5.44 0.83
Australian Dollar (AUD) -0.30 0.44 -4.50 -5.02 -0.72 -0.35 0.00 -0.63 -2.55 0.37 3.97
Canadian Dollar (CAD) 0.53 -0.16 -5.84 -4.15 -1.40 0.49 -0.60 -2.03 -1.66 -0.32 2.53
New Zealand Dollar (NZD) -0.88 0.02 -8.03 -6.10 -2.01 -0.93 -0.41 -4.30 -3.66 -0.93 3.47
Norwegian Krone (NOK) 0.54 1.01 -5.73 -7.87 -3.37 0.50 0.58 -1.91 -5.47 -2.31 4.14
Swedish Krona (SEK) 3.02 2.93 -3.61 -4.20 -2.02 2.98 2.48 0.30 -1.71 -0.94 2.04
Danish Krone (DKK) 0.10 0.43 -3.94 -2.62 -1.05 0.06 -0.01 -0.05 -0.09 0.04 1.86
Swiss Franc (CHF) 0.64 0.44 -2.41 0.56 1.42 0.60 0.01 1.55 3.17 2.53 0.39

U.S. Dollar Index

160

140

120

100

80

60
'70 '72 '74 '76 '78 '80 '82 '84 '86 '88 '90 '92 '94 '96 '98 '00 '02 '04 '06 '08 '10 '12 '14 '16 '18 '20 '22 '24

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. *German Rate. Source: Factset, Bloomberg as of 2/28/25. Dollar is represented by the US Trade Weighted Dollar Index (DXY). Data
provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 45

ALTERNATIVES

Emerging Market Currency Performance and Yields

Spot Returns vs. USD (%) Spot Returns vs. EUR (%) Local Interest Rates (%)

Currency 1-Mo. YTD 1Y 3Y 5Y 1-Mo. YTD 1Y 3Y 5Y 1Y

Asia, excluding Japan

Chinese Renminbi (CNY) -0.26 0.22 -1.24 -4.66 -0.82 -0.30 -0.21 2.77 -2.19 0.27 1.44

Malaysian Ringgit (MYR) -0.11 0.20 6.34 -2.01 -1.13 -0.16 -0.23 10.65 0.53 -0.05 3.22

Indian Rupee (INR) -1.01 -2.16 -5.24 -4.86 -3.78 -1.06 -2.58 -1.40 -2.39 -2.72 6.56

Indonesian Rupiah (IDR) -1.69 -2.93 -5.22 -4.66 -2.85 -1.73 -3.35 -1.38 -2.19 -1.78 6.23

Philippine Peso (PHP) 0.66 -0.25 -3.07 -4.02 -2.55 0.61 -0.69 0.86 -1.53 -1.47 4.26

Singapore Dollar (SGD) 0.48 1.14 -0.31 0.21 0.69 0.44 0.70 3.73 2.82 1.79 2.64

South Korean Won (KRW) -0.68 0.63 -8.98 -6.33 -3.65 -0.72 0.20 -5.29 -3.89 -2.59 2.60

Taiwanese Dollar (TWD) -0.26 -0.09 -3.67 -5.11 -1.59 -0.30 -0.52 0.24 -2.64 -0.51 1.33

Thai Baht (THB) -1.46 -0.23 4.95 -1.48 -1.58 -1.50 -0.66 9.21 1.08 -0.50 1.89

Latin America

Brazilian Real (BRL) -0.46 5.27 -15.33 -4.25 -5.12 -0.50 4.82 -11.90 -1.76 -4.08 15.04

Chilean Peso (CLP) 2.71 4.04 1.17 -5.97 -3.01 2.67 3.59 5.27 -3.52 -1.95 5.33

Colombian Peso (COP) 1.43 6.69 -4.91 -1.89 -2.99 1.39 6.22 -1.06 0.66 -1.93 8.57

Mexican Peso (MXN) 0.55 1.28 -16.87 -0.16 -0.72 0.50 0.84 -13.50 2.44 0.37 9.11

Peruvian New Sol (PEN) 1.24 2.24 2.70 1.12 -1.22 1.20 1.79 6.86 3.74 -0.13 4.15

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Factset, Bloomberg as of 2/28/25. Data provided is for informational use only. See end of report for important additional information..

The BEAT | March 2025 46

ALTERNATIVES

Emerging Market Currency Performance and Yields

Spot Returns vs. USD (%) Spot Returns vs. EUR (%) Local Interest Rates (%)

Currency 1-Mo. YTD 1Y 3Y 5Y 1-Mo. YTD 1Y 3Y 5Y 1Y

Europe

Czech Koruna (CZK) 0.49 0.83 -3.02 -2.39 -0.77 0.44 0.39 0.92 0.14 0.32 3.18

Hungarian Forint (HUF) 1.95 3.28 -5.53 -5.00 -4.39 1.90 2.83 -1.70 -2.53 -3.33 5.89

Polish Zloty (PLN) 1.50 3.40 -0.17 1.55 -0.26 1.46 2.95 3.88 4.19 0.84 4.86

Romanian Leu (RON) 0.02 0.40 -4.04 -2.72 -1.74 -0.02 -0.04 -0.15 -0.19 -0.66 6.58

Russian Ruble (RUB) 10.47 22.63 1.79 6.20 -5.57 10.43 22.10 5.91 8.96 -4.53 --

Turkish New Lira (TRY) -1.83 -3.18 -14.52 -27.60 -29.75 -1.87 -3.60 -11.05 -25.72 -28.98 36.33

Middle East and Africa

Ghanaian Cedi (GHS) -1.03 -5.22 -18.60 -24.05 -18.98 -1.07 -5.63 -15.30 -22.08 -18.09 17.90

Israeli Shekel (ILS) -0.70 1.25 -0.75 -3.78 -0.60 -0.74 0.82 3.27 -1.28 0.49 4.17

Kenyan Shilling (KES) 0.00 0.12 13.78 -4.13 -4.77 -0.04 -0.32 18.39 -1.64 -3.72 10.50

Moroccan Dirham (MAD) 0.69 1.67 1.15 -1.43 -0.70 0.64 1.23 5.25 1.13 0.39 2.56

Nigerian Naira (NGN) -1.31 2.61 5.04 -34.87 -24.64 -1.35 2.17 9.30 -33.18 -23.81 19.61

South African Rand (ZAR) 0.52 1.60 3.29 -5.95 -3.27 0.48 1.16 7.48 -3.50 -2.20 8.22

Ugandan Shilling (UGX) 0.05 0.65 6.91 -1.22 0.18 0.01 0.22 11.24 1.35 1.29 14.99

Zambian Kwacha (ZMK) -1.76 -2.31 -17.76 -14.63 -11.78 -1.80 -2.73 -14.43 -12.41 -10.81 15.00

Past performance is no guarantee of future results. 2/28/25. Data provided is for informational use only. See end of report for important additional information..

The BEAT | March 2025 47

ALTERNATIVES

Local Sovereign Currency Yields

Developed Market Local Interest Rates % (1 Year) Emerging Market Local Interest Rates % (1 Year)
Current 1 Yr Prior Current 1 Yr Prior

4.14 36.33
Norwegian Krone (NOK) Turkish New Lira (TRY)
4.41 40.50
4.06 Nigerian Naira (NGN) 19.61
U.S. Dollar (USD) 11.54
4.70
Brazilian Real (BRL) 15.04
3.97 9.76
Australian Dollar (AUD)
4.06 Mexican Peso (MXN) 9.11
11.13
3.47
New Zealand Dollar (NZD) Colombian Peso (COP) 8.57
5.06 8.30
2.53 South African Rand (ZAR) 8.22
Canadian Dollar (CAD) 8.89
4.64
Indonesian Rupiah (IDR) 6.23
2.09 6.32
Euro (EUR) *
3.12 5.89
Hungarian Forint (HUF)
2.04 6.47
Swedish Krona (SEK) 5.33
3.56 Chilean Peso (CLP)
5.41
1.86 4.86
Danish Krone (DKK) Polish Zloty (PLN)
3.32 4.95
Philippine Peso (PHP) 4.26
1.59 6.09
British Pound (GBP)
4.77 4.15
Peruvian New Sol (PEN)
0.83 5.25
Japanese Yen (JPY) 3.22
0.17 Malaysian Ringgit (MYR)
3.27
0.39 1.89
Swiss Franc (CHF) Thai Baht (THB)
1.02 2.12
-5.00 0.00 5.00 10.00 15.00 0.00 10.00 20.00 30.00 40.00

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. *German Rate. Source: Bloomberg as 2/28/25. Data provided is for informational use only. See end of report for important additional
information.

The BEAT | March 2025 48

ALTERNATIVES

Commodities Return Analysis (%)

Index 1-Mo. 3-Mo. YTD 1Y 3Y 5Y Index 1-Mo. 3-Mo. YTD 1Y 3Y 5Y

Bloomberg Sub Industrial Metals 2.75 1.02 4.16 10.55 -4.42 9.93
Bloomberg Commodity Index 0.78 5.83 4.76 11.60 0.71 10.56
Aluminum 0.42 0.71 2.83 16.34 -8.94 7.16
Bloomberg Sub Agriculture -2.30 3.63 2.42 3.96 -1.93 11.47
Copper 5.61 9.98 12.64 19.82 2.55 13.18
Coffee 1.45 21.43 20.32 123.3 28.86 31.07
Nickel 1.40 -3.27 0.50 -14.41 -14.10 4.68
Corn -4.85 6.71 0.39 -0.08 -8.03 7.89
Zinc 1.86 -10.57 -6.63 15.16 -5.34 8.48
Cotton -2.29 -9.83 -5.54 -35.62 -11.51 5.83
Bloomberg Sub Precious Metals -0.10 5.14 7.51 37.18 12.44 11.70
Soybean -2.80 2.48 0.59 -8.02 -4.39 10.55
Gold 0.81 6.33 7.52 37.37 13.66 11.44
Soybean Oil -5.00 5.10 8.93 -1.26 -8.06 16.32
Platinum -9.84 -1.90 3.73 6.34 -1.58 2.13
Sugar 3.77 -4.03 4.63 -3.02 14.07 12.25
Silver -2.99 1.37 7.43 36.38 8.35 12.57
Wheat -2.59 0.20 -0.82 -12.90 -21.83 -5.16
Bloomberg Sub Livestock -5.37 -1.45 -0.72 6.70 6.35 4.72
Bloomberg Sub Energy 4.86 13.63 6.71 5.48 -3.30 5.92
Lean Hogs -7.08 -8.74 -3.48 2.96 -2.95 2.99
Brent Crude -2.50 5.14 0.33 1.68 6.40 17.81
Live Cattle -4.46 2.75 0.76 10.55 12.39 6.10
Heating Oil -1.00 9.22 3.82 -6.97 14.41 21.17

Natural Gas 25.55 36.55 23.82 12.94 -32.69 -18.15

Unleaded Gas -1.75 5.94 0.05 -3.88 10.83 20.45

WTI Crude Oil -3.39 4.68 -1.30 2.86 2.17 8.33

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Morningstar as of 2/28/25. Data provided is for informational use only. See end of report for important additional information.
Commodity represented by Bloomberg Commodity Index. Agriculture represented by Bloomberg Agriculture Subindex. Energy represented by Bloomberg Energy Subindex. Grains
represented by Bloomberg Grains Subindex. Industrial Metals represented by Bloomberg Industrial Metals Subindex. Livestock represented by Bloomberg Livestock Subindex. Precious
Metals represented by Bloomberg Precious Metals Subindex.

The BEAT | March 2025 49

ALTERNATIVES

Asset Class Return Analysis (%)

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD 2025
Higher Multi-Strategy MLP Long/Short Equity
Fixed Income
Long/Short Equity
Convertible
MLP MLP MLP MLP MLP
Arbitrage Arbitrage
3.84 18.31 13.41 12.17 40.17 30.92 26.56 24.41 8.79
1.10 10.25

Long/Short Equity Commodity Currency Global Macro Global Macro Long/Short Equity Commodity Managed Futures Long/Short Equity Long/Short Equity Commodity
3.55 11.77 11.54 -0.11 10.38 7.86 27.11 19.12 10.93 14.78 3.95

Equity Market Convertible Equity Market

Multi-Strategy Managed Futures Event Driven Event Driven Commodity Event Driven Event Driven Global Macro
Neutral Arbitrage Neutral
-1.05 9.01 6.95 12.92 16.09 9.30 13.03 3.68
1.69 6.60 8.45
Convertible Convertible
Multi-Strategy Multi-Strategy Event Driven Global Macro Global Macro Global Macro Currency Multi-Strategy Long/Short Equity
Arbitrage Arbitrage
4.41 6.83 8.22 6.53 9.60 15.89 8.44 8.66 3.35
0.81 -2.26
Fixed Income Fixed Income Fixed Income Convertible Equity Market Fixed Income
Currency Multi-Strategy Long/Short Equity Multi-Strategy Currency
Arbitrage Arbitrage Arbitrage Arbitrage Neutral Arbitrage
-3.33 5.60 8.35 8.04 1.55
0.59 4.29 6.52 8.15 1.71 8.49
Fixed Income Fixed Income Equity Market Equity Market
Global Macro Global Macro Event Driven Event Driven Commodity Managed Futures Multi-Strategy
Arbitrage Arbitrage Neutral Neutral
0.18 3.58 6.30 -3.95 7.69 8.19 1.27
3.64 7.71 8.05 1.55
Convertible Fixed Income Equity Market Convertible
Managed Futures Currency Long/Short Equity Multi-Strategy Managed Futures Multi-Strategy Event Driven
Arbitrage Arbitrage Neutral Arbitrage
-0.93 3.54 -4.62 7.25 1.86 6.97 1.54
5.01 -0.97 6.73 7.35
Equity Market Convertible Convertible Convertible
Event Driven Event Driven Managed Futures MLP Currency Global Macro Multi-Strategy
Neutral Arbitrage Arbitrage Arbitrage
-6.29 2.68 3.29 6.56 1.73 5.52 1.50
-5.00 6.33 -3.32 4.04
Fixed Income Equity Market Equity Market Fixed Income
Currency Long/Short Equity Global Macro Managed Futures Long/Short Equity Managed Futures Commodity
Arbitrage Neutral Neutral Arbitrage
-7.61 -3.43 2.14 -6.67 -5.77 -2.78 5.38
6.10 1.69 6.16 0.99
Equity Market Fixed Income Convertible
Commodity Commodity Commodity Currency Commodity Event Driven Global Macro Managed Futures
Neutral Arbitrage Arbitrage
-24.66 1.70 -11.25 5.20 -3.12 -6.80 -5.19 2.87
-4.58 5.22 0.85
Equity Market
MLP Managed Futures MLP MLP MLP Currency Currency Commodity Currency Managed Futures
Neutral
-32.59 -6.84 -6.52 -12.42 -28.69 -3.09 -7.14 -7.91 -1.08 0.65
1.58
Lower

Past performance is no guarantee of future results. It is not possible to invest directly in an index. Source: Morningstar as of 1/31/25. *Data is on a 1-month lag. Data provided is for
informational use only. Alternative investments often are speculative and include a high degree of risk. See end of report for important additional information. Global Macro represented by
Credit Suisse Global Macro Index. MLP represented by Alerian MLP Index. Event Driven represented by Credit Suisse Event Driven Index. Multi-Strategy represented by Credit Suisse
Multi-Strategy Index. Long/Short Equity represented by Credit Suisse Long/Short Equity Index. Convertible Arbitrage represented by Credit Suisse Convertible Arbitrage Index. Currency
represented by J.P. Morgan EMLI+ Index. Equity Market Neutral represented by Credit Suisse Equity Market Neutral Index. Fixed Income Arbitrage represented by Credit Suisse Fixed
Income Arbitrage Index. Managed Futures represented by Credit Suisse Managed Futures Index. Commodity represented by Bloomberg Commodity Index.

The BEAT | March 2025 50

TRANSITION

Major Asset Classes Correlation Table

Emerging
S&P 500 International Markets Small Cap U.S. Aggregate Municipal High Yield Bank Loan Commodities

S&P 500 1.00 0.86 0.68 0.86 0.39 0.41 0.80 0.60 0.40

International 0.86 1.00 0.79 0.76 0.43 0.47 0.80 0.60 0.45

Emerging
0.69 0.79 1.00 0.60 0.39 0.44 0.70 0.56 0.49
Markets

Small Cap 0.86 0.80 0.66 1.00 0.29 0.33 0.76 0.63 0.37

U.S.
0.60 0.66 0.59 0.50 1.00 0.85 0.50 0.15 -0.05
Aggregate

Municipal 0.62 0.69 0.66 0.55 0.85 1.00 0.56 0.29 0.04

High Yield 0.83 0.83 0.72 0.81 0.62 0.71 1.00 0.80 0.50

Bank Loan 0.61 0.61 0.61 0.66 0.23 0.39 0.80 1.00 0.49

Commodities 0.39 0.45 0.44 0.36 0.04 0.15 0.48 0.49 1.00

5 Years ended February 28, 2025 10 Years ended February 28, 2025

Past performance is no guarantee of future results.

It is not possible to invest directly in an index. Source: Morningstar as of 2/28/25. The table above shows the return correlation between various asset classes (represented by market
indices as defined in this disclosure) over the past five and ten years. Data provided is for informational use only. See end of report for important additional information. S&P 500 is
represented by the S&P 500 Index. International is represented by MSCI EAFE Index. Emerging Markets is represented by MSCI Emerging Markets Index. Small-Cap is represented by
Russell 2000 Index. US Aggregate is represented by the Bloomberg Barclays Capital US Aggregate Bond Index. Municipal is represented by Bloomberg Barclays Municipal Bond Index.
High Yield is represented by ICE BofA US High Yield Index. Bank Loan is represented by Morningstar LSTA U.S. Leveraged Loan Index. Commodities is represented by Bloomberg
Commodity Index.

The BEAT | March 2025 51

TRANSITION

Fund and ETF Flows by Category

Top 10 Open-End Mutual Fund Categories Top 10 Exchange-Traded Fund Categories

by Monthly Flows ($MM) by Monthly Flows ($MM)
1 Mo. 3 Mo. 12 Mo. 1 Mo. 3 Mo. 12 Mo.
Multisector Bond 2,942 9,466 42,570 Large Blend 16,256 133,993 368,303
Bank Loan 1,955 3,201 1,528 Ultrashort Bond 12,074 26,055 62,997
High Yield Muni 1,862 2,901 13,488 Large Growth 7,711 37,367 97,059
Nontraditional Bond 1,792 3,577 10,388 Derivative Income 5,594 14,678 36,535
Muni National Interm 1,375 3,321 13,987 Digital Assets 5,356 21,158 46,568
High Yield Bond 1,110 -995 12,241 Technology 4,068 9,910 24,490
Muni National Short 807 501 -4,094 Financial 3,947 11,579 13,713
Equity Market Neutral 702 1,381 2,667 Intermediate Core Bond 3,755 15,870 58,412
Ultrashort Bond 569 4,031 6,783 Long Government 3,687 -7,839 16,308
Multistrategy 399 303 1,346 Foreign Large Blend 3,555 17,473 62,019

Bottom 10 Open-End Mutual Fund Categories Bottom 10 Exchange-Traded Fund Categories

by Monthly Flows ($MM) by Monthly Flows ($MM)
1 Mo. 3 Mo. 12 Mo. 1 Mo. 3 Mo. 12 Mo.
Global Large-Stock Growth -1,854 -4,701 -14,059 Health -648 -3,099 -8,438
Health -2,135 -6,799 -15,897 China Region -702 -5,705 3,252
Mid-Cap Value -2,587 -5,944 -22,413 Equity Precious Metals -739 -936 -2,150
Foreign Large Blend -2,609 10,626 4,269 Trading--Leveraged Equity -937 2,014 3,899
Foreign Large Growth -3,002 -11,177 -23,257 India Equity -973 -1,574 2,910
Mid-Cap Growth -3,588 -9,483 -32,021 Large Value -1,025 24,009 53,526
Moderate Allocation -3,593 -10,172 -39,413 Natural Resources -1,048 -664 -2,157
Large Blend -5,916 -39,715 -120,463 Commodities Focused -1,102 -2,469 3,017
Large Value -6,017 -20,284 -67,511 Diversified Emerging Mkts -1,170 1,428 8,090
Large Growth -14,671 -36,128 -127,009 Equity Energy -1,891 -2,629 -9,413

Source: Morningstar as of 1/31/25. Flow data is on a one-month lag. Data provided is for informational use only. See end of report for important additional information.

The BEAT | March 2025 52

TRANSITION

Major Asset Class Return Analysis (%)

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD 2025
Higher
Municipal Small-Cap Emerging Markets Municipal S&P 500 Small-Cap S&P 500 Commodities S&P 500 S&P 500 International
3.30 21.31 37.28 1.28 31.49 19.96 28.71 16.09 26.29 25 .02 7.30

S&P 500 High Yield International Bank Loan Small-Cap S&P 500 Commodities Bank Loan International Small-Cap Commodities
1.38 17.49 25.03 0.44 25.52 18.40 27.11 -0.77 18.24 11.54 4.76

US Agg S&P 500 S&P 500 US Agg International Emerging Markets Small-Cap Municipal Small-Cap Asset Allocation US Agg
0.55 11.96 21.83 0.01 22.01 18.31 14.82 -8.53 16.93 9.79 2.74

Bank Loan Commodities Small-Cap High Yield Asset Allocation Asset Allocation Asset Allocation High Yield Asset Allocation Bank Loan Asset Allocation
-0.69 11.77 14.65 -2.26 18.70 11.95 11.43 -11.22 14.09 8.95 2.43

International Emerging Markets Asset Allocation S&P 500 Emerging Markets International International US Agg High Yield High Yield Emerging Markets
-0.81 11.19 14.02 -4.38 18.42 7.82 11.26 -13.01 13.46 8.20 2.28

Asset Allocation Bank Loan High Yield Asset Allocation High Yield US Agg High Yield Asset Allocation Bank Loan Emerging Markets High Yield
-2.03 10.16 7.48 -5.40 14.41 7.51 5.36 -13.04 13.32 7.50 2.04

Small-Cap Asset Allocation Municipal Small-Cap US Agg High Yield Bank Loan International Emerging Markets Commodities Municipal
-4.41 8.61 5.45 -11.01 8.72 6.17 5.20 -14.45 9.83 5.38 1.50

High Yield US Agg Bank Loan Commodities Bank Loan Municipal Municipal S&P 500 Municipal International S&P 500
-4.64 2.65 4.12 -11.25 8.64 5.21 1.52 -18.11 6.40 3.82 1.44

Emerging Markets International US Agg International Commodities Bank Loan US Agg Emerging Markets US Agg US Agg Bank Loan
-14.92 1.00 3.54 -13.79 7.69 3.12 -1.54 -20.09 5.53 1.25 0.80

Commodities Municipal Commodities Emerging Markets Municipal Commodities Emerging Markets Small-Cap Commodities Municipal Small-Cap
-24.66 0.25 1.70 -14.57 7.54 -3.12 -2.54 -20.44 -7.91 1.05 -2.87
Lower
Past performance is no guarantee of future results. It is not possible to invest directly in an index. Source: Morningstar as of 2/28/25. Data provided is for informational use only.
Investing involves risks including the possible loss of principal. Investors should carefully review the risks of each asset class prior to investing. See end of report for important additional
information. S&P 500 represented by the S&P 500 Index. International represented by MSCI EAFE Index. Emerging Markets represented by MSCI Emerging Markets Index. Small-Cap
represented by Russell 2000 Index. US Aggregate represented by the Bloomberg Capital US Aggregate Bond Index. Municipal represented by Bloomberg Municipal Bond Index. High
Yield represented by ICE BofA US High Yield Index. Bank Loan represented by Morningstar LSTA U.S. Leveraged Loan Index. Commodity represented by Bloomberg Commodity Index.
The Asset Allocation portfolio assumes the following weights: 25% in the S&P 500 Index, 15% in the MSCI EAFE Index, 5% in the MSCI Emerging Markets Index, 10% in the Russell
2000 Index, 25% in the Bloomberg Capital US Aggregate Bond Index, 5% in the Bloomberg Municipal Bond Index, 5% in the Bloomberg US Corporate High Yield Index, 5% in the
Morningstar LSTA U.S. Leveraged Loan Index, and 5% in the Bloomberg Commodity Index.

The BEAT | March 2025 53

Portfolio Solutions Group
The Portfolio Solutions Group is a
comprehensive multi-asset
business, with activity across all
asset strategies and type, both
traditional and alternative, through
solutions that span fully liquid
(public assets), comprehensive
JIM CARON EWA TUREK ERIC ZHANG SCHUYLER
(public and private assets) and fully
Chief Investment SEMMELROTH Executive Director HOOPER
private portfolios. Offerings are Officer Executive Director Executive Director
delivered by a managed portfolio or Managing Director

model, in discretionary or advisory

format.

The team’s expertise lies in

partnering with institutional,
intermediaries and high net worth
investors to understand their unique
needs and crafting solutions to help GREG UMAR MALIK CHRIS CHIA SACHIN
them achieve their overall WATERMAN Vice President Vice President RAGHAVAN

investment objectives. Executive Director Associate

. 54
The BEAT | March 2025
Asset Allocation Committee

MARK BAVOSO VISHAL KHANDUJA

The Asset Allocation Committee Senior Portfolio Manager, Global Multi-Asset Team Portfolio Manager
is an independent group of senior Co-Head of the Broad Markets Fixed Income Team
JUSTIN BOURGETTE
investment professionals across Portfolio Manager KYLE LEE
Head of Investment Strategy for the High Yield Team Portfolio Manager
various disciplines within MSIM Co-Head of the Emerging Markets Team
CRAIG BRANDON
and Eaton Vance. The Portfolio Portfolio Manager SCOTT R. NORBY
Co-Head of the Municipals Team Private Credit and Equity
Solutions Group presents multi-
JIM CARON NISHA PATEL, CFA
sector research and investment Chief Investment Officer, Portfolio Solutions Group Senior Portfolio Manager
ideas to the Committee, who is Parametric
AARON DUNN
responsible for vetting and Portfolio Manager ANDREW SLIMMON
Co-Head of the Value Equity Team Senior Portfolio Manager
challenging these ideas to insure Head of Applied Equity Advisors
GREG FINCK
they meet their rigorous standards Portfolio Manager ANDREW SZCZUROWSKI
Co-Head of the Mortgage and Securitized Team Portfolio Manager
and can then be included in Co-Head of the Mortgage and Securitized Team
BRAD GODFREY
representative asset allocation Co-Head of the Emerging Markets Team STEVEN TURNER
recommendations. Head of Investment Selection,
KATIE HERR Portfolio Solutions Group
Head of Fixed Income Product Strategy
MARK VAN DER ZWAN
LAUREN HOCHFELDER Chief Investment Officer and Head of the AIP Hedge
Co-Chief Executive Officer of MSREI Fund Team
Head of MSREI Americas

JITANIA KANDHARI
Deputy CIO, Solutions & Multi Asset Group;
Head of Macro & Thematic Research,
Emerging Markets; Portfolio Manager

The BEAT | March 2025 55

ADDITIONAL INFORMATION

Index Definitions
Bloomberg Commodity Index is a broadly diversified index tracking CBOE S&P 500 BuyWrite Index measures the performance of a Morgan Stanley Capital International All Country Asia Pacific Index
futures contracts on physical commodities. hypothetical buy-write strategy on the S&P 500 Index. (MSCI AC Asia Pac) is an unmanaged total return, capitalization-weighted
index that measures the performance of stock markets in 15 Pacific region
Bloomberg Euro-Aggregate Corporates Index consists of bonds issued ICE BofA US Inflation-Linked Treasury Index tracks the performance of
countries, including Australia, China, Hong Kong, India, Indonesia, Japan,
in the euro or the legacy currencies of the 16 sovereign countries USD denominated inflation linked sovereign debt publicly issued by the
Korea, Malaysia, New Zealand, Pakistan, the Philippines, Singapore, Sri
participating in the European Monetary Union (EMU) US government.
Lanka, Taiwan and Thailand.
Bloomberg Global Aggregate Ex-USD Index is a broad-based measure ICE BofA Fixed Rate Preferred Securities Index is an unmanaged index
Morgan Stanley Capital International (MSCI) Japan Index is an
of global Investment Grade fixed-rate debt investments, excluding USD- of fixed-rate, preferred securities issued in the U.S.
unmanaged index designed to measure the performance of the large and
denominated debt.
ICE BofA European Union Government Bond Index tracks the mid cap segments of the Japan market.
Bloomberg High Yield Municipal Bond Index is an unmanaged index of performance of sovereign debt publicly issued by countries that are
Morgan Stanley Capital International (MSCI) World Index is an
non-Investment Grade Municipal bonds traded in the U.S. members of the European Union.
unmanaged index of equity securities in the developed markets.
Bloomberg Municipal Bond Index is an unmanaged index of Municipal ICE BofA U.S. High Yield Index is an unmanaged index of below-
Morgan Stanley Capital International (MSCI) World ex USA Small Cap
bonds traded in the U.S. investment grade U.S. corporate bonds.
Index is an unmanaged index of small-cap equity securities in the
Bloomberg Pan-European High Yield Index covers the universe of ICE BofA Developed Markets High Yield Ex-Subordinated Financial developed markets, excluding the United States.
fixed-rate, sub-investment-grade debt denominated in euros or other Index (Hedged) is an unmanaged index of global developed market
Morgan Stanley Capital International All Country World (MSCI AC
European currencies (except Swiss francs). below investment grade corporate bonds, USD hedged.
World) Index is an unmanaged free float-adjusted market-capitalization-
Bloomberg Taxable Municipal Bond Index is an unmanaged index of FTSE 100 Index is an unmanaged market-capitalization weighted index weighted index designed to measure the equity market performance of
Taxable Municipal bonds traded in the U.S. representing the performance of the 100 largest UK listed blue chip developed and emerging markets.
companies, which pass screening for size and liquidity.
Bloomberg U.S. Agency Index measures agency securities issued by Morgan Stanley Capital International Europe (MSCI Europe) Index is
U.S government agencies, quasi-federal corporations, and corporate or FTSE All Small Index consists of all the companies in the FTSE an unmanaged free float-adjusted market-capitalization-weighted index
foreign debt guaranteed by the U.S. government. SmallCap and FTSE Fledgling indices. designed to measure the equity market performance of the developed
markets in Europe.
Bloomberg U.S. Aggregate Index is an unmanaged index of domestic FTSE World Government Bond Index (WGBI) measures the
investment-grade bonds, including corporate, government and mortgage- performance of fixed-rate, local currency, investment-grade sovereign Morgan Stanley Capital International Europe, Australasia, Far East
backed securities. bonds. (MSCI EAFE) Index is an unmanaged index of equities in the developed
markets, excluding the U.S. and Canada.
Bloomberg U.S. Asset Backed Securities (ABS) Index measures ABS J.P. Morgan Corporate Emerging Markets Bond Index (CEMBI) Broad
with the following collateral type: credit and charge card, auto, and utility Diversified is an unmanaged index of USD-denominated emerging MSCI USA Index is designed to measure the performance of the large and mid
loans. market corporate bonds. cap segments of the US market. With 625 constituents, the index covers
approximately 85% of the free float-adjusted market capitalization in the US.
Bloomberg U.S. CMBS Index measures the market of conduit and fusion J.P. Morgan Emerging Markets Bond Index (EMBI) Global Diversified
CMBS deals with a minimum current deal size of $300mn. is an unmanaged index of USD-denominated bonds with maturities of MSCI China captures large and mid-cap representation across China A-
more than one year issued by emerging markets governments. shares, B-shares, H-shares, Red-chips and P-chips. It reflects the Mainland
Bloomberg U.S. Corporate Investment Grade Index is an unmanaged
China and Hong Kong opportunity set from an international investor’s
index that measures the performance of investment-grade corporate J.P. Morgan Government Bond Index-Emerging Markets (GBI-EM)
perspective.
securities within the Barclays U.S. Aggregate Index. Global Diversified is an unmanaged index of local-currency bonds with
maturities of more than one year issued by emerging market governments. The MSCI India Index is designed to measure the performance of the large
Bloomberg U.S. Mortgage-Backed Securities (MBS) Index measures
and mid cap segments of the Indian market.
agency mortgage-backed pass-through securities issued by GNMA, Morgan Stanley Capital International (MSCI) Emerging Markets Index
FNMA, and FHLMC. is an unmanaged index of emerging markets common stocks The MSCI World Index is a free float adjusted market capitalization
weighted index that is designed to measure the global equity market
Bloomberg U.S. Treasury Index measures public debt instruments MSCI EMU Index (European Economic and Monetary Union) captures
performance of developed markets. The term "free float" represents the
issued by the U.S. Treasury. large and mid cap representation across the 10 Developed Markets
portion of shares outstanding that are deemed to be available for purchase
countries in the EMU. With 229 constituents, the index covers
CBOE Volatility Index (VIX) tracks the implied volatilities of a wide range in the public equity markets by investors. The performance of the Index is
approximately 85% of the free float-adjusted market capitalization of the
of S&P 500 Index options. listed in U.S. dollars and assumes reinvestment of net dividends.
EMU.

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ADDITIONAL INFORMATION

Index Definitions, Terms and About Risk

The MSCI USA Health Care Index is designed to capture the large and mid cap segments of the US equity Municipal-to-Treasury Yield Ratios are relative value indicators that measure the richness or cheapness of
universe. All securities in the index are classified in the Health Care sector as per the Global Industry Municipal bond yields to comparable maturity Treasury bond yields.
Classification Standard.
Morningstar LSTA U.S. Leveraged Loan Index is an unmanaged index of the institutional leveraged loan
Terms
market. Prior to August 29, 2022, the index name was S&P/LSTA Leveraged Loan Index. Yield to Worst is a measure which reflects the lowest potential yield earned on a bond without the issuer
defaulting. The yield to worst is calculated by making worst-case scenario assumptions by calculating the returns
Nikkei 225 Stock Average Index is unmanaged price-weighted index of 225 top-rated Japanese companies
that would be received if provisions, including prepayment, call or sinking fund, are used by the issuer.
listed in the First Section of the Tokyo Stock Exchange.
Russell 1000 Index is an unmanaged index of 1,000 U.S. large-cap stocks. About Risk
Russell 1000 Growth Index is an unmanaged index of 1,000 U.S. large-cap growth stocks. Bank Loans – There can be no assurance that the liquidation of collateral securing an investment will satisfy the
issuer’s obligation in the event of non-payment or that collateral can be readily liquidated. The ability to realize the
Russell 1000 Value Index is an unmanaged index of 1,000 U.S. large-cap value stocks.
benefits of any collateral may be delayed or limited. Commodities – The value of commodities investments will
Russell 2000 Index is an unmanaged index of 2,000 U.S. small-cap stocks. generally be affected by overall market movements and factors specific to a particular industry or commodity
including weather, embargoes, tariffs, or health, political, international and regulatory developments. Credit –
Russell 2500 Index is an unmanaged index of approximately 2,500 U.S. small- and mid-cap U.S. stocks.
Investments in income securities may be affected by changes in the creditworthiness of the issuer and are subject
Russell Midcap Index is an unmanaged index of U.S. mid-cap stocks. to the risk of non-payment of principal and interest. The value of income securities also may decline because of
real or perceived concerns about the issuer’s ability to make principal and interest payments. Duration –
Standard & Poor’s 400 Index is designed to measure the performance of 400 mid-sized U.S. companies,
Securities with longer durations tend to be more sensitive to interest rate changes than securities with shorter
reflecting the distinctive risk and return characteristics of this market segment.
durations. Equity – Equity investment values are sensitive to stock market volatility. Foreign – Investments in
Standard & Poor’s 500 Index is an unmanaged index of large-cap stocks commonly used as a measure of U.S. foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse
stock market performance. market, economic, political, regulatory, geopolitical, or other conditions. In emerging countries, these risks may be
more significant. Gov’t Agency – While certain U.S. Government-sponsored agencies may be chartered or
STOXX Europe 600 Index is a fixed component number index designed to provide a broad yet liquid
sponsored by acts of Congress, their securities are neither issued nor guaranteed by the U.S. Treasury. Income
representation of large, mid and small capitalization companies in Europe.
Market – An imbalance in supply and demand in the income market may result in valuation uncertainties and
ICE BofA Indexes: ICE® BofA® indices are not for redistribution or other uses; provided “as is”, without greater volatility, less liquidity, widening credit spreads and a lack of price transparency in the market. There
warranties, and with no liability. Eaton Vance has prepared this report and ICE Data Indices, LLC does not generally is limited public information about Municipal issuers. Inflation-Linked – Interest payments on inflation-
endorse it, or guarantee, review, or endorse Eaton Vance’s products. BofA® is a licensed registered trademark of linked securities may vary widely and will fluctuate as principal and interest are adjusted for inflation. Investments
Bank of America Corporation in the United States and other countries. in inflation-linked securities may lose value in the event that the actual rate of inflation is different than the rate of
the inflation index. Interest Rate – As interest rates rise, the value of certain income investments is likely to
MSCI Indexes: Source: MSCI. MSCI data may not be reproduced or used for any other purpose. MSCI provides
decline.. Lower-Rated – Investments rated below Investment Grade (typically referred to as “junk”) are generally
no warranties, has not prepared or approved this report, and has no liability hereunder.
subject to greater price volatility and illiquidity than higher rated investments. Maturity – Longer-term bonds
J.P. Morgan Indices: Information has been obtained from sources believed to be reliable, but J.P. Morgan does typically are more sensitive to interest rate changes than shorter-term bonds. Preferred Stocks – When interest
not warrant its completeness or accuracy. The Index is used with permission. The Index may not be copied, used, rates rise, the value of preferred stocks will generally decline. Prepayment - MBS – Mortgage-backed securities
or distributed without J.P. Morgan’s prior written approval. Copyright 2019, J.P. Morgan Chase & Co. All rights are subject to prepayment risk. Prepayment - Bank Loan – Bank Loans are subject to prepayment risk. Real
reserved. Estate – Changes in real estate values or economic downturns can have a significant negative effect on issuers in
the real estate industry, including REITs.
S&P Dow Jones Indices are a product of S&P Dow Jones Indices LLC (“S&P DJI”) and have been licensed for
use. S&P® and S&P 500® are registered trademarks of S&P DJI; Dow Jones® is a registered trademark of Dow
Jones Trademark Holdings LLC (“Dow Jones”); S&P DJI, Dow Jones and their respective affiliates do not
sponsor, endorse, sell or promote the Fund, will not have any liability with respect thereto and do not have any
liability for any errors, omissions, or interruptions of the S&P Dow Jones Indices.
Unless otherwise stated, index returns do not reflect the effect of any applicable sales charges, commissions,
expenses, taxes or leverage, as applicable. It is not possible to invest directly in an index. Data provided is for
informational use only. Past performance is no guarantee of future results. See end of report for important
additional information.

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ADDITIONAL INFORMATION

Risk Considerations
This material has been prepared on the basis of publicly available information, internally developed data
Diversification does not eliminate the risk of loss.
and other third-party sources believed to be reliable. However, no assurances are provided regarding
In general, equity securities’ values also fluctuate in response to activities specific to a company. the reliability of such information and the Firm has not sought to independently verify information taken
Investments in foreign markets entail special risks such as currency, political, economic, and market from public and third-party sources.
risks. The risks of investing in emerging market countries are greater than risks associated with
This material is a general communication, which is not impartial, and all information provided has been
investments in foreign developed countries. Fixed income securities are subject to the ability of an
prepared solely for informational and educational purposes and does not constitute an offer or a
issuer to make timely principal and interest payments (credit risk), changes in interest rates (interest-
recommendation to buy or sell any particular security or to adopt any specific investment strategy. The
rate risk), the creditworthiness of the issuer and general market liquidity (market risk). In a rising
information herein has not been based on a consideration of any individual investor circumstances and
interest-rate environment, bond prices may fall and may result in periods of volatility and increased
is not investment advice, nor should it be construed in any way as tax, accounting, legal or regulatory
portfolio redemptions. In a declining interest-rate environment, the portfolio may generate less income.
advice. To that end, investors should seek independent legal and financial advice, including advice as to
Longer-term securities may be more sensitive to interest rate changes. Alternative investments are
tax consequences, before making any investment decision.
speculative, involve a high degree of risk, are highly illiquid, typically have higher fees than other
investments, and may engage in the use of leverage, short sales, and derivatives, which may increase The Firm does not provide tax advice. The tax information contained herein is general and is not
the risk of investment loss. These investments are designed for investors who understand and are exhaustive by nature. It was not intended or written to be used, and it cannot be used by any taxpayer,
willing to accept these risks. Performance may be volatile, and an investor could lose all or a substantial for the purpose of avoiding penalties that may be imposed on the taxpayer. Each Jurisdiction tax laws
portion of its investment. are complex and constantly changing. You should always consult your own legal or tax professional for
information concerning your individual situation.
There is no guarantee that any investment strategy will work under all market conditions, and each
investor should evaluate their ability to invest for the long-term, especially during periods of downturn in Charts and graphs provided herein are for illustrative purposes only. Past performance is no
the market. guarantee of future results.
A separately managed account may not be appropriate for all investors. Separate accounts The indexes are unmanaged and do not include any expenses, fees or sales charges. It is not possible
managed according to the Strategy include a number of securities and will not necessarily track to invest directly in an index. Any index referred to herein is the intellectual property (including registered
the performance of any index. Please consider the investment objectives, risks and fees of the trademarks) of the applicable licensor. Any product based on an index is in no way sponsored,
Strategy carefully before investing. A minimum asset level is required. endorsed, sold or promoted by the applicable licensor and it shall not have any liability with respect
thereto.
For important information about the investment managers, please refer to Form ADV Part 2.
This material is not a product of Morgan Stanley’s Research Department and should not be regarded as
The views and opinions and/or analysis expressed are those of the author or the investment team as of
a research material or a recommendation.
the date of preparation of this material and are subject to change at any time without notice due to
market or economic conditions and may not necessarily come to pass. Furthermore, the views will not The Firm has not authorized financial intermediaries to use and to distribute this material, unless such
be updated or otherwise revised to reflect information that subsequently becomes available or use and distribution is made in accordance with applicable law and regulation. Additionally, financial
circumstances existing, or changes occurring, after the date of publication. The views expressed do not intermediaries are required to satisfy themselves that the information in this material is appropriate for
reflect the opinions of all investment personnel at Morgan Stanley Investment Management (MSIM) and any person to whom they provide this material in view of that person’s circumstances and purpose. The
its subsidiaries and affiliates (collectively “the Firm”) and may not be reflected in all the strategies and Firm shall not be liable for, and accepts no liability for, the use or misuse of this material by any such
products that the Firm offers. financial intermediary.
Forecasts and/or estimates provided herein are subject to change and may not actually come to pass. This material may be translated into other languages. Where such a translation is made this English
Information regarding expected market returns and market outlooks is based on the research, analysis version remains definitive. If there are any discrepancies between the English version and any version
and opinions of the authors or the investment team. These conclusions are speculative in nature, may of this material in another language, the English version shall prevail.
not come to pass and are not intended to predict the future performance of any specific
strategy or product the Firm offers. Future results may differ significantly depending on factors such as
changes in securities or financial markets or general economic conditions.

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ADDITIONAL INFORMATION

The whole or any part of this material may not be directly or indirectly reproduced, copied, modified, Spain: MSIM FMIL (Madrid Branch), Calle Serrano 55, 28006, Madrid, Spain. Germany: MSIM FMIL
used to create a derivative work, performed, displayed, published, posted, licensed, framed, distributed Frankfurt Branch, Große Gallusstraße 18, 60312 Frankfurt am Main, Germany (Gattung:
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consent. This material may not be linked to unless such hyperlink is for personal and non-commercial Federspiel, Axel Towers, Axeltorv2, 1609 Copenhagen V, Denmark.
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MIDDLE EAST
law.
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This material is only intended for and will only be distributed to persons resident in jurisdictions Management Limited (Representative Office), an entity regulated by the Dubai Financial Services
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and Management, Eaton Vance Management, Parametric Portfolio Associates LLC, and Atlanta the DFSA. The DFSA has no responsibility for reviewing or verifying any documents in connection with
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This material has been issued by any one or more of the following entities:
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In the EU, MSIM and Eaton Vance materials are issued by MSIM Fund Management (Ireland) Limited
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Amstelplein 1 1096HA, Netherlands. France: MSIM FMIL (Paris Branch), 61 rue de Monceau 75008
Paris, France.

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ADDITIONAL INFORMATION

ASIA PACIFIC
Hong Kong: This material is disseminated by Morgan Stanley Asia Limited for use in Hong Kong and shall only be made available to “professional investors” as defined under the
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Type II Financial Instruments Firms Association.

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