Taxable 4Q20 Market Review & Outlook

As we turn our attention, finally, toward 2021 we note that not only has the macro landscape changed dramatically over the past year, but it has also changed significantly over the last three months. A new U.S. president was elected, global Covid-19 cases surged, several high-efficacy vaccines entered distribution and, most recently, Congress passed further fiscal stimulus. Our view is that for the first half of 2021, the continued economic recovery, supportive policy, and effective vaccines should drive further upside in risk assets, sustain some upward pressure on long rates, and keep reflationary pressures alive.