Kate Moore

The U.S. large cap space, the S&P 500, which has been treading water for six months, is holding up relatively well because people had already taken down a little bit of their exposure there. And it's frankly, a higher quality part of the market. When geopolitical or economic shocks occur, capital flees speculative assets and seeks safety in liquid, high-quality balance sheets. Because investors had already reduced their S&P 500 exposure prior to the shock, the market is structurally insulated from panic selling. Go long U.S. large caps as they serve as the safest vehicle within risk assets during periods of macro uncertainty. A severe, prolonged recession could eventually drag down large cap earnings, overriding the current positioning advantage.

BlackRock has been adding gold to portfolios, and it has been a top contributor. Gold is no longer just a hedge/ballast; it is a structural investment driven by central bank diversification and geopolitical/inflation fears. LONG GOLD. Real interest rates spike significantly.

Yields are expected to stay elevated, and the long end of the curve could creep toward 5%. Bonds have not provided the historical diversification benefit during shocks. The portfolio is very short duration, and there is very little reason to add duration near term.

Overweight Korea due to strong earnings growth, multiple contraction, and AI exposure. US investors are missing out on powerful parts of the AI story by only investing in US names.

AI investment is existential for every company, demand broadening beyond hyperscalers. Pick and shovel plays like semiconductors are key infrastructure plays and should be owned.