ismagilov/iStock via Getty Images Executive summary • The Fund returned -4.70% ((IS Share Class)) during Q1, while the S&P 500® Index returned -4.33%. • The current target exposure is 90% equity, 10% bonds, and 0% cash. The Fund maintained its defensive equity target allocation of 90% during the quarter. • The Fund's defensive positioning on equities during the quarter detracted from performance r...
ismagilov/iStock via Getty Images Executive summary • The Fund returned -4.70% ((IS Share Class)) during Q1, while the S&P 500® Index returned -4.33%. • The current target exposure is 90% equity, 10% bonds, and 0% cash. The Fund maintained its defensive equity target allocation of 90% during the quarter. • The Fund's defensive positioning on equities during the quarter detracted from performance relative to its Index. Market Environment US equities fell during a volatile quarter, with the S&P 500® Index down 4.3%. Geopolitical developments in the Middle East, including the effective closure of the Strait of Hormuz, contributed to heightened market volatility and soaring energy prices. The Federal Reserve (Fed) kept the policy rate unchanged at 3.50-3.75%, balancing resilient activity, mixed inflation data, and mounting political and geopolitical pressures. At the Fed's March meeting, Fed Chair Powell noted that the central bank would need to see further "progress on inflation" to cut rates this year. After strong gains in February, US Treasuries experienced a late-quarter sell-off as higher commodity prices fueled inflation concerns and raised the risk of rate hikes. The Bloomberg US Long Treasury Index fell 0.4% for the quarter. The Nationwide BNY Mellon Dynamic U.S. Core Fund underperformed the S&P 500® for the quarter. Performance Review The Fund returned -4.70% ((IS Share Class)) during Q1, while the S&P 500® Index returned -4.33%. The current target exposure is 90% equity, 10% bonds, and 0% cash. The Fund maintained its defensive equity target allocation of 90% during the quarter. The Fund's defensive positioning on equities during the quarter detracted from performance relative to its Index. Contributors and Detractors The Fund only takes Index-based US stock and US Treasury exposures alongside cash. Therefore, there is no impact from individual security, sector, country, or currency factors. The bond overlay exposure contributed positively to performance duri...
Video of a dying student who was handcuffed by British police after being stabbed by a Sikh man and falsely accused of racially abusing his murderer sparked outrage on Tuesday, with protesters throwing bricks at police. Eighteen-year-old Henry Nowak was heard repeatedly telling officers: “I can’t breathe” in police bodycam footage captured as he lay mortally wounded in December after a night out w...
Video of a dying student who was handcuffed by British police after being stabbed by a Sikh man and falsely accused of racially abusing his murderer sparked outrage on Tuesday, with protesters throwing bricks at police. Eighteen-year-old Henry Nowak was heard repeatedly telling officers: “I can’t breathe” in police bodycam footage captured as he lay mortally wounded in December after a night out with his football team members. Far-right figures have seized on the case, including firebrand Tommy...