June 2025 Monthly Index Total Return Comparison

In stocks (equities):

• June was another productive month for the S&P 500 Index (+5.1%) as it hit another all-time high to end the month even with trade talks between the U.S. and some of its major trading partners still ongoing and providing little detail. In addition, the U.S. Senate is in the midst of a marathon session with aims to pass President Trump's tax and spending bill with further changes and amendments still possible. Each of these situations provide enough ambiguity alone but together set an uncertain backdrop for markets.
• In the U.S., all market caps and style segments of stock markets were up in June as the Russell 3000 Index rose +5.1% with large-cap growth stocks represented by the Russell 1000 Growth Index rising the most at +6.4%. On a YTD basis, large-cap growth stocks are now back in positive territory (+6.1%) and are slightly outpacing large-cap value stocks (+6.0%) as measured by the Russell 1000 Value Index. U.S. small-cap stocks, as measured by the Russell 2000 Index, are lagging the market so far on a YTD basis (-1.8%) but beat the overall U.S. market in June by returning +5.4%.
• Internationally, stocks have continued their upward trend to start the year with developed markets measured by the MSCI World ex USA Index up +2.3% last month and emerging markets up +6.0% as measured by the MSCI Emerging Markets Index during the same period.
• On a YTD basis, global stock markets are up +10.0% (MSCI All Country World Net Index), which continue to be driven primarily by stock markets outside of the U.S.. International developed large-cap value stocks, as measured by the MSCI World ex USA Value Index, have posted the largest YTD gain (+21.9%) of all global market segments and are outpacing the S&P 500 by 15.7% so far this year.  International small cap value stocks (MSCI World ex-USA Small Cap Value) have gained 21.4% YTD.

In fixed income (bonds):

• Bond returns in Treasuries were positive for all maturities this month as yields fell on average across the yield curve with market participants now expecting three interest rate cuts by the Federal Reserve between now and year's end according to CME FedWatch.
• Corporate and municipal bonds were positive across all maturity segments. The Bloomberg U.S. Aggregate Bond Index was up +1.5% last month.
• Outside of the U.S., the Bloomberg Global Agg ex-US (hedged to USD) Index was up +0.5% last month.
• All bond segments continued to show positive performance over the trailing one and three year periods with the exception of long-dated muni's one-year performance and long-dated U.S. treasuries' three-year performance.

Even with continued volatility in the U.S. stock market and heightened geopolitical uncertainty around the world, a globally balanced 60/40 portfolio is now up +7.2% YTD, which reinforces the benefits of a well-diversified portfolio and that we must focus only on what we can control.

Please let me know if you wish to discuss any of the above.

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The sole purpose of this material is to inform, and it is not intended to be an offer or solicitation to purchase or sell any security or other investment product. Investments mentioned in this material may not be suitable for all investors. Before making any investment, each investor should carefully consider the risks associated with the investment and make a determination based on the investor’s own particular circumstances, and carefully consider whether the investment is consistent with the investor’s investment objectives.

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With benchmark descriptions: MSCI ACWI Index, MSCI’s flagship global equity index, is designed to represent performance of the full opportunity set of large- and mid-cap stocks across 23 developed and 24 emerging markets, covering approximately 85% of the free float-adjusted market capitalization in each market. Russell 3000 Index is a market-capitalization-weighted equity index that tracks the performance of the 3,000 largest U.S.-traded stocks which represent about 98% of all U.S incorporated equity securities.  Standard & Poors 500 is an index based on the market capitalizations of 500 large companies having common stock listed on the NYSE or NASDAQ. The S&P 500 index components and their weightings are determined by S&P Dow Jones Indices. Russell 1000 Index is an index of approximately 1,000 of the largest companies and is a subset of the Russell 3000, comprising approximately 90% of total market capitalization of all listed US stocks.  Russell 1000^® Growth Index is a market capitalization weighted index that measures the performance of those Russell 1000^® companies with higher price-to-book ratios and higher forecasted growth values. Russell 1000^® Value Index is a large-cap value index measuring the performance of the largest 1,000 U.S. incorporated companies with lower price-to-book ratios and lower forecasted growth values. Russell 2000^® Growth Index measures the performance of the Russell 2000 companies with higher price-to-book ratios and higher forecasted growth values. Russell 2000^® Value Index is an unmanaged, market-value weighted, value-oriented index comprised of small stocks that have relatively low price-to-book ratios and lower forecasted growth values. MSCI World ex USA Index captures large and mid cap representation across developed market countries excluding the US.  The MSCI World ex USA Value Index captures large and mid cap securities exhibiting overall value style characteristics across developed market countries excluding the US. MSCI World ex USA Small Cap Index captures small cap representation across developed market countries excluding the US.  MSCI World ex USA Small Value Index captures small cap representation across developed market countries excluding the US emphasizing stocks with lower valuations.  MSCI Emerging Markets Index captures large and mid cap representation across 24 Emerging Markets (EM) countries and covers approximately 85% of the free float-adjusted market capitalization in each country. Dow Jones Global Select REIT Index is designed to measure the performance of publicly traded REITs and REIT-like securities and is a sub-index of the Dow Jones Global Select Real Estate Securities Index (RESI), which seeks to measure equity real estate investment trusts (REITs) and real estate operating companies (REOCs) traded globally. The index is designed to serve as a proxy for direct real estate investment. Dow Jones U.S. Select REIT Index tracks the performance of publicly traded REITs and REIT-like securities and is designed to serve as a proxy for direct real estate investment, in part by excluding companies whose performance may be driven by factors other than the value of real estate. The index is a subset of the Dow Jones U.S. Select Real Estate Securities Index. Dow Jones Global ex-US Select REIT Index is designed to measure the performance of publicly traded REITs and REIT-like securities traded globally ex-US. ICE BofA 3-Month T-Bill Index is an unmanaged index that measures returns of three-month Treasury Bills. ICE BofA 1-5 Year US Treasury, Corporate and Municipal Indexes are subsets respectively of ICE BofA US Treasury, Corporate and Municipal Indexes including all securities with a remaining term to final maturity greater than or equal to 1 year and less than 5 years. ICE BofA 5-10 Year US Treasury, Corporate and Municipal Indexes are subsets respectively of ICE BofA US Treasury, Corporate and Municipal Indexes including all securities with a remaining term to final maturity greater than or equal to 5 years and less than 10 years. ICE BofA 10+ Year Treasury, Corporate and Municipal Securities Index are subsets respectively of ICE BofA US Treasury, Corporate and Municipal Securities Indexes including all securities with a remaining term to final maturity greater than or equal to 10 years. Bloomberg Global Aggregate Bond Index provides a broad-based measure of the global investment-grade fixed income markets (one version shown with its currency hedged back to the USD and is noted as such). Bloomberg Global Aggregate Bond Index ex-US provides a broad-based measure of the global ex-US investment-grade fixed income markets (shown with its currency hedged back to the USD). Bloomberg US Aggregate Bond Index is a broad-based flagship benchmark that measures the investment grade, US dollar-denominated, fixed-rate taxable bond market. The index includes Treasuries, government-related and corporate securities, MBS (agency fixed-rate and hybrid ARM pass-throughs), ABS and CMBS (agency and nonagency). ICE BofA US Inflation-Linked Treasury Index tracks the performance of U.S. dollar denominated inflation linked sovereign debt publicly issued by the U.S. government in its domestic market. Qualifying securities must have at least one year remaining term to final maturity and no more than 5 years to maturity. Bloomberg U.S. Corporate High Yield Bond Index is a total return performance benchmark for fixed income securities having a maximum quality rating of Ba1. 60% Russell 3000 and 40% Bloomberg US Aggregate Bond Index is a blended benchmark rebalanced on a monthly basis.  60% MSCI All Country World Net and 40% Bloomberg Global Aggregate hedged USD is a blended benchmark rebalanced on a monthly basis.

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