Market Updates & Outlook
January 31 2025

TD Wealth Asset Allocation Committee (WAAC) Perspectives

10 min

TD Wealth Asset Allocation Committee (WAAC)

The WAAC maintains its overweight outlook to equities, expecting positive earnings growth of ~12% for the S&P TSX Composite Index and ~14% earnings growth for S&P 500 Index companies in 2025. The WAAC anticipates that further U.S Federal Reserve rate cuts will be made carefully and slowly over the coming year. This will likely result in bond yields remaining elevated near multi-decade highs and, therefore, the WAAC expects modest low-to-mid single digit total returns for the bond market over the next 12 to 18 months.

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TD Wealth Asset Allocation Committee (WAAC)