Market observations:
Investors experienced heightened volatility during the fourth quarter, with capital markets closing mostly negative. Small U.S. equities (represented by the Russell 2000 Index) lost -20.2%, large U.S. equities (represented by the S&P 500 Index) lost -13.5%, and international equities (represented by the MSCI All Country World ex-U.S. Index) lost -11.5%. U.S. bonds, however, (represented by the Bloomberg Barclays U.S. Aggregate Index) were up 1.6%.