Why Diversification Matters by Mesirow Financial. Because no one can predict which asset class will perform best.

The second quarter of 2022 was uniquely challenging for all markets and financial asset classes. Inflation hit levels not seen in the US in over 40 years, running at 8.6% annualized through the end of May. The resulting rise in interest rates and slowdown in consumer confidence stoked fears of a recession and sent stocks and bonds sharply lower.