Schwab strategist Liz Ann Sonders shifts focus toward commodities, citing the need for personalized asset allocation over the traditional 60/40 stock-bond portfolio model.
Gold-backed funds recorded $18 billion inflows in August and all-time high holdings, signaling strong demand for gold as a commodity.
Charles Schwab is the firm whose chief investment strategist said equities are neutral, but no direct recommendation is made on Schwab's own stock.
Charles Schwab chief investment strategist Liz Ann Sonders maintains a neutral stance on equities while signaling a preference for commodities over traditional stock and bond allocations. The firm emphasizes that portfolio construction must remain bespoke, rejecting the standardized 60/40 model in favor of strategies tailored to individual risk tolerance and time horizons.
The firm argues that a 'cookie-cutter' approach fails to account for individual investor goals, time horizons, and risk tolerance, suggesting that commodities offer a more favorable alternative in the current market cycle.