A graphic shows various asset and sub-asset classes’ valuation percentiles relative to fair value, where numbers in the lowest third represent undervaluation, numbers in the middle third represent fair value, and numbers in the highest third represent stretched valuation. For U.S. equities, the valuation percentile was 99% as of June 30, 2025, unchanged from May 31, 2025. For global ex-U.S. equities, it was 67%, up from 59%. For ex-U.S. developed markets, it was unchanged at 70%. For emerging markets, it was 63% compared with 35%. Factor valuations are relative to broad U.S. equities; 50%, for example, is as equally overvalued as broad U.S. equities. The valuation percentile for the value factor was 18% at the end of June 2025, unchanged from the end of May 2025. For the growth factor, it was 67%, also unchanged; for the large-cap factor, it was unchanged at 57%; and for the small-cap factor, it was unchanged at 13%. For fixed income, the valuation percentile for U.S. aggregate bonds was 50% at the end of June 2025 compared with 65% at the end of May 2025; for global ex-U.S. aggregate bonds, it was unchanged at 45%; for short-term Treasuries, it was 61% compared with 69%; for intermediate-term Treasuries, it was 57% compared with 64%; for long-term Treasuries, it was 49% compared with 51%; for intermediate credit, it was 85% compared with 75%; for high-yield credit, it was 89% compared with 68%; for emerging markets sovereign debt, it was 70% compared with 63%; for Treasury Inflation-Protected Securities, it was 58% compared with 60%; and for mortgage-backed securities, it was 70% compared with 66%.