Valuations alt text as of March 31, 2026 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 March 31, 2026, unchanged from December 31, 2025. For global ex-U.S. equities (unhedged), it was 77%, down from 80%. For developed markets ex-U.S. equities (unhedged), it was 74%, down from 76%. For emerging markets equities (unhedged), it was 80% compared with 87%. 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 30% at the end of March 2026, up from 20% at the end of December 2025. For the growth factor, it was 61%, down from 72%; for the large-cap factor, it was unchanged at 57%; and for the small-cap factor, it was 21%, up from 12%. For fixed income, the valuation percentile for U.S. aggregate bonds was 59% at the end of March 2026 compared with 80% at the end of December 2025; for global ex-U.S. aggregate bonds (hedged), it was 39%, down from 42%; for U.S. Treasury bonds, it was 57%, down from 79%; for U.S. short-term Treasuries, it was 53% compared with 88%; for U.S. intermediate-term Treasuries, it was 59% compared with 80%; for U.S. long-term Treasuries, it was 56% compared with 57%; for U.S. credit spread, it was 79%, down from 89%; for U.S. high-yield corporate bond spread, it was 77%, down from 91%; for emerging markets sovereign bond (hedged) spread, it was 73%, down from 82%; for U.S. Treasury Inflation-Protected Securities spread, it was 60%, up from 57%; and for U.S. mortgage-backed securities spread, it was 86% compared with 88%.