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, 2025, unchanged from December 31, 2024. For global ex-U.S. equities, it was 61% compared with 57%. For ex-U.S. developed markets, it was 66% compared with 64%. For emerging markets, it was 50% compared with 43%. 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 25% compared with 20% at the end of December 2024. For the growth factor it was 65% compared with 85%; for the large-cap factor, it was 57% compared with 57%; and for the small-cap factor, it was 18% compared with 17%. For fixed income, the valuation percentile for U.S. aggregate bonds was 62%, compared with 47% at the end of December 2024; for global ex-U.S. aggregate bonds, it was 44% compared with 50%; for short-term Treasuries, it was 57% compared with 35%; for intermediate-term Treasuries, it was 62% compared with 45%; for long-term Treasuries, it was 65% compared with 56%; for intermediate credit, it was 73% compared with 77%; for high-yield credit, it was 72% compared with 83%; for emerging markets sovereign debt, it was 89% compared with 88%; for Treasury Inflation-Protected Securities, it was 49% compared with 48%; and for mortgage-backed securities, it was 59% compared with 59%.