Lazard's Flood: The three key factors still driving US equities

Martin Flood, manager of the Lazard US Equity Concentrated fund, explains the case for US equities despite their current premium valuation levels.

Even while the S&P 500 has reached new record highs, investor fear remains palpable. This is nothing new. Investor sentiment has been negative for years even as US equities have sustained premium valuations. We believe investors remain too negative and see significant potential for further upside in US equities based on three key factors: 1. The US economy remains strong Even after creating nearly 15 million private sector jobs since 2009, labour demand remains robust with 5.5 million unfilled positions as of May (3.7% of all jobs). Sustained strong job growth should translate to...