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Global equities recorded strong performances in ‘23, recovering much of what was lost in ‘22; as firms posted strong earnings, the US economy continued to grow, and traders increased Fed cut bets. Bar our caution on global equities, most of our specific calls were justified as Namibian equities outperformed global stocks (MSCI World), returning 42.25% in ‘23 on the back of robust capital growth in the banking sector. Within fixed income, Namibia nominal bonds returned 17.42% (local currency) over the year, driven by substantial yield compressions across the long end of the curve (GC37 and longer), while the Namibian inflation-linked bonds outperformed SA ILBs, SA Govi, Cash and the NSX overall, returning 9.86%. We enter ‘24 cautious of the impact of persistently higher rates, stickier global inflation, presidential elections in Namibia, South Africa and the United States, and increased geopolitical tensions. As these factors cloud our overall outlook with general uncertainty, we remain vigilant for catalysts that will provide more clarity.