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 September 30, 2026, unchanged from June 30, 2026. For global ex-U.S. equities (unhedged), it was 85%, down from 88%. For developed markets ex-U.S. equities (unhedged), it was 79%, down from 81%. For emerging markets equities (unhedged), it was 96% compared with 99%. 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 64% at the end of September 2026, down from 70% at the end of June 2026. For the growth factor, it was unchanged at 77%; for the large-cap factor, it was 92%, down from 95%; and for the small-cap factor, it was 69%, down from 89%. For fixed income, the valuation percentile for U.S. aggregate bonds was 42% at the end of September 2026 compared with 57% at the end of June 2026; for global ex-U.S. aggregate bonds (hedged), it was 39%, down from 41%; for U.S. Treasury bonds, it was 38%, down from 55%; for U.S. short-term Treasuries, it was 39% compared with 49%; for U.S. intermediate-term Treasuries, it was 39% compared with 57%; for U.S. long-term Treasuries, it was 36%, down from 56%; for U.S. credit spread, it was 73%, down from 81%; for U.S. high-yield corporate bond spread, it was 55%, down from 81%; for emerging markets sovereign bond (hedged) spread, it was 76%, down from 79%; for U.S. Treasury Inflation-Protected Securities spread, it was 62%, up from 56%; and for U.S. mortgage-backed securities spread, it was 84% compared with 87%.