

Economists have been wearing out their keyboards over the past couple of months writing down expectations for U.S. and global economic growth.
Reality check: Alger chief investment officer Daniel Chung and director of strategy Brad Neuman point out that slower growth does not necessarily mean weak equity returns.
Chung and Neuman note:
- "In the past 35 years, there have been 15 years when U.S. GDP growth materially slowed, with the vast majority generating positive U.S. stock returns."
- "Returns were negative only when accompanied by a recession (1990, 2000/2001, 2008)"
Reading the graph: Of the 15 times in the last 35 years that year-over-year GDP growth has fallen by at least 50 basis points, or 0.5%, the S&P has still risen in 11 of the 15 years. The gains have been as high as 38% in 1995 and 32% in 2013.