Monthly Market Data - February 2026

Real Estate leads, US Large Cap lags

Asset Class Returns

Major Asset Class Returns for the Month Ending February 28, 2026

• Most asset classes were positive in February with U.S. Large Cap Equities the only one with a negative return.

• Non-U.S. Equities outperformed domestic stocks.

• Real Estate posted the strongest return during the month.

The table below depicts the same information as above and shows which representative security is used for each asset class.

Source: Jackson Creek Investment Advisors; S&P Global

Major Asset Class Returns for the Twelve Months Ending February 28, 2026

• All eight asset classes have a positive twelve month return. The asset class returns depict a "risk-on" sentiment.

• Non-U.S. Equities have outperformed in the past year. Emerging Market Equities are the leading asset class over the past year. EM has gained 46.2%. International Developed Equites is second with a 31.4% return.

• Small Cap stocks were the best performers among domestic equities (+22.4%).

• Commodities were strong, with a 17.0% return.

• Real Estate turned positive (+6.6% trailing 12-month return) after lingering in negative territory for much of the past year.

• Fixed Income has the lowest return (+3.8%) over the previous twelve months.

  
  

1 Month U.S. Index Returns with Growth & Value Styles

• Large Cap Growth stocks were hit hard during February. Artificial Intelligence bearishness took a toll on the style.

• Large Cap Core was negative, due in part to the drag from higher-capitalized stocks declining.

• Value stocks outperformed their Growth counterparts within each capitalization range. Mid Cap stocks outperformed Large and Small across each style.

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Interest Rates

• Compared to last month, the yield curve shifted lower along each maturity greater than one year.

• The yield curve is inverted at the short-end, with 2YR rates the lowest along the curve.

• Rates are substantially lower compared to last February at durations of 10 years or less. The 1M rate ended at 3.74% versus 4.38% a year ago. The 30YR finished at 4.64% compared to 4.51% last year.

• The 2Y/10Y spread compressed from the end of January to 59 basis points. This was a result of the 10YR yield declining 29 basis points while the 2YR declined 14 bps.

• The 2Y/10Y spread is more than double what it was a year ago.

  
  

Disclaimer - this is not to be construed as investment advice or a recommendation to buy or sell any security. This is not meant to be indicative of any specific portfolio returns. Please see full disclosure on main blog page.