We are operating in a market environment where active decision‑making may matter more than ever—one that rewards agility, discipline, and portfolio protection in delivering long‑term outcomes.

• Agility: TDAM and the TD Wealth Asset Allocation Committee (WAAC) maintain a strong pulse on shifting market leadership and seek to identify opportunities beyond U.S. mega‑cap technology stocks, where market concentration may be elevated. This includes, for example, a preference for Canadian equities relative to U.S. stocks, supported by earnings strength and more balanced valuations in Canadian markets
• Discipline: In January 2026, the WAAC shifted its outlook for U.S. equities from modest overweight to neutral, reflecting disciplined risk management as premium valuations (~22x forward earnings) reduced room for further expansion
• Protection: Active equity management can help mitigate valuation risk concentrated in high‑multiple U.S. growth stocks, while selectively reallocating toward Canadian equities and Emerging Markets—where earnings growth remains attractive at lower multiples—may offer better opportunities for both growth and risk management

• TD Active Equity strategies / ETFs - emphasizes active stock selection in markets with potentially stronger earnings support and more balanced valuations
• TD Managed Assets Program - can offer active asset‑allocation in a single solution—adjusting exposures to manage risk and capture opportunity across market cycles

• Agility: TDAM investment solutions can actively adjust exposures as policy, volatility, and supply‑demand dynamics evolve. The WAAC currently prefers investment‑grade credit and selective Emerging Market bonds where yields may be more compelling.
• Discipline: With tight spreads and compressed risk premiums, TDAM is not reaching for yield, and the WAAC maintains a modest underweight view to fixed income overall while remaining cautious amid rising uncertainty
• Protection: Active fixed income management helps address duration risk and spread compression, emphasizing selective country exposure, avoiding richly valued long bonds, and positioning income as the primary return driver

• TD Active Bond strategies - enables active duration and curve management as yields remain range‑bound, and exposure to high‑quality investment‑grade credit
• TD Fixed Income Pool - provides a diversified, actively managed core fixed income solution designed to deliver stability and consistent income across market cycles

• Agility: TDAM has increased exposure to Infrastructure and Commodities, where structural drivers—such as electrification, digital infrastructure investment, supply constraints, and geopolitical risks—support durable real‑asset returns
• Discipline: TDAM maintains a positive outlook to Infrastructure assets and to Commodities, reflecting disciplined capital allocation toward inflation‑sensitive assets with improving fundamentals
• Protection: Alternatives enhance portfolio resilience through diversification, inflation protection, and lower correlation to other asset classes, with Infrastructure offering stable cash flows and Commodities providing hedging potential against macro and geopolitical risks

• TD Infrastructure strategies / ETFs - infrastructure exposure, seeks to offer stable cash flows from essential assets
• TD Alternative Commodities Pool - supporting a positive outlook for commodities, adding inflation sensitivity and diversification
• TD Alternative Risk Focused Pool - Enhances diversification and can help reduce portfolio volatility by lowering reliance on traditional market beta through a liquid alternative, multi‑strategy approach

• The Benefits of Diversification - Updated Insights Report
  See a clear picture of why diversification across public and private markets matter in late‑cycle environments
• Quarterly Market Perspectives - New & Improved Web Experience
  Deeper regional and asset‑class insights that complement the WAAC’s top‑down allocation views