Northern Trust(US:NTRS) Businesswire·2025-10-30 14:15Core Insights - Global markets showed positive results for U.S. institutional investors in Q3 2025, with a median return of 4.3% driven by a Federal Reserve interest rate cut, advancements in artificial intelligence, and stabilization of tariff negotiations [1][18]. Performance Overview - The Northern Trust Universe tracks 363 large U.S. institutional investment plans with a combined asset value exceeding $1.4 trillion [2][3]. - Performance varied by plan type: - Northern Trust Corporate (ERISA) universe returned 3.7% - Northern Trust Public Funds universe had a median return of 4.0% - Northern Trust Foundation and Endowment (F&E) universe produced a 4.3% median return [4][10]. Equity Market Performance - U.S. equity markets performed notably, with the S&P 500 gaining 8.1% in Q3 and up 35% since April [5]. - The Northern Trust US Equity program universe posted a 7.2% median return, while the Non-US Equity program universe had a median return of 6.1% [5]. Fixed Income Market Insights - Fixed income markets benefited from a 25 basis point rate cut by the Fed, which lowered treasury yields and narrowed credit spreads, enhancing bond prices [6]. - The Northern Trust US Fixed Income program universe returned 2.4% [6]. Long-term Returns - ERISA plan median returns for one, three, and five years were 5.1%, 9.1%, and 4.1% respectively, with a 55% allocation to U.S. fixed income [7]. - Public Funds universe median returns for the same periods were 9.6%, 11.9%, and 8.7%, with a 26% allocation to U.S. equity and 22% to U.S. fixed income [8]. - Foundations & Endowments universe median returns were 10.6%, 12.9%, and 9.8% for one, three, and five years, with over 20% allocated to private equity [9].