September rate cut will extend stock rally into year-end, says Partners Group's Anastasia Amoroso

Market Overview & Investment Strategy - The current environment is considered favorable for investing in both stocks and bonds [1] - Potential for two or three rate cuts this year could cushion expected softness in the third and fourth quarters [2] - Equity markets, both public and private, are seen as having more value due to innovation and earnings growth potential [4] - The IPO market is perking up, with activity up approximately 21% year-over-year, and M&A activity up about 30% [5] IPO Market Dynamics - Average IPOs over $1 billion are up about 50-60%, indicating strength in companies that waited to go public [7] - Mispricing is occurring in the IPO market, suggesting strong demand for growth stories from both retail and institutional investors [9] - Clarity around tariffs and the Federal Reserve's actions, along with a US economy growing at nearly 2%, are contributing to IPO market success [10][11] Sector Opportunities - Financials are benefiting from capital market activity, with consumer spending showing 4-5% growth in credit card spending for July [11][12] - Industrials are expected to benefit from infrastructure spending incentives [13] - AI data centers are a significant opportunity, with companies like Edgecore scaling to meet the demand from hyperscalers [13][14]