We favor long positions in ACWI, the world stock market ETF. Our global macro outlook is basically constructive. Our basic read on the macro picture is quite positive, so we are less concerned about some of the things (such as credit risks) that some visitors have worried about. The leading indicators for the industrialized nations also confirm that we are in a phase of the cycle that is normally good for world stocks. Consequently, we are still comfortable about our current bullish view on the world stock index. A raft of better economic data is the latest theme in the industrialized nations. On the output side, manufacturing and agriculture in the industrialized countries returned to growth, while production in construction and services accelerated. Corporate earnings growth in global markets also remained quite healthy. All else being equal, strong earnings growth could indicate that the risk of a global double dip is now lower. On the other hand, faster jobs growth in the G7 partly explains the recent rebound in consumer sentiments. What's more, with leading indicators for the industrialized countries showing more resilience, our confidence in the global growth story remains high. We believe that generally solid global economies, continuing favorable consumption trends, and growing household spending in the advanced countries will benefit global equities. Furthermore, the global macro environment will remain benign, and our models show more scope for world equities to rise, based on our central views. Taken together, the factors discussed above suggest lower volatility and a better market condition for the global stock market index. In summary, our strategists believe that the current stage is a time when it is possible to take on more risk on the world market index, and that means that ACWI should be added to the portfolio.