Key Messages Tenant experience is a top priority, which requires companies to put tenant and end- user preferences at the center of every business decision. Data control, access, and analysis are expected to become more critical as data generation and
With geopolitical and macroeconomic concerns mounting of late, we have spent a considerable amount of time working with our deal teams and clients on three areas of intense focus: the impact of negative interest rates, the outlook for economic growth/capital
REITs outperformed equities and bonds. Renewed concerns over trade and decelerating global economic data favored defensives despite large swings between risk on/off during the quarter. Lower volatility stocks extended their outperformance from the previous quarter, reflecting continued investor caution.
This paper assesses both the extent and impact of home bias in the equity allocation of five large pension fund markets by examining the characteristics, performance and return/risk profiles of each market. The findings reveal interesting variations in the impact
Private equity‘s growing role in capital formation and the critical implications for investors In 2017, new capital raised from private markets exceeded capital raised in public markets for the first time in the US. It was a development that went
Executive Summary Through our research, FCLTGlobal aims to identify the key determinants of long-term success for companies and investors around the world. We then use this knowledge to encourage long-term behaviors across capital markets. This paper focuses on predictors of
The starting universe is composed of 90 countries, mainly defined by the existence of a local or hard currency sovereign debt market. The sustainability ranking enables the identification of the countries which have fully integrated global challenges into the development
No sooner had Mario Draghi finished his press conference in September that the deep divisions within the ECB governing council were laid bare. In an unprecedented action, the heads of the Austrian, German, French and Dutch central banks publicly criticized
A moderation of NIPA corporate profits may well imply lower GDP growth in 2020. However, we do not expect a recession in the next twelve months. The Fed should stay neutral into 2020; we expect its communication to remain slightly
The investment prospects for next year aren't bad. But the next decade doesn't look anything like the past one. Anew year begins and also a new decade that will bring fresh uncertainties and challenges. One thing that looks certain is
Global equity markets delivered a roller-coaster ride for investors over the past year as worries about trade disputes and slowing economic growth escalated. Even so, equities continued to deliver large gains. By late October, the S&P 500 ® Index hit
In brief Volatility diminishes the rate at which an investment grows over the long term and has a negative relative impact on portfolio returns. The actual compounded rate of return on an investment is less than the average rate of
In this paper, we introduce the notions of climate risks and how they would translate into sovereign risk. Physical risks correspond to the potential economic and financial losses caused by climate-related hazards and are divided in two categories: acute hazards
Ontbossing is een veelbesproken maatschappelijk thema, maar ook in de financiële wereld krijgt het steeds meer aandacht. Beleggers hebben een fiduciaire verantwoordelijkheid waar het gaat om de belangen van hun klanten. De zorg voor het behoud van de huidige en
In brief: Investors are increasingly frustrated after years of non-US equity underperformance While US fundamentals appear to be superior, a closer look suggests the gap may be narrower than it seems With financial alchemy potentially reaching its limits, true fundamentals
For most of November, the EURUSD remained in a very narrow range between 1.10 and 1.11. There was little reaction to the improvement in some economic data from the Eurozone. This was probably due to the approaching end of the
Low growth, inflated markets In this outlook, we present our expectations for the global economy and financial markets for 2020. It serves as a reference document for us as an asset manager and for clients as investors in our impact
Mechanics of bank portfolio risk transfer transactions Bank regulators permit banks to meet more stringent post-crisis capital ratios by undertaking ‘risk-sharing’ transactions Banks can manage their regulatory capital on an ongoing basis through whole loan asset sales, full capital structure
An Indian summer for European ETF flows After the records we saw set in September, European ETFs continued to enjoy steady inflows in October and gathered €10.7bn. Those inflows were predominantly driven by equity (+€5.3bn) and fixed income (+€2.7bn). Flows
How much are investors spending on day-to-day FX management and how much could they save? The answer: much more than they may realise. The subject, typically viewed as an administrative backoffice function, often receives limited attention from pension fund trustees
The technological revolution has led to a heightened level of disruption across every industry. Against this backdrop, where can you find firms that deliver sustainable and growing dividend streams? The Global Equity Income team continues to find plenty of attractively
IN BRIEF In evaluating climate risk in a potential equity investment, we consider both the physical aspects of climate change and the implications of the ongoing energy transition to a low carbon economy. Our analysis includes three key components: materiality,
European high yield spreads are still above their long-term tights, but that doesn’t take quality into account. Are fundamentals robust enough to justify taking more risks?
In 2020, we see three forces in the global outlook: the macro, monetary policy, and political cycles. While the macro cycle is typically the dominant market influence, in 2020, we see monetary policy wielding the most sway. The political cycle
Comparisons between the eurozone and Japan are commonplace, especially following periods of soft economic data such as we have seen in the eurozone for much of 2019. While there are some similarities between the eurozone and Japan, we do not
Since the launch of Bitcoin in 2009, cryptocurrencies and the underlying blockchain technology have made great strides, resulting in significant investor interest. Still, the technologies are not well understood and the investment landscape remains underexplored. In this Mindscope, we investigate
Low rates inflate liabilities, but regulation prevents insurers from pursuing alternatives A decade of ultra-low interest rates has inflated institutional liabilities and widened the duration mismatch for insurers across the globe. Desperate for alpha, investment teams are turning to private
A resumption of monetary easing and ultra-low bond yields this year challenge the role of government bonds as portfolio ballast. We see growth stabilizing and gradually picking up over the next 6 to 12 months thanks in part to loose
A resumption of monetary easing and ultra-low bond yields this year challenge the role of government bonds as portfolio ballast. Scott explains. Monetary policy may have reached its limit in stoking growth – and interest rates in some developed markets
There can be no doubt now that RI is moving into the mainstream. Whilst much of this growth is reflective of the natural evolution of our clients’ interests, a good part is indicative of the widespread concern to understand and
From an economic perspective, markets waded through a sea of PMI (business confidence) data last week. The results were mixed – see chart of the week. Let’s start with the (quite) good news. In the US, the composite number was
Throughout the year, CEE economies have been among the growth leaders in Europe. We expect them to remain so next year, despite external headwinds that are behind the slowdown. So far, strong domestic demand has been shielding the region from
The size of the fixed-income investment markets has grown considerably over the past decade. Existing investment classes have grown significantly, but also new fixed-income asset classes have become available to investors. The accommodative policy of central banks with low interest
Soft manufacturing surveys are bottoming out, pointing to a turn in hard data. Monetary accommodation and less uncertainty on most trade fronts have been key contributors to this inflection, as well as front-loading ahead of the September tariffs. A modest
The UK votes in a general election on 12 December. Polls point to a Conservative victory, but another hung parliament is also possible In any case, the risk of a disorderly Brexit is now very low With a Conservative majority,
The end of this expansion’s third mini-slowdown and rebound in global PMI’s should lead to a greater rebound in cash flows than in GDP, like the prior two mini-slowdowns. A plateauing of trade hostilities, instead of outright reversals, is enough
As we have moved through the year – and certainly in the third quarter – climate change and its impacts have moved up the agenda. As this focus intensifies, investors are increasingly looking to the corporate sector for evidence of
The US leveraged loan market has proven to be, until recently, resilient, despite facing a challenging environment over the past few years. Outflows from the retail component of the US leveraged loan market have been incessant for the past year,
Sinds 2010 publiceert CFA Society VBA Netherlands het rapport risicostandaarden. Met dit rapport willen wij bijdragen aan de zorgvuldige selectie van beleggingscategorieën en constructie van beleggingsportefeuilles en daarmee aan de kwaliteit van de beleggingsdienstverlening in Nederland. De aanbevelingen zijn gericht
Week Ahead The draft budgets of France, Italy and Spain for the coming year were (not unexpectedly) not well-received by the European Commission. Despite high debt ratios, none of the three countries plans to make any significant budgetary adjustment. Therefore,
A review of the week's top global economic and capital markets news. For the week ending 22 November 2019 As of noon on Friday, global equities are on pace to close modestly lower on the week. The yield on the
This week, we should get confirmation that the strength of CEE economies lies in domestic demand. Consumer confidence is strong, as the unemployment rate hit historically low levels and wages keep growing. Such a situation translates into robust private consumption
Re-balance sheet policy Theme of the month: Fragile up-tick in 2020 to give way in 2021 Macro update: Firmer 2020 will defer the monetary-fiscal stimulus debate into 2021 Investment strategy: Central banks lend air cover to assets but a strong
Most global investors have not yet considered their China fixed income allocation. China is the second-largest bond market in the world at $13 trillion.1 The 10-year China government bond yields 3.2% compared to 1.8% in the US and -0.5% in
Redefining your lens on risk may help you win more by losing less. What does the word “risk” mean to you? In asset management, risk is commonly defined as standard deviation, or how much an investment’s returns vary from its
If we’re investing for a long-term goal — and most of us do have horizons of five years or more — then why are we so obsessed with the daily headlines and the gyrations they can spark in asset prices?
Major cities are amongst the most prohibitively expensive places to live in the world and yet continued urbanisation is a trend that is expected to persist for the foreseeable future. A confluence of demographic factors including migration, population growth, delayed
The global economy continues to face headwinds, and risks are mounting. Trade tensions are spreading from country to country, and increasingly, manufacturing weakness is starting to infect the much larger service sector. Recurring equity market declines appear likely when untested
A roadmap for the upcoming weeks projects meaningful mood swings Tentative ranges for cable: 1.10 for worst case; 1.30 for orderly exit; 1.55 for remain Ostensible inactivity between October 2 and October 14 may add more uncertainty to the process
Thematic equity investing focuses on markets that are growing faster than the broader global economy due to a range of long-term, secular growth drivers. It seeks out businesses that will be at the forefront of long-term growth themes – Safety,
