The Strategic Perspective. Looking out into the horizon, we believe the next decade will be vastly different. Extraordinary measures by central banks pulled us out of the Great Recession and encouraged investors to take on excess risk. Global asset prices
Factor investing adoption continues at pace as asset owners pursue a long-term approach Some 59% of existing global factor investors plan to increase their allocations to factor investing strategies, and 66%-70% of respondents reported their factor investing strategies met or
Economic indicators may have deteriorated, but equity markets in the US and Europe have not moved a great deal in the third quarter, despite some volatility in August. We are none the wiser as to whether we are in a
Who Should Read this White Paper and Why? Trustees, plan sponsors and other responsible parties associated with oversight for retirement savings plans seeking to understand how innovation-and specifically artificial intelligence (AI) – can be used to improve plan design, increase
ECB President Mario Draghi made it clear last week that governments need to step up fiscal stimulus. But what if they don’t? While “helicopter money” certainly has its drawbacks, the concept of becoming a "spender of last resort" may be
The Big Picture The global economy has decelerated but central banks are easing and there are signs/hopes of stabilisation. More importantly, government bond yields are now so low that we are driven to reduce our exposure (to further Underweight), even
Bond yields have nose-dived once more this summer in light of renewed geopolitical tensions and a decelerating global economy. GAM Investments’ Bogdan Manescu believes that fixed income investors can still find value and attractive yields in emerging market (EM) sovereign,
The idea of a country establishing an investment portfolio with the proceeds of a temporary revenue stream is nothing new. There are, however, different ways in which the accumulated assets can be used by sovereign asset managers
Invesco Investment Solutions develops capital market assumptions (CMAs) that provide long- term estimates for the behavior of major asset classes globally. The team is dedicated to designing outcome-oriented, multi-asset portfolios that meet the specific goals of investors. The assumptions, which
Part I: Reform, Relevance and Robustness The Survivability of the Euro, the second white paper in our Future of Europe series, offers a framework for assessing efforts begun in the past decade to strengthen the euro. The paper is presented
The Netherlands has set ambitious targets with regards to reducing carbon emissions and moving towards a large share of renewable energy. The aim is to achieve 16% of renewable energy share by 2023. This means more than doubling the current
Historically, this has often been the case. But this time may be different. By Kristina Hooper, Brian Levitt and Timothy Horsburgh The US Treasury yield curve, specifically the spread between the 10-year US Treasury rate and the 2-year US Treasury
Last week, the US Treasury yield curve, specifically the spread between the 10-year US Treasury rate and the 2-year US Treasury rate, briefly inverted. An inverted yield curve is considered to be a good predictor of recession, and so markets
U.S. Treasury yields declined again last week, with the yield difference between the 3-month T-bill and the 10-year Treasury note inverted further. Market expectations for a Federal Reserve (Fed) rate cut at the September meeting are high. However, the magnitude
The Brexit process drags on; a “no-deal” exit looks increasingly likely and UK financial markets are unlikely to welcome that. Nothing is certain, so we present three scenarios but fear the worst. In a sign of investor anxiety, sterling and
Equity Outlook Equity allocation views – After significantly outperforming at the end of last year, China and the emerging markets (EM) have significanly underperformed the US and devloped markets (DM) since December.
Letter to Investors – This summer marks the 10th anniversary of the US economic expansion that began in June 2009. The current cycle is now officially the longest, no small feat considering that economists have been dating business cycles since 1854.
US and European equity markets continued upward during the second quarter of 2019, albeit at a more moderate pace. Expectations of monetary easing by major central banks provided a short-term boost but leaves us with little visibility of what comes
I am delighted to welcome you to our seventh annual study of sovereign investors. The scale and shape of this study has grown over time and now represents the views and opinions of 139 chief investment officers, heads of asset
Uncommon truths It’s been a good year for all assets. The fact that equity markets have reacted positively to falling bond yields may suggest a change in the correlation regime. We remain sceptical about that and stick with absolute equity
In April, we wrote about the US Federal Reserve’s (Fed) evolving thoughts on its policy making framework as it considers a shift to average inflation targeting. This new framework would allow the Fed to be patient while average inflation increases
The global debt burden again fell slightly in 2018, with notable declines in some European countries. Emerging market (EM) countries have less debt but offer higher real yields. Some so-called “safehavens” have surprising amounts of debt.
Invesco Fixed Income Investment Insights Key takeaways – The Asian US dollar bond market has grown rapidly in recent years, bolstered by strong Asian demand for bonds of regional issuers. – China's share of the Asian US dollar bond market
Quarterly update We face two dilemmas: the global economy has decelerated but “defensive” assets offer low yields and central bank rates are falling but equity-like assets no longer react as they used to. On balance, we choose to further reduce
Uncommon truths In a perfect world, bubbles would not happen. But humans are not perfect and our economies are inherently unstable. Debt plays an important role in bubbles and waves of credit have been rolling across the globe; China being
SDGs: Challenge and opportunity -> https://t.co/a7jH6cbyIb #SDGs #ESG #SRI #UNPRI via @UBS
Favoring Loans and CLOs Due to Attractive Valuations -> https://t.co/BCH6GJic0E #clo #fixedincome #HighYield #Credit #fomc via @PineBridge
Small,medium,large hf: how to choose? -> https://t.co/dttCZhbzjD #size #hedgefund #alternatives via @Lyxor
BRICS Economies & Commodities in the Spotlight -> https://t.co/HBIjDTAhh2 #commodities #EmergingMarkets #BRICS #tradewar via @ABNAMROeconomen
"Why you should select managers who 'eat their own cooking'" -> https://t.co/r4DDIEYK3s #mutualfunds via @cwselector
