The month of March 2023 has been characterized by significant volatility in equities and bond markets, triggered by troubles in US and European banks, which have led to a resurgence of macroeconomic uncertainty. This situation has seen a temporary resurgence
Looking back, private markets have experienced robust returns, with 2021 marking a high point. While there is no investible index in the same way as for public markets, the database of private markets funds, captured by Burgiss, reported investment returns
We need to remain humble and nimble as we assess the changing investment landscape and seek to fulfil our purpose: to create a better future through responsible investing. In addition to precipitating a devastating humanitarian crisis, Russia's invasion of Ukraine
The war in Ukraine adds another supply-side shock and increases economic uncertainty at a time when macro policy is constrained by high inflation and strained public finances. Despite this, most stock markets are trading higher today than at the start
The spread of the Coronavirus outbreak beyond East Asia triggered turmoil in financial markets and prompted authorities around the world to combine severe restrictions on public life with unprecedented economic support measures. As the pandemic persists, we opted to derisk
Changes in the strategic asset allocation Today, we present the key results of the recent annual strategy review for the LGT Endowment, or Princely Portfolio. In brief, we decided to raise the allocation to equities and private real estate somewhat,
Investment outlook 2020 The past year was one the best of the decade-long bull market, after a dovish central bank policy shift prompted investors to price out recession risks, and receding trade tensions bolstered sentiment. For the coming year, we
LGT Beacon – Global macro and market review Our constructive positioning is paying off: risk sentiment has started to improve and markets have duly rallied to new highs. Stable corporate revenue growth bodes well for future earnings, the macro data continues to
LGT Beacon – Global macro and market review Despite the so-called trade war, China's CSI 300 has rallied almost 30% year-to-date and the S&P 500 is up about 15%. In-vestors, it seems, are learning to live with the intensifying great power
We expect the US Federal Reserve to take a further interest rate cut in September We confirm our defensive positioning with underweight in bonds and overweight in liquidity and gold Relative attractiveness and cautious positioning continue to favor risk taking
In a nutshell After a strong performance in the first quarter of 2019, we are now further reducing risks and realize profits We reduce the overweight in US equities to "neutral", positioning ourselves more defensively Within the bond allocation, we
In a nutshell In the context of a mixed mandate, we temporarily reduce the risk at an asset allocation level We reduce our overweight in equities and take a more defensive position at portfolio level Gold as an "anti-dollar" has
LGT Beacon Global macro and market review The occasional surges in interest rate angst and the US-Chinese trade dispute are weighing on markets, even as most economies continue to grow at a decent pace and the US Federal Reserve is
Global macro and market review After completing our quarterly asset allocation strategy review, this issue explains LGT Capital Partners' macro and market views, and its investment positioning. All in all, we have decided to reduce the total equity risk of
LGT Beacon The escalating trade disputes could – eventually – result in more open global markets, at least among strategically allied nations with similar interests. In the meantime, however, the U.S. approach to strong-arm its trade partners into making big
LGT Beacon The escalating trade disputes could – eventually – result in more open global markets, at least among strategically allied nations with similar interests. In the meantime, however, the U.S. approach to strong-arm its trade partners into making big
Beacon Weekly The global economy is doing well, volatility has receded, and the rise in US bond yields has slowed. Simultaneously, even short-term US real rates have turned positive at a time of some extraordinary geopolitical events. For the first
LGT Beacon Global macro and market review The macro trends remain positive, but have gained an inflationary tilt – owing to the recent pro-business, pro-cyclical US tax reform, as well as the risk of rising trade barriers. The latter in
LGT beacon / Global macro and market review The recent selloff reintroduced caution among investors. For the first time in years, markets are asking for a risk premium for various uncertainties. This is part of a welcome – but at times
Various short-term excesses began to resurface in markets in January. Luckily, the sharp correction that ensued provided the overdue cold shower, which should help cool expectations, bring prices more in line with fundamentals, and thus prolong the bull market. As
LGT Beacon Global macro and market review In this report, we offer our house view on the economy and selected public markets for the year. Despite a generally very bullish outlook, we believe investors should remain prudent, and focus on
We expect global economic growth to remain robust, with headline inflation rising only gradually. Still, given this past year’s strong gains in equity prices and the slump in volatility, we think it's prudent to limit risk exposure and temporarily raise
The already positive economic picture has improved once again compared to the previous quarter. A further acceleration could be observed especially in the euro zone as the German Ifo index is at its highest level ever measured. Inflation expectations are
LGT Beacon Global macro and market review The global economy, corporate earnings and equities remain strong, while political events signal monetary policy continuity. Furthermore, after having solidified their domestic positions just days ahead of the US president’s first tour of
LGT Beacon – Global macro and market review Over the past month, global growth indicators stayed upbeat and inflation expectations extended a recovery toward targeted levels. We repositioned ourselves for a euro setback against Sweden’s krona and note that equities
Monthly Asset Allocation Strong and globally synchronous economic growth despite continuing geopolitical uncertainties Equity stocks remain in focus on corporate earnings – Eurozone attractively valued Emerging markets bonds and subordinated bonds remain attractive; USD consolidation and a generally weaker CHF
Monthly Asset Allocation – Private Banking Europe Investment Committee Global equities seem unaffected by geopolitical uncertainties Yields on 10-year US government bonds have declined to the lower end of their trading range We recommend reaping profits on gold and the
LGT Beacon Global macro and market review Simmering tensions have risen to the fore recently, ranging from the political deadlock in the US to the conflict involving North Korea. However, market disruptions triggered by political crises have historically proven temporary,
Monthly Asset Allocation Geopolitical tensions lead to increased stock market volatility Globally corporate earnings season exceeds market expectations to a large extent We eliminate the high-yield quota in a "Balanced Portfolio"
LGT Beacon The incoming economic data point to robust global growth while monetary policies remain supportive – even if policy tightening is brought forward somewhat in Europe, subdued inflation should prompt Japan and perhaps even the US to surprise on
LGT Beacon Global macro and market review The incoming economic data point to robust global growth while monetary policies remain supportive – even if policy tightening is brought forward somewhat in Europe, subdued inflation should prompt Japan and perhaps even
Monthly Asset Allocation Private Banking Europe Investment Committee In a nutshell Major central banks change their rhetoric as hawks have gained momentum, indicating a more restrictive monetary bias For the upcoming earnings season corporate outlook for the second half 2017
LGT Beacon Global Market Update In mid-June, the Federal Reserve reaffirmed its shallow rate-hiking plans and that it would also start to slowly shrink the US monetary base soon. Interestingly, after several months in retreat, commodity prices and inflation expectations
LGT Beacon Global Market Update Last year’s global reflationary recovery has been cooling off this year. While corporate earnings, stock prices, and economic sentiment surged to records, actual and expected inflation rates have slipped below targets. The current situation thus
LGT Beacon Global Market Update Speculation about the possibility of an eventual impeachment of the US president finally triggered a market correction last week, albeit only for one day. Using political controversies for clues on the market’s direction is likely
Monthly Asset Allocation Macro-economic environment and abating political risks support positive sentiment on capital markets A strong corporate earnings season and positive company outlooks continue to spur equity markets The U.S. dollar’s appreciation potential seems exhausted given priced-in Fed interest
LGT Beacon Global Market Update Between the Dutch parliamentary election and the French presidential contest’s first round, global equities appeared to be losing momentum for a while. But now, with perceived Eurozone breakup risks fading again, it’s time for investors
LGT Beacon Global Market Update The latest chain of surprising US military actions in Syria, Afghanistan, and North Korea revived concerns among political risk analysts, while the French presidential election’s first round now looks like an open, four-way race, adding
Monthly Asset Allocation In a nutshell The U.S. Federal Reserve keeps its course, emphasizing our reflation scenario Equity markets are in a consolidation phase, while Europe remains in focus We increase the weighting in emerging market bonds and stocks to
Tactical Asset Allocation for Q2/2017 The global macro outlook has improved further and we raise our equity overweight by adding positions in Europe, Japan, and the emerging markets (EM) as well as in US energy infrastructure stocks. In fixed income,
LGT Beacon Global Market Update The global macro outlook has improved further and we raise our equity overweight by adding positions in Europe, Japan, and the emerging markets (EM) as well as in US energy infrastructure stocks. In fixed income,
