Obligaties uit opkomende markten werden getroffen door inflatie, renterisico's, een stijgende dollar en geopolitieke spanningen. Maar de bezorgdheid over wanbetaling is overdreven. Beleggers in obligaties uit opkomende markten hebben zelden te maken gehad met een meer complexe economische en geopolitieke
In this first podcast series on Alternative Fixed Income and ESG we take a look at ESG integration in Alternative Fixed Income: more specifically in Dutch mortgages, Asset Backed Securities and the Government Related Investment Fund. Why invest in Alternative
Key takeaways Investment grade corporate bonds could play a vital role in terms of adding balance and resilience as part of a core fixed income allocation within a balanced portfolio. The asset class has provided an attractive alternative to developed
Monthly Investment Outlook: Global activity slowed down in late December and should remain moderate in Q1-22. The Omicron impact was limited to a few services, but disruption remained in place in …
The emergence of net zero emissions policies is currently one of the most important topics among asset owners and managers. It considerably changes portfolio allocation and the investment framework of both passive and active investors. The academic literature generally concludes
Our sustainable strategies have often been in a minority with their clear stance against investing in the sovereign debt of autocracies. Having rationalised the annexation of Crimea, many academics, politicians, and investors believed that as long as business is flowing,
As we look to 2023 the most important question is actually quite straightforward: will inflation start to behave as economic activity slows? If so, central banks will stop raising rates, and recessions, where they occur, will likely be modest. If
Institutional investors are increasingly turning to natural capital investments (NCI) for inflation protection, diversification benefits, stable returns, and solutions to global environmental challenges. The combination of low volatility of investment returns and a competitive historical performance allows natural capital investments
The 12 months to September 30 were the best for value relative to growth performance since the fall of 2001. It was a huge relief for those value investors who managed to survive the long period of growth ascendance since
With the Federal Reserve (Fed) continuing to hike interest rates, the probability of a sustained inversion in the yield curve is on the rise. Historically, an inverted yield curve, a common phenomenon late in an expansionary cycle, has been one
Waarom de particuliere gezondheidszorgsector beleggers de mogelijkheid biedt om aantrekkelijke rendementen te behalen en het 'sociale' aspect van ESG aan te pakken. Bij duurzaam beleggen wordt de 'S' in ESG vaak verwaarloosd. De aandacht van beleggers wordt meestal getrokken door
De biodiversiteit van onze planeet – de verscheidenheid aan dier- en plantensoorten – stort in. Ze neemt af in een tempo dat tientallen tot honderden malen hoger ligt dan het gemiddelde in de afgelopen 10 miljoen jaar. Het tempo neemt
For decades, investors have used a traditional balanced approach to asset allocation, diversifying across fixed income and equities. Investors have typically relied on fixed income to preserve capital and generate income, whilst looking to equities for capital appreciation. Although this
Investors’ portfolios should align with their goals and risk preferences, which makes the rebalancing of the asset allocation in a portfolio an important practice. Among the numerous rebalancing methods, is one more risk-returnefficient and cost-effective than others? In this paper,
Obesity has quickly reached global epidemic proportions over recent years with levels close to tripling since 1975. Despite the hugely detrimental impact this is having on people’s health and growing burden on healthcare systems around the world, however, medical intervention
Trend-following managers are having a banner year so far in 2022 amidst a year of turmoil for traditional portfolios. Trend following has provided valuable diversification1 to investors who stuck with the strategy against losses in traditional allocations; the SG Trend
Unusually, inflation in the Eurozone is well above that of the US. We believe that two important factors, dollar and European gas price strength, are already fading. Hence, we think Eurozone inflation may have peaked and expect it to fall
Health care has been the worst-returning sector in China since the peak of the market last year. Behind this decline has been geopolitical tensions, macroeconomic risks and domestic policy. Long term, the outlook is still encouraging, however, with demographics supporting
As the world faces challenges from weakening growth, inflation and policy tightening, the good news for European High Yield investors is that the underlying strength in the asset class has been on an improving trajectory over the last two decades.
By the end of 2021, global wealth totaled an estimated USD 463.6 trillion, which is an increase of 9.8% versus 2020 and far above the average annual +6.6% recorded since the beginning of the century. Setting aside exchange rate movements,
The coming year is expected to be one of recession for the advanced economies with the eurozone now expected to join the US and UK in recording a fall in output for 2023 as a whole. The emerging markets have
Faced with the risk of persistently high inflation, both the European Central Bank (ECB) and the Bank of England increased their main policy rates substantially in 2022. Policymakers have signalled that more increases are coming. To calibrate the scale and
ETFs continued to post strong net inflows, gathering $5.0bn last week. Equity ETFs captured $2.8bn while Fixed Income enjoyed inflows of $2.3bn. Money Market and Commodity, on the other hand, endured muted net outflows of $104mn and $52mn, respectively.
Asset class returns in the long term We have certainly had plenty of surprises this year. As far as the economy is concerned, few of them have been positive so far. The war in Ukraine and the bottlenecks created by
During Q3 2022, global markets continued to fall across the board, from equities, to bonds and commodities. No region, sector or style was immune to it. After a relief rally in July, equities fell, and bond yields rose as inflation
General demographics trends can be decomposed in four subcategories: population growth, population ageing, migration and urbanization. Changes in any of these segments can cause different types of impact on both economic and social developments depending on the geographical region these
Het verlies aan biodiversiteit vormt een minstens even grote bedreiging voor de leefbaarheid van de aarde als klimaatverandering. De wijze waarop het probleem wordt aangepakt, heeft grote gevolgen voor de beleggingswereld. In Nederland is de uitstoot van broeikasgassen in het
While recession risk is clearly elevated around the world, they are notoriously hard to predict with any accuracy, in terms of timing, duration or impact. Rather than forecasting exactly when global markets might fall into recession this time, the following
Global retirement security challenges come home to roost in 2022. The warning signals are blaring and the gauges are flashing bright red in 2022 as key risk concerns for retirement security are coming to a head in today’s rapidly changing
Why it’s time to look at liquid alternatives in a new light: The current market environment has not been kind to traditional multi-asset portfolios, with bonds providing little offset in an equity market brought down by rising interest rates. Central
Natixis Investment Managers (Natixis IM) hosted a 2023 Macro Outlook event for the UK media, at which four thought leaders from Natixis IM and its affiliates gathered to discuss the 2023 investment environment and how to generate value for investors
Quality investing is an approach well suited to small cap equity. As an asset class, small cap has become notably cheap this year. GMO recently launched a Small Cap Quality Strategy to take advantage of the alignment of attractive long-term
As our endowment and foundation survey illustrates, CIOs have done an excellent job of leveraging high quality managers to deliver stellar returns across a variety of asset classes. The question now is: What’s next? Both our objective findings and our
With interest rates higher amid a challenging macro environment, we see a compelling case for bond allocations and are cautious about higher-risk investments
The FX regime of the last 20-25 years was characterised by a massive accumulation of USD reserves by export-oriented Asian countries, overall low FX volatility, and a still dominant role for the USD as a ‘public good’ facilitating global trade.
Montana Capital Partners (“mcp”) has published its 10th Annual Investor Survey, titled “The role of private equity in volatile times — how leading investors respond to the new market environment”, which explores the current investment strategies and preferences of global
We expect global growth to slow significantly, with several countries across both developed markets (DM) and EM suffering stagnation, while others may face a slowdown at best. Global growth should land at around 2.2% in 2023, down from 3.4% in
Montana capital partners (“mcp”) is pleased to present the results of its 10th Annual Investor Survey, which gathers the views of institutional investors, such as banks, asset managers, pension funds, insurance companies, and sovereign wealth funds (classified throughout the report
It is hard to believe but just under eight weeks ago, Kwasi Kwarteng, then UK chancellor, announced his ‘growth plan’ comprising the Truss government’s energy price guarantee and large tax cuts. At the time, I described the announcement as radical
Companies invest billions of dollars in political influence through lobbying, campaign contributions, and other means. However, as with other intangible assets, political capital tends to be overlooked by the market. We show how investors can earn excess returns buying undervalued
ETFs posted strong net inflows , gathering $2.7bn last week. Equity ETFs captured $1.9bn while Fixed Income enjoyed inflows of $1.0bn. Commodity, on the other hand, endured net outflows of $217mn.
Hydrogen can be used as a carrier of energy, and as an input into chemical and industrial processes. Clean hydrogen is, therefore, a crucial decarbonisation tool for a range of industrial activities including steel, aluminium, iron and chemical production. We
While most investors are open to equity exposure in a low volatility market, they tend to shy away as volatility increases. To counteract equity volatility, asset managers have traditionally added perceived ‘safe haven’ assets like government bonds to the portfolio.
Bad news: History tells us that once the inflation genie is out of the bottle, it can take far longer to return to normal levels than most people realize. Indeed, when Federal Reserve Chair Paul Volker took office in 1979,
Given our view that 2023 will be a year of transition from a contraction regime to one of recovery, we reduce the defensiveness of our Model Asset Allocation, while keeping some powder dry for when recovery is confirmed. We are
To many investors, this year will feel like a rollercoaster. Several major developments have impacted the world economy, and in response, financial markets have reacted fiercely by repricing asset markets. Especially at times like these, it’s important to take a
Developments in Artificial Intelligence (AI) and machine learning have led to the creation of a new type of ESG data that do not necessarily rely on information provided by companies. This paper reviews the use of AI in the ESG
The good news is that AI tools are available now which can collect and analyse more information on ESG risks and opportunities than ever before. These tools improve the quality of data, analyse it effectively and create new exciting opportunities.
Moeten wereldwijde obligatiebeleggers, na een moeilijk begin van het jaar, George Costanza van Seinfeld volgen en tegen hun instinct in handelen? Voor obligatiebeleggers zijn het ongelooflijk moeilijke maanden geweest. Er was geen plaats om zich te verbergen, aangezien de meeste
Monthly Investment Outlook: With the September swoon in risk assets, markets have simply moved to unprice the optimism built up over the summer about the prospects of a pause in Fed tightening …
