The textiles industry is one of the most pollutive in the world, emitting more CO2 than aviation and shipping combined. But a leading sports firm is showing one way the sector can embrace radical change. I love shopping for clothes
Monthly Investment Outlook: Global equity markets closed at the half year point higher, while global bonds fell as the Federal Reserve began to signal a pivot change – by potentially slowing the pace of its bond buying, i.e. ‘tapering’ –
Global Asset Allocation: The View From Europe Following a shaky start to its vaccine rollout, Europe appears to be recovering as businesses are reopening and lockdowns continue to ease in some areas. As the European Central Bank debates the extension
It is becoming clear that the post-Covid recovery will resynchronise in the second half of the year as economies reopen while vaccinations campaigns pick up speed, especially in continental Europe. Global trade is bouncing back at a faster-than-expected pace, resulting
As one of the world’s largest economies the US is a key focus for investors. With every country attempting to return to normality following the coronavirus pandemic, we are monitoring when US economic activity might get back on track, as
A reawakening of the global economy — boosted by pentup demand and unprecedented government stimulus — has stoked investor fears of higher inflation. But those fears may be exaggerated amid ongoing weakness in the labour market and the slowing pace
Global Asset Allocation Views: High frequency data suggest that economic activity is surging, aggregate household balance sheets are in good health, and economic output in developed markets is expected to surpass pre-pandemic levels by 3Q21. The question, perhaps, might be
Inflation: a word that has sparked huge debate as well as rotation in the market. But is it temporary or permanent, helpful or harmful? One thing is clear: it has been rising around the world. With successful vaccine rollout programmes
Market weekly: Thanks to central bank largesse, corporate bond markets weathered the depth of the Covid crisis well. Risks to credit markets today appear low with gradually improving fundamentals, neutral central bank policy and no major supply-demand imbalances. Listen to
Global Asset Allocation – The View From Europe: The Federal Reserve has been consistent in its messaging that a near-term spike in inflation pressures will be transitory and recede once COVID-related impacts fade. The latest inflation print showed that prices,
Markets are worrying about rising inflation, but to date, there has been no evidence yet of ‘demand-pull’ inflation amplifying cost-push pressures, especially in Asia. There is also no sign of a global wage-price spiral. Nevertheless, we believe there are reasons
News surrounding the pandemic has steadily improved this month, with cases dropping sharply across the US and Europe, and retreating in India. As such, confidence in reopening timetables is increasing, with global growth expectations growing in tandem. More and more
Global Pension Finance Watch – First Quarter 2021: Rising global discount rates during Q1 2021 drove positive first quarter pension index results for all regions. Asset returns were mixed with Brazil, Canada, and the U.K. negative for the quarter which
Inflation? The debate about inflation has been hotting up. During the earnings season, many companies flagged up the fact that they were experiencing higher supply costs. In April, the latest US CPI print – a measure of inflation in the
Welcome to KraneShares' Mid-Year China Conference, Innovation: The Next Phase of China’s Secular Growth. We believe the next phase of secular growth within China will be driven by innovation in science and technology. Companies in industries such as the internet,
The economic recovery should broaden into a synchronised global upturn in the course of the second half of this year, favouring risky assets including commodities, equities generally and notably emerging market equities. An equity correction should be seen as a
Vaccination rollout/lockdowns lower pandemic risk. PULSe is a composite indicator that is designed to monitor the state of global financial markets since the coronavirus crisis. It stands for Pandemic, Uncertainty, Liquidity, and Sentiment— four factors that we believe encompass much
Global Asset Allocation: The View From Europe A renewed surge in coronavirus cases across several emerging markets (EM) countries—including India, Brazil, and Argentina—is weighing heavily on these economies as they struggle with insufficient medical infrastructure and access to vaccines. In
In February 2018, Templeton Global Macro (TGM) released its original paper on the topic of environmental, social and governance (ESG) factors in sovereign fixed income investing. The paper (Global Macro Shifts—issue 9 [GMS-9]) explored the team’s novel approach to ESG
Global Asset Allocation: The View From Europe Equity markets are riding higher on unwavering optimism, which has driven the S&P 500 up over 20% above its pre-COVID-19 levels. Despite higher valuations, bouts of risk and pockets of froth in the
China, Japan, technology, and value have potential to shape global markets in 2021 and beyond. T. Rowe Price Insights on International Equities: The rapid rise of China to the world’s second‑largest economy is widely observed. Yet, investors appear to underappreciate China’s
Strategic Sector Selector Global equity markets posted strong returns in 2021 Q1 after a double-digit rise in the final quarter of last year despite a renewed rise in infection rates in Europe, South Asia and South America. We think the
Just as the sudden shutdown of much of the global economy at the onset of the coronavirus pandemic in 2020 was unprecedented, the expected recovery in 2021 is likely to be unique. Developed market central banks seem determined to maintain …
Welcome to EQuilibrium — This new, annual global research explores the drivers of investor behavior and their impact on people, portfolios and problem-solving, with a particular focus on alternatives, responsible investing and the human side of asset management. We also look at the beliefs, mindsets and …
With economies looking towards a post-Covid world and concerns around inflation growing, we talk to the manager of the Global Focus strategy about what 2021 might have in store
We have sold Tesla from our Global Sustainable Equity portfolios, having held the shares since early 2019. This sale follows a downgrade in our internal sustainability ranking.
President Joe Biden signed the $1.9tn American Recovery Plan into law this month, adding to the $0.9tn stimulus in late 2020. Debate is turning to the next bill on longer-term infrastructure, clean infrastructure and inequality measures …
Rising global bond yields and interest rate volatility have been dominant themes in fixed income markets so far this year. In our latest investment team meetings, we discussed how likely these trends are to continue—and the potential implications for bond markets and central bank policies if they do.
Growth, employment, consumption, renewable energy…These are all indicators that reflect the rapid rise of the ‘blue economy’ and its growing contribution to business and industry, better living standards and the development of a more responsible global economy.
When Covid-19 hit, many producers cut back production and drew down inventories as demand collapsed and the economic outlook was highly uncertain. While demand from cyclical end markets was hit hard, other end markets like …
The strategy maintains a focus on companies that we believe offer a positive impact today and an underappreciated impact in the future, as well as sustainability and robustness in their future earnings and cash flow growth. And our fundamental research platform and dedicated Responsible Investing (RI) team—which is focused on environmental, social, and governance (ESG) issues— provide …
It has been more than a year since COVID-19 was declared a global pandemic. The start-stop lockdowns that followed the first wave of the coronavirus outbreak made it particularly tough for many businesses and individuals to adapt.
The global economy runs on energy and, by and large, energy still requires greenhouse gas emissions. Energy efficiency can reduce demand; renewables are driving down the cost of carbonfree energy and can be coupled with storage or …
Webinar – Global Fixed Income Markets: return to Normality? The coronavirus pandemic triggered one of the most severe economic crises since the Lehman Brothers collapse in 2008. Twelve months after the initial Covid-19 shock, Mohammed Kazmi – Portfolio Manager &
After years of muted inflation, investors are becoming concerned as a massive amount of pent-up demand is expected to be unleashed as the economy reemerges in the coming months, bringing higher price pressures. The excess savings that consumers have accumulated over the past year, plus an additional near USD 1.9 trillion fiscal package on the way, could also lead to demand …
We have seen an exceptionally sharp pickup in growth expectations, centered on the United States. Economists have adopted a narrative of a rapid fiscally fueled expansion, which supports a strong rebound in corporate earnings. Some of the drivers are global in nature, such as the continued rollout of vaccines that appear to be having the desired effect …
Een jaar nadat de Covid-19-uitbraak wijdverspreide sociale en economische problemen veroorzaakte, komt Azië sterker uit de crisis en heeft het continent een grotere invloed op de wereld. Het economische zwaartepunt van de wereld verplaatst zich dan ook gestaag naar het …
The shift towards a more sustainable global economy continues to accelerate. At Aegon AM, we believe this secular shift will continue to present opportunities for investors. Entire industries and sectors are evolving as consumers and investors alike demand sustainable solutions, and governments around the world enact regulations to drive sustainability. From …
While the Biden administration put eradicating the coronavirus at the top of its agenda, taking action on regulations with executive orders has also been a top priority. Deregulation was a defining focus of …
2020 saw unprecedented change around the globe – economically, socially and politically. The most significant impacts resulted from the global coronavirus pandemic which has potentially changed many aspects of life for ever. The investment landscape has been changing too …
The economic rebound slowed in the fourth quarter, after a strong rebound in the third quarter and a very sharp contraction in the first half of the year. Global economies remain supported by the large stimulus measures from fiscal and monetary institutions. The positive vaccine …
With the S&P 500 already gaining around 4.27% year-to-date while COVID-19 still lingers through the western world and the U.S. economy shrunk by 3.5% in 2020, it is time to look at the future of equities.
Capital Ideas Talks with Martyn Hole Investment Director, Martyn Hole, shares his view on the outlook for equity markets. He explains why the backdrop is broadly supportive of equity valuations, considers the prospects for different sectors, examines how events of
With the pandemic-induced shutdown of 2020 — which caused the worst recession since the Great Depression — behind us, solid growth is expected across major economies in 2021, according to the International Monetary Fund (IMF).
How Are Investors Changing? ESG Asset Owner Survey How are investors’ priorities and practices changing when it comes to ESG investing, sustainability and impact? What are today’s key ESG implementation challenges? Seeking clarity on the issues, we surveyed 256 investors
Seizing the opportunities that higher volatility and mixed news flow will create. Equity markets delivered extraordinary returns in 2020, but the first quarter of 2021 will certainly test investors, given the return of uneven and contradictory news flow. Expectations of
Webinar Global Markets and the Implications for Asset Allocators – Q1 2021 Join us on 28 January at 10:00am GMT / 11:00am CET for our quarterly asset allocation webinar. Yoram Lustig, Head of Multi-Asset Solutions EMEA, will discuss key asset
Key takeaways: 1) We anticipate that the global growth recovery will remain intact as vaccine distribution will allow economies to gradually normalise, 2) Monetary and fiscal policy shall remain accommodative, 3) We expect this to be a positive environment for credit, whilst interest rate markets have room to breathe higher
Markets are entering the new year optimistic about the successful development of vaccines to combat the spread of COVID-19, seeing the news as a light at the end of the dark tunnel that was 2020. The extreme enthusiasm, however, has driven many markets to record highs, extending valuations and creating a rotation toward cheaper stocks in more cyclically …
After a rollercoaster 2020 for European high yield markets, 2021 looks set to be more stable. Fears of high levels of corporate defaults have proved unjustified, allowing high yield to rebound in 2020 and setting the scene for the coming year. While the second Covid-19 wave, and the new variant, are weighing on recovery, once vaccinations bring the virus under control a degree of normality …
