All Fixed Income articles – Page 60
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White papersUnited States: a green industrial policy in the making
The US Congress’s August approval of the Inflation Reduction Act (IRA) came as a surprise to most observers. With the mid-term elections just months away and no majority in Congress, no one expected new legislation to be passed. Yet, the Democrats and Republicans managed to reach a compromise. We discuss below the measures announced to promote the environmental transition, which is the centrepiece of the act.
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White papersCLOs: Up in Quality
Against a challenging macro backdrop, CLOs look attractive given the strong structural protections and incremental yield on offer—but there is a case to be made for staying up in quality.
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White papersCross Asset Investment Strategy - October 2022
Geopolitical risks, inflation and hawkish central banks translate into a cautious stance on risk assets such as credit, in which, a deceleration in growth (and its impact on earnings) could create concerns over cash flows and liquidity, especially for the lower rated companies. Hence, we prefer US IG and are defensive on HY.
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White papersMarkets on edge despite Bank of England intervention
Sweeping UK government tax cuts sent shockwaves through financial markets as investors and economists queried the wisdom behind the plan.
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White papersFixed income investing: the active advantage, in times of interest rate sensitivity
Active fixed income strategies may offer investors numerous advantages over passive index strategies, providing enhanced risk-adjusted performance potential. Investors are still seeking risk-managed returns in the current high inflation and rising rate environment, and we believe active management for fixed income can better help investors pursue their goals.
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White papersSDG Engagement High Yield Credit
In our latest report we examine how the team has made progress towards creating genuine, real-world change through its engagement with portfolio companies.
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White papersPrivate credit investing: Whatever the weather
The search for ‘all weather’ asset classes that can reliably deliver income and returns in an inflationary, higher rate environment and protect capital in more challenging markets is perennial. Discover how the dynamic and diversified private credit asset universe could offer relative resilience compared to traditional asset allocations.
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White papersStructural Change in Europe as Funds Take Market Share
In this Q&A, Adam Wheeler discusses the current state of the European private credit market, and how the economic backdrop is creating both challenges and opportunities for investors.
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White papersU.K.’s Mini-Budget Causes Major Market Moves
The U.K.’s sweeping fiscal package caused widespread disruptions—leading the BOE to intervene and restore market stability—which could lead to more hikes in the near term. Meanwhile, labor stats in the U.S. next week should help show just how far the Fed might go.
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White papersGlobal foreign exchange regime faces winds of change
Dollar strength is causing strains, even in developed economies like Japan and Britain. A short-term fix could be a Plaza-style accord to weaken the dollar. Reverse FX wars, with a race to strengthen currencies, are another possibility. Longer-term, momentum may grow for a multi-polar currency regime that pits China ...
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White papersA High-Yielding Haven
As an ever-more-aggressive rate-hiking cycle rocks the financial markets, might corporate credit offer a space that is both remunerative and relatively calm?
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White papersInvesting at a Crossroads: Three Themes for Today’s New Challenges
As 40-year tailwinds turn to headwinds, we distill an era of sometimes bewildering change into three themes and a new investment playbook.
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White papersPortfolio construction themes in these times of inflation
Investors seeking to put this bear market behind them aren’t out of the woods yet. Hopes that inflation might peak quickly, that the U.S. Federal Reserve would pivot, and that the global economy could emerge unscathed — all have diminished.
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VideoClimate metrics in fixed income
Jane Wadia, Head of Investment Specialists on climate metrics in fixed income
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White papersWhat does ESG mean for private credit?
ESG’s impact on investor and manager behavior has changed the way we look at the world. Churchill’s Randy Schwimmer and Mickey Weatherston address what it means for private credit.
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White papersUK market turmoil points towards further volatility in global currencies
Investors’ focus is shifting from the poor growth/inflation mix to the extremely negative external balance picture in the UK. Last Friday (23/09), the government announced an additional 0.5% of GDP in unfunded tax cuts and the reaction of UK assets recalled actions we used to see only in emerging markets.
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PodcastThe Investment Podcast: What next after the summer rally in bonds and equities?
Fixed income and equity markets face being influenced by inputs from all angles, making this no market for broad macro calls.
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White papersStill No End In Sight
The hawks fluttered their wings this week, leading yields to rise, equities to fall, and markets to reprice rate expectations. The BoE is more concerned about growth, while the Fed has a singular focus on inflation. China and Japan remain accommodative, watching PMIs next week.
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White papersMaking Up Lost Ground
Another 75bps and more hawkish talk from Jerome Powell. Markets reacted swiftly to signals that more large increases are coming—more than they had priced in. See how this frontloading by central banks aligns with our central scenarios and expectations for the coming year.
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White papersFrontloading
The global economy remained largely resilient in the first half of 2022, despite war in Eastern Europe, commodity shortages, and inflation. However, this is leading most major central banks to turn increasingly hawkish and frontload rate hikes which should weigh on growth.
