We believe that emerging markets (EM) offer an enormous range of investment opportunities. This burgeoning marketplace includes more than 75 countries, with sovereign ratings from AAA to default. This country mix includes extremely wealthy countries, to some of the world’s poorest.
Almost ten years of record low interest rates have raised leverage in the non-financial sector as well as investors’ tolerance for riskier and less liquid instruments. As a result, the average quality of corporate debt has worsened. Credit risk has shifted away from banks to asset managers. Mutual funds’ exposure to lower quality debt has climbed, raising the risk of fire sales in case of rating downgrades; additionally, their asset-liabilities liquidity mismatch has ...
What have been the most important lessons learned in terms of the performance since GIS SRI Ageing Population (the Fund) was launched in 2015?
Market Views for the Research Team
The insurance business model is fundamentally based on underwriting and managing risks: insurance companies are contractually bound to meet specific obligations and as such structurally driven by liabilities.