After months of battering, global equity markets enjoyed a reprieve in July, lifted by hopes that worsening economic signals and falling commodity prices might give central banks, led by the Fed, some leeway to dial back their tightening campaigns.
Few industries can rival the technology sector’s growth, whose investable market cap grew fivefold over the last decade - but as the investment landscape becomes ever more blustery, with the winds of further interest rate rises on the horizon, the green economy is emerging as a candidate.
Global equity markets went into a protective crouch last quarter, and factor performance followed suit. Yield, Low Volatility and Value factors held their lead over Quality in most developed markets as investors rushed into steadier, less cyclically sensitive stocks and fled pricier growth stocks.