The recovery from the Covid crisis continues, with global activity now exceeding its pre-pandemic peak. However, this rapid rebound has already run into supply constraints in many sectors and economies, leading to a surge in global inflation. Some of these demand-supply imbalances should ease over the coming quarters, helping to cool price growth. But it’s hard to escape the conclusion that Covid has permanently damaged the supply side of the global economy, implying a less favourable trade-off between growth and inflation.
The advice market is currently being buoyed by the needs of the wealthiest demographic: the baby boomers, who were born between 1946 and 1964. As boomers age, though, we will start to see a wealth transfer take place. In the UK, we expect £5.5 trillion of assets will be passed down between now and 2050. On a global basis, around $68 trillion is forecast to change hands.
The past few months have delivered a number of unwelcome developments resulting in greater risks to economic growth, higher inflation and more volatile markets.
Enhanced indexation blends cost-efficient quantitative rigour with active alpha potential.
Ongoing inflationary shocks, the questions around interest rates and the emergence of the new Omicron Covid variant are all making navigating the next twelve months more challenging for investors. Nonetheless, when we look beyond the headlines, there remain some reasons for optimism going into 2022.
Discover a cost-efficient quantitative investment strategy with outperformance potential.
The 15 years since the start of the Global Financial Crisis have been a difficult time for Value as illustrated in Fig. 1. We show below that this underperformance has largely been driven by low inflation and government bond yields.
Rolling stock commitments on track and boost to renewable energy sector
The Russia-Ukraine crisis is progressing at a rapid pace, and recent developments suggest that a military conflict is increasingly likely. Needless to say, there is a large degree of uncertainty about what form this would take.
From attractive valuations to compelling risk-adjusted returns: why investors might consider moving from cash into fixed income.
Recent market conditions have presented challenges for quality-focused investors. After years in the doldrums, lower-quality, cyclical companies are enjoying a moment in the sun. However, over a longer investment time-horizon (three to five years), value rallies like this one tend to fade.
From infrastructure assets to local currency EM bonds, we detail where we’re seeing the long-term investment opportunities.
Over the past 10 years of abrdn global smaller companies investing, we’ve argued that small caps are too big to ignore. Although they account for just 15% of global benchmarks, small caps represent about 70% of global listed companies.
In the latest episode of the Emerging Market Equities podcast, Nick Robinson sits down with Eduardo Figueiredo to discuss his recent trip to Mexico.
Inflation has surged to 7% in the US and 5% in Europe, and higher prices have now been in the system for a year. With higher readings also seeding higher expectations, is inflation starting to look less transitory?
Is it time to reassess your investment strategy amid climate policy delays and clean technology advances?
Inflation continues to surge, having reached 7% in the US and nearing 5% in Europe. A major contributor to higher inflation of late has been oil prices, which have surged by over 50% in the past year as consumption outpaced production.
Here are the key macro trends next year, from US policy shifts to emerging market dynamics. Stay ahead with these insights
Omicron is more infectious but less virulent, reducing its impact on economies…
Luke Hickmore, Investment Director, discusses the factors in fixed income markets, examining interest rates and the current positioning of Strategic Bonds.