The vast majority (85%) of advisers have spoken with their clients in the last six months about how to adapt their finances or portfolios in the wake of soaring inflation, according to new research from abrdn.
Fears that the global transition to a low-carbon economy will drive inflation over the long term are overblown, with the tightening of monetary policy set to have far greater implications for portfolios.
Some three months into the Russian-Ukraine war, our experts look at what this conflict may mean for the world’s struggle to transition to more sustainable energy and how this may affect investors.
Climate-related screening of investments gets continued ‘green light’ in new court ruling
Today, half of the articles in investment magazines seem to be about ESG and climate. In our experience, however, very few funds are actually designed with a clear climate goal. We believe this is a missed opportunity.
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.
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.
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.
Amanda Young is joined by colleagues to explore what we can expect to see on the sustainability agenda for 2022.
In this episode recorded on 22 February 2022 we look at the rapidly changing developments between Russia and Ukraine and explore the potential longer term geopolitical consequences.
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.
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.
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.
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?
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.
Omicron is more infectious but less virulent, reducing its impact on economies…
Nearly a year ago, our first deep dive on women and work – Equality starts at home: paternity leave – identified the availability of sufficient parental leave as critical to boosting female participation in the workforce.
A quarterly summary of our fixed income investment team's views on some of the main themes driving global bond markets, and the investment outlook in light of these factors.