In this issue, Research Affiliates discusses positioning for potentially volatile markets and the link between equity valuations and macroeconomic conditions.
We expect US interest rates to be range-bound in the first half of 2018, but with a risk of higher yields in the second half. Our rates view is driven by our analysis of growth, inflation and monetary policy in the US and globally.
At a time when equity valuations are at historic highs, increasing exposure means increasing risk. We believe there are better approaches that may help deliver a portfolio's required returns.
Invesco Fixed Income’s macro factor framework provides an understanding of how developments in growth, inflation and financial conditions globally are likely to impact markets.
Beware the consequences of assuming that elevated CAPE ratios are here to stay, but if they are the "new normal," low future returns are likely to be the "new normal" as well.
When world leaders talk, markets react. And with social media becoming mainstream, politicians have a new way of getting their message to the masses.
Momentum is one of the most compelling factors in theoretical long–short paper portfolios, but live results of momentum strategies fall short of theoretical returns. Thoughtful implementation, a careful sell discipline, and an avoidance of stocks with stale momentum can narrow the gap between paper and live results.
Harvard University’s endowment has transitioned from a portfolio of asset class sleeves to a generalist investment model—an approach we see clearly as multi-asset. At Russell Investments, we made the same move eight years ago—and are proud of the single, globally integrated investment team we have today.
Invesco Fixed Income shares its views on rates around the world.
We demonstrate a smart beta that produces positive excess returns from sustainably faster growth in EPS. This simple, systematic strategy represents a significant improvement from today’s growth indices that fail to produce faster growth in EPS and have provided negative excess returns.