Investors are taking fright at commercial real estate risks in Sweden. But we think the situation is less threatening than feared.

European bond-market performance was among the worst on record in 2022, as Europe ran the gamut of geopolitical, economic and market storms.

As Europe struggles with war, costly energy, record inflation and slowing growth, it’s no surprise that European corporate credit is out of favor.

Recently, euro-based investors have been able to access higher-yielding US dollar bond markets while hedging their currency risk at low cost.

The COVID-19 pandemic looked set to batter the world’s banks—and yet banks’ balance sheets are now the strongest they’ve been since the global financial crisis (GFC).

Rising inflation is troubling bond investors worldwide, but European bond markets will likely experience comparatively weaker inflation pressures and stronger central bank support.