Please note the content on this website is for Investment Professionals only and should be shared responsibly. No other persons should rely on the information contained within this website.
While markets may have seemed uneventful of late, there has been a flurry of academic activity that gets to the very heart of whether it is possible to beat the market. Though dull and esoteric on the surface three papers and a new book, all released in the last three… Read the article
The election of Emmanuel Macron as President of France marks an important shift in the narrative around European politics: not all popular discontent in Europe can be channelled as anti-EU or purely nationalistic.
For investors, the importance of Macron’s victory may be more about what has been rejected… Read the article
This piece is built upon Eric’s discussion about the complex nature of asset price determination at his own blog at philosophyofmoney.net earlier this week.
Here is a chart of the South Korean and US stock markets so far this year, alongside some news items from the Korean peninsula:
Despite the partial realignment of European long-dated government bond yields following the Euro crisis in 2012, there has been renewed divergence in yields in the last few years.
On a simplistic level, this runs contrary to improving fundamentals. While sharply accelerating Portuguese and Spanish debt levels partly explained… Read the article
Are asset markets “pausing for breath”? Since the relatively dramatic moves in many markets in the second half of last year, a lot of commentary suggests that things feel less eventful so far in 2017.
There are a number of biases evident in this view. Such commentary is hugely myopic… Read the article
Wednesday’s triggering of Article 50 was a non-event in financial markets; an event more symbolic than anything else. Meanwhile in the US, two Fed officials were discussing their views on what could happen to US interest rates.
The Boston Reserve President said that four rate “hikes”… Read the article
The negotiations around the withdrawal of the UK from the European Union have the potential to be the most significant structural change to the UK’s economy in a generation. Then again, the economic impact might be so small, we may not even notice.
The degree of clarity around these issues… Read the article
We have long written about the dangers of economic forecasting as an input into the investment process. The future is often highly surprising and nobody has a perfect model of how the economy works, which means forecasts will usually turn out to be wrong – just ask any… Read the article
From the Financial Times this month:
“The tranquillity of Wall Street’s ‘Fear Gauge’ continues to baffle investors, given the market uncertainty”
Financial commentators and journalists – who are just as prone to herding as investors themselves – have brought attention to the ‘volatility paradox,’ the apparent disconnect between… Read the article
Amidst the intense focus on central bank policy decisions and the latest Trump activity you’d be forgiven for barely having registered that the oil price fell more than 9% last week. Wind back the clock just over a year and it would have been front page news.
This present apathy… Read the article
Please note the content on this website is for Investment Professionals only and should be shared responsibly. No other persons should rely on the information contained within this website.
OKWelcome to the M&G Multi Asset Team’s Allocation blog, previously known as the Episode blog. We have changed the name of our blog to resonate better with our readers in Europe, however, the content and purpose of the blog has not changed. The Allocation blog continues to aim to provide unique market perspectives from our dedicated team of experienced asset allocators.
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