Emerging market (EM) bonds have delivered decent performance in 2017 and a number of factors should continue to support sentiment towards the asset class. These include the higher yields available from EM bonds relative to their developed market counterparts, as well as the diversity of both the emerging market governments… Read More »
Amid excitement about possible reform and restructuring in Europe, some investors may have missed the fact that Japan is actually putting the theory into practice while fiscal and monetary policy-makers are lending continued cyclical support to reform efforts. The October 2017 general election yielded ideal conditions for Prime Minister Shinzo… Read More »
The year is not over yet, but unless a serious shock, 2017 will be remembered as a year of superlatives by investors. All US equity indices printed all-time highs more than once during the year while credit spreads tightened to rock-bottom levels and volatility traded at an all-time low. Other… Read More »
Philippe Waechter -
The political upheavals and populist incursions of the past few years owe much to widespread perceptions of inequality and economic injustice in advanced economies. While median wages have stagnated, incomes at the top have continued to rise, and there is growing evidence to suggest that the two phenomena are connected.… Read More »
Fundamentals are still so good that we cannot help wondering if the only worry today is that investors do not seem to be worried. The global recovery is still on track and even seems to be marginally intensifying. What is most striking about it is not its strength, even if… Read More »
Prime Minister Shinzo Abe’s gambit to call for snap elections a year ahead of schedule paid off handsomely with his ruling coalition maintaining its two thirds “super majority” in the more powerful Lower House of Parliament. This is a remarkable turnaround for both the Prime Minister and his party after… Read More »
Lisa Lim -
ESG issues are rapidly becoming a key priority for companies in emerging markets. ESG analysis provides a window into the quality, leadership and focus of companies including disclosure and governance. Environmental, social and governance (ESG) factors, a long-held concern in developed economies, are swiftly rising up the agenda in emerging… Read More »
The global banking industry shows many signs of renewed health. The recovery from the financial crisis is complete, capital stocks have been replenished, and banks have taken an ax to costs. Yet profits remain elusive. For the seventh consecutive year, the industry’s return on equity (ROE) is stuck in a… Read More »
Elena Rinaldi -
Last time we talked about Italy was December last year after the Italian Referendum result saw the rejection of a constitutional law that was meant to reform the composition and powers of the Parliament. Following the victory of the “no” vote, Renzi resigned from his role of Prime Minister and… Read More »
The mood was positive in Washington DC last week, where the Annual Meetings of the Boards of Governors of the World Bank and the International Monetary Fund took place. With the backdrop of a broad-based upswing in global growth coupled with low inflation, the environment for risky assets remains strong.… Read More »
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