Multi-Asset Strategies

The Fed’s dovish shift in focus from inflation control to labor market weakness marks an important inflection point for asset allocators.

The annual Jackson Hole Economic Policy Symposium provided a stage for the U.S. Federal Reserve to signal to the world the central bank’s policy approach for the remainder of the year. Chair Jerome Powell’s speech, delivered in Wyoming last week, was decidedly dovish, laying the path for interest rate cuts to begin in September. Recent weakening macroeconomic data and payrolls, as well as the (short-lived) market turmoil in early August sparked by U.S. ...

A combination of record issuance, improved structural features and resilient risk premiums has the potential to deliver attractive returns in the cat bond market.

Catastrophe bonds can allow investors to earn attractive yields by underwriting select exposures to natural disasters such as earthquakes and hurricanes. After posting record levels of issuance in 2024, the cat bond market now appears poised to offer a unique and compelling entry point for investors.

In Q1 2023, supply and demand imbalances, exacerbated by Hurricane Ian, led to capacity constraints in traditional reinsurance markets.

Amidst turbulent markets, we believe investors should stay calm, identify the underlying forces at play, and stick to long-term investment basics.

Recent gyrations in global markets, while not entirely unanticipated, caught more than a few investors by surprise. Like many market participants, we had been waiting for the Bank of Japan’s long-signalled shift in monetary policy, which we believed would likely cause the yen to appreciate and potentially put upward pressure on long-dated global bond yields as investors unwound decade-long carry trades in which they borrowed ...