Commentary

Is the Energy Price Surge “Transitory” or a Longer-Lasting Trend?

Energy prices have surged to multi-year highs amid the global economic recovery from COVID-19, contributing to larger-than-anticipated jumps in measures of headline inflation. While some policymakers had suggested inflationary forces would prove “transitory,” today many are questioning that thesis.

Commentary

Sustainable Investing Through the Supply Chain Electric Vehicles

The shift to electric vehicles means major changes across the supply chain and involves multiple ESG challenges. As the auto industry strives to institute sustainable practices, investors need to engage with governments and corporates to encourage and accelerate the process of change.

Commentary

How to Take Control of Your Bond Portfolio’s Interest-Rate Risk

Interest rates are rising, and bond investors are worried about the potential impact on their portfolios. But they’re not entirely at the mercy of the markets. 

Commentary

Connecting the Dots on China’s Growth Outlook

Concerns about China’s slowing economy have focused on issues affecting property and manufacturing. But these are only part of the story. Investors seeking a fuller understanding of the risks and opportunities need to take a broader perspective.

Commentary

Capital Markets Outlook: 4Q:2021

The strong economic and market trends of the first half of 2021 wavered during the third quarter. The coronavirus delta variant caught up with the US at the height of the summer, just as vaccinations slowed and concerns grew that inflation might flare and persist.

Commentary

Self-Help for Companies Unlocks Equity Return Potential

In business as in life, a healthy sense of self-awareness is often the first step to meaningful change. Companies that are conscious of their flaws and eager to address the root problems offer a source of solid return potential for equity investors who identify the turnaround stories early.

Commentary

Searching for Companies with Pricing Power as Inflation Looms

Inflationary pressures are mounting, based on evidence from the recent earnings season. The question for investors is, which companies can pass on those costs to help protect profit margins?

Webinar

Keys to Maximizing Yield in a Low Interest Rate World

The US high-yield market has staged a strong comeback since its downturn at the onset of the COVID-19 pandemic and—despite historically tight spreads—fundamentals for credit continue to improve. Along with a strong global economic recovery, credit spreads are getting positive tailwinds from declining default expectations, falling levels of distressed debt, and improving access to capital.

Commentary

Don't Fear a Taper Tango

The US Federal Reserve will soon slow its open market purchases of fixed-income securities. These purchases have served to keep rates low and liquidity flowing, but as the post-pandemic economy heals, it’s time for the Fed to taper. As they step back from buying, who is going to step forward?

Commentary

Encouraging Effective Executive Pay Structures

Executive pay is a powerful motivating factor. But investors need to consider whether executive pay incentives are fully aligned with the goals of the business. We find that companies with meaningful ESG goals embedded in their executive compensation schemes tend to have a better understanding of the ESG factors that are material to their business, use specific key performance indicators (KPIs) and are more likely to achieve them.

Commentary

COVID-19 Strained Participant Financial Wellness - Can Employers Help Them Recover?

With COVID-19 still a top employer concern, protecting workers’ health and well-being naturally comes first. But the pandemic’s impact isn’t limited to only physical and mental health: financial wellness is also ailing. The crisis has exacerbated the problem, but it’s not exactly a sudden occurrence.

Commentary

ECB Strategy Has the PEPP Had Its Day?

In December, the European Central Bank (ECB) is likely to announce the retirement of its Pandemic Emergency Purchase Programme (PEPP) next March. But how will the central bank manage this process? And what will this mean for euro-area bond yields?

Commentary

Hidden Dangers Navigating Climate Risks in CMBS

One of the most crucial components of investing in commercial mortgage-backed securities (CMBS) is assessing the underlying collateral value. But what if investors are disregarding risks that threaten a property’s very existence?

Commentary

New Frontiers: Central Banks Pursue Digital Currencies

Major central banks are exploring digital currencies, which seem likely to become a mainstay of tomorrow’s economy. As policymakers wrestle with the many moving parts of digital dollars, euros and yuan, their decisions will shape the next dimension in national currency—and could reshuffle international currency leadership.

Commentary

How Populism May Sway Policies in Emerging Markets

COVID-19 has increased inequality and aggravated social problems across emerging market economies, fueling populist pressures—but several emerging countries share features that make them particularly vulnerable. Assessing key environmental, social and governance (ESG) metrics can help identify potential pressure points.