Federal Reserve

Credit

Fine line between performing and stressed as volatility returns to credit markets

Higher interest rates have brought back volatility this year in credit markets, posing challenges for certain issuers trying to access liquidity financing and additional capital to avoid restructuring, experts have observed.

Jessica SierApril 6, 2021

Investment Strategy

Next level monetary policy to permeate everything in 2021: Bridgewater

Central Banks have move to a policy regime where fiscal stimulus is an even bigger lever with short-term interest rates in the US likely to will remain on hold at least through to 2023, Bridgewater's Rebecca Patterson has said.

Sarah RundellDecember 16, 2020

Fixed Income

Post pandemic economy could be more challenging than markets expect

Low inflation will be one of the key characteristics of the challenging macro economic environment that lies ahead, due largely to the ageing population leading to weaker aggregate demand, PGIM Fixed Income's Nathan Sheets says.

Ben HurleyNovember 18, 2020

Geopolitics

The Biden effect: Dalio on market reaction to US election outcome

A Biden fiscal and economic stimulus reform would involve raising company and capital gains taxes, but it would also involve raising deficits to spend more, a-la Franklin Roosevelt in 1933, an approach that could turn out to be more positive for financial markets, Bridgewater Associates founder Ray Dalio points out.

Matthew SmithSeptember 9, 2020

Absolute Returns Conference Digital 2020

Quants reset: Models adapt with a pandemic tilt

Quantitative investors using historical data to model the probability of what will happen in the future have spent this year retraining their models to understand how markets react during a global pandemic.

Jessica SierSeptember 2, 2020

Investment Strategy

Bond managers raise spreads as liquidity dwindles

Evaporating liquidity in fixed income has forced several of Australia’s largest asset managers to pass the higher spread onto their investors, according to Morningstar.

Sarah JonesMarch 25, 2020

Investment Strategy

Former Trump adviser warns of global recession

Kevin Hassett, the former economic adviser to US president Donald Trump, has warned that the chance of the global economy falling into a deep recession from the coronavirus outbreak was “pretty close to 100 per cent.”

Sarah JonesMarch 11, 2020

Investment strategy

Bridgewater says US, UK close to deploying MP3

Bob Prince said the Federal Reserve and the Bank of England are “just one downturn away” from being forced to deploy what the world’s largest hedge fund refers to as monetary policy three.

Sarah JonesDecember 4, 2019

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