Investors reassess strategic asset allocation as negative correlation returns

With the restoration of the negative correlation between equities and bonds, the structure of strategic asset allocation is once again under debate among asset owners and asset managers. Was the shift away from the traditional 60/40 portfolio towards a permanent allocation to private markets a lasting course correction — or merely a temporary response to an extraordinary period? Investment Officer spoke to four leading investment professionals.

Iran’s oil shock puts the Teflon-market thesis to the test

Markets enter the week facing not simply another geopolitical headline, but the prospect of a structural energy repricing. After US-Israeli strikes killed Iran’s supreme leader and Tehran retaliated across the region, investors are bracing for a sharp adjustment in oil and gas markets when trading resumes. The issue is no longer whether risk premia rise, but how disruptive and persistent they may become. “The implications for energy markets and commodities, especially for crude oil and LNG flows, are asymmetric and could trigger severe market reactions very soon,” said Cyril Widdershoven, a senior advisor at Blue Water Strategies.

Washington is rewinding the clock on investor protection

Washington is rewinding the clock on investor protection. Under chair Paul Atkins, the U.S. Securities and Exchange Commission has rolled back a series of rules, scaled back enforcement and curtailed shareholder rights. According to former senior counsel Benjamin Schiffrin, who spent nearly two decades at the agency, the regulator is now siding more with Wall Street than with investors.

Morningstar: Blackrock vs Pimco in global diversified bond strategies

Over the 12 months to February 2026, the US dollar weakened by 12.6 percent against the euro, a move mirrored across several emerging-markets currencies, including the Brazilian real, South African rand, Mexican peso and Malaysian ringgit. This currency shift has pushed managers in the Morningstar Global Bond – Diversified category toward local-currency emerging-markets debt to capture both rate differentials and currency appreciation.

To navigate private assets, wealthy families are investing together

As real estate returns to favor as an asset class, sourcing investment opportunities is not necessarily the biggest challenge that wealthy families face. The real hurdle is conducting thorough due diligence—but this can be tackled by joining forces with other family offices.

Software selloff drives repricing in Europe’s loan markets

Artificial intelligence has unsettled software stocks for months. Now it is testing European credit markets and exposing fault lines in parts of private credit that were sold to investors as stable and uncorrelated. “If the software issue remains isolated, markets can cope. If it bleeds into the real economy, then all bets are off.”