UBS AM: A thematic bottom-up approach to emerging markets
According to a 2019 UBS survey, “78% of clients are integrating environmental, social and governance (ESG) factors into their investment process.”
Request to review costly bank regulation
The cost of implementing banking sector regulations has risen by an annual average of 16% since 2015 says a recent study by the the Luxembourg Bankers Association (ABBL) and major accounting firm EY.
Capital Group: inflation threatens to be higher than expected
Capital Group economist Robert Lind is a bit short on calling the current inflation surge temporary and sees faster-than-expected central bank intervention as the biggest risk to the bull market. He also has strong views on Sino-US trade relations and holding bonds in a portfolio.
Inflation uncertainty
Amundi: interest rates and inflation will continue to rise
Long-term interest rates will continue to rise, as will inflation. And the correlations between German government bonds and equities will become positive again. That’s a tough sell for the management of multi-asset portfolios. Fortunately, there are alternatives such as swaps and floating rate notes. And value stocks are preferred in an environment of rising interest rates and inflation.
Investment sector starts to address biodiversity loss
Asset managers are increasingly turning their attention to addressing biodiversity loss, but moving beyond just exclusion and actively making investments that improve the landscape will be an uphill battle.
It has been a year since a damning report from ShareAction claimed that asset managers are blind to biodiversity loss, which pointed out that none of 75 of the world’s largest asset managers had a dedicated policy on the matter.
AXA IM: Why COVID-19 could be a tipping point for sustainable investing
Growing demand for a more sustainable approach to investing in recent years has increasingly made environmental, social and governance - or ESG – issues a mainstream investment topic.
Does the Fed want to curb asset inflation?
During question time after the Federal Open Market Committee (FOMC) rate decision, Jerome Powell made a very bold statement about monetary policy in the future. When asked when we should expect a less aggressive monetary policy, Powell replied that the economic recovery is far from complete (labour market and unemployment) and that we should not expect any monetary tightening before the end of 2023.
Morningstar: Is Greenwashing a Problem for Investors?
The popularity of ESG has seen a number of fund firms jump on the sustainable bandwagon. There is a risk that some are not practising what they preach
PGIM Investments: Five Reasons Why EM Local Markets May Not Tantrum To This Tapering
PGIM Fixed Income discusses five reasons why EM local rates may not be more resilient to the onset of its latest reduction in asset purchases.
Storebrand: Will make "gold standard" for climate reporting in the food industry
Storebrand, together with a group of leading Nordic companies, will turn the TCFD’s recommendations for climate reporting into a common global framework. They are now getting the government and the Oslo Stock Exchange on board.