In lower cost, liquid vehicles, alternative risk premia strategies can strengthen a risk-return profile.
In this paper, we assess the potential risks associated with such a strategy by stressing capital requirements using spread-implied ratings.
A summary of the factors driving global markets over the last month.
We cut the chances of recession to 25% after a thaw in the trade war and a year of rate cuts; our forecast is for sub trend growth. Favored sectors include emerging market local currency debt and higher rated short-duration securitized credit.
What investors should consider
David Kelly, the Fed, interest rates