A service for advisers from J.P. Morgan Asset Management
The ongoing search for income has been a major theme for investors, and with interest rates still at an all time low, this theme will become even more important going forward. IncomeIntelligence has been designed to help you with your clients’ income needs.
What are financial conditions and why do they matter?
When it comes to analysing financial conditions, there are four factors to think about:
- The US dollar
- Corporate bond spreads
- Equity market levels
- The level of interest rates at different maturities
TIPS from the top: reasonable confidence or reasonable scepticism?
One of the key aspects of the US Federal Reserve’s (the Fed’s) policy framework is that inflation doesn’t need to accelerate in order for the Federal Open Markets Committee (FOMC) to start the normalisation process. Instead, the FOMC says it only needs to be “reasonably confident” that inflation will return to 2% to feel comfortable raising rates.