Listen to our 2019 LTCMA themes and forecasts.
The key political, macro and credit risks that insurers may want to address in 2019.
What investors should consider
While tariffs remain a concern, the key issue is the degree—which we deem moderate—of U.S. recession risk. The current global backdrop makes the U.S. dollar unlikely to strengthen. Earnings growth expectations are modest, valuations are undemanding
Reaching for yield, which we define as buying bonds with wider spreads after controlling for sector and rating impacts, is a topic that frequently arises in the life insurance industry.
The US recovery is now the longest on record. Nobody knows exactly how much longer this expansion will last.
Themes and implications from the Global Fixed Income, Currency & Commodities Investment Quarterly
Discover what the adoption of e-commerce technology can mean for economic growth and investment opportunities. Read the insights from our 2020 LTCMA.
In this paper, we assess the potential risks associated with such a strategy by stressing capital requirements using spread-implied ratings.