Explore our latest thinking on recent world and market developments.
Factor Views 2Q 2019
By Yazann Romahi, Garrett Norman
Factor performance was bifurcated amid sharp market reversals. Equity factors were down across the board; macro factors were bolstered by carry across asset classes. We see potential catalysts in place across equity, event-driven and macro spaces.
2018 was largely a US exceptionalism story, with the US economy enjoying above- trend growth even as recoveries elsewhere faded. The resulting environment of rising core rates, tighter financial conditions and US dollar strength was unfavourable for emerging markets.
Drawing on the insights and experience of more than 800 alternatives professionals around the globe, we explore how alternative asset allocation can help boost returns and reduce risk in a late-cycle investment environment.
Our 2019 Long-Term Capital Market Assumptions (LTCMAs) provides a context for how some of the structural factors affecting economies today are likely to drive asset returns over a 10- to 15-year investment horizon.
