Showing 101 - 110 of 127 results for ‘covid’
As we peer through the fog of war, prospects for a decline in US dollar dominance, durably higher inflation, and persistent heightened geopolitical risk appear on the horizon. However, it can take a long time before ripples either fade out or become waves. And their future path is influenced by their interaction with each other […]
Yes, but the level of threat varies across asset classes. Higher oil prices are likely to slow economic growth and weigh on corporate profits across many regions, but more so in countries that are large energy importers, where the energy intensity of growth is highest and where governments have the fewest resources to cushion the […]
No, we do not recommend that investors go long duration in fixed income portfolios. The uncertain inflation outlook and potential for more aggressive policy tightening suggest yields could rise further. That said, we believe investors that are short duration in their fixed income portfolios should increase duration to match their benchmark, given the improved risk/reward […]
Yesterday, the Federal Reserve announced it would raise the target range for the Fed funds rate 50 basis points (bps) to 0.75%–1.00%. It also formalized plans to reduce its $9 trillion balance sheet starting June 1, with an initial monthly cap of $47.5 billion, rising to $95 billion per month on September 1. At that […]
The Federal Reserve announced that it was raising the target range for the Fed funds rate by 75 basis points (bps) to 1.50%–1.75%. An apparent briefing to the financial press last week meant that this course of action was fully priced in by the rates market beforehand, despite just 50 bps being priced as recently […]
In engaging with our family clients around the world, we are often asked for views on two related topics – how to think about philanthropy versus impact investing and how to best implement a socially and/or environmentally impactful investment strategy. Whilst common themes transcend these topics, each is distinct, and, as such, we will outline […]
Yes. The hawkish Federal Reserve and energy market challenges have contributed to a strengthening of the US dollar in recent quarters, and we expect that trends in both factors may continue to be supportive of the dollar in the short term. Nonetheless, on a longer horizon, historical precedents suggest that the dollar is approaching the […]
Ten years ago, we were emerging from the Global Financial Crisis (GFC); the worst recession and market crash experienced in decades. With increased commitment activity and growing exposures to private investments, institutional investors needed new tools to understand the impacts on and implications for their portfolios. In response to this need, Cambridge Associates issued our […]
With inflation running at multi-decade highs, monetary policymakers are united in one of the most aggressive tightening campaigns in decades. Most central banks have already significantly increased policy rates this year, and some are unwinding their massive balance sheets, also known as quantitative tightening (QT). From what we know about QT, we expect it to […]
Yes. The combination of rising interest rates and a deteriorating earnings outlook is likely to generate ample negative headlines about credit in the months ahead. Rating agency downgrades will accelerate and defaults will rise. The flipside is that some of this is already in the price and many borrowers are prepared for these headwinds. Investors […]