Equity long/short (ELS) is a prominent strategy within the diverse hedge fund landscape, accounting for a significant portion—approximately $1.3 trillion, or 29%—of total hedge fund assets as of fourth quarter 2024, according to Hedge Fund Research, Inc. (HFRI). Put simply, ELS managers take long positions in securities they perceive as undervalued, and short positions in […]
February 2025
No. All three factors have weighed on euro area equity and currency markets to some extent in recent months. That has ranged from directly, by crimping economic activity; potentially dragging down future growth, by weighing on domestic economic confidence; or simply by denting the sentiment of fearful investors towards the region. However, a material degree […]
February 2025
The start of the year is an ideal time to review investment practices and procedures to ensure you are set up for success. Investing is challenging, even for the most seasoned investors, given the underlying emotions and mental biases inherent in human decision making. Successful investors have explicit investment processes that are clearly outlined and […]
January 2025
No, we don’t think so. President Donald Trump made numerous campaign pledges, including additional corporate tax cuts and deregulation, which could be seen as beneficial for US large-cap stocks. On Inauguration Day, he acted on some of these pledges with a wave of executive orders, addressing topics from more lenient AI regulation to accelerating energy […]
January 2025
Specialty finance is an important subsector of the private credit asset class and is an area that investors should consider as they develop their allocations to private credit. It is an umbrella term that incorporates several niche strategies, with a common thread being lending to non-bank financial businesses backed by a pool of collateral. Because […]
January 2025
2025 stands at a crossroads. Will the impressive performance of US equities continue? Can private equity and venture capital achieve better results? What does the future hold for credit markets? We answer these questions and many others across all asset classes as we present our 2025 Outlook.
December 2024
We expect global equities to outperform bonds, as near trend economic growth should support continued corporate earnings growth and healthy risk appetite. Stock/bond correlations should be lower than the 2023–24 peak levels, even as protectionist US policy may drive global economic uncertainty higher. Global Equities Should Outperform Bonds in 2025 Kevin Rosenbaum, Head of Global […]
December 2024
We expect most major central banks to continue cutting policy rates, which should allow bonds to outperform cash. With breakeven inflation rates likely to be range bound, returns of inflation-linked and nominal bonds should be similar. Most Major Central Banks Should Continue Easing in 2025 Celia Dallas, Chief Investment Strategist Moderating inflation and near-trend economic […]
December 2024