No. Although GDP revisions showing that the UK economy recovered more quickly and strongly from the COVID-19 period than was initially thought are welcome, the country faces headwinds to growth in the coming quarters. We continue to recommend holding UK equities at benchmark weights. The Office for National Statistics (ONS) recently released revisions to historical […]
September 2023
No, we do not think it is likely that Japanese equities can meaningfully outperform in the near term, given growing headwinds from the slowing global manufacturing cycle, possible monetary tightening, and potential Japanese yen (JPY) strength. Still, we do not think investors should be intentionally underweight, as Japan may continue to benefit from structural changes […]
August 2023
On August 23, 2023, the U.S. Securities and Exchange Commission adopted the most extensive reforms for the private investment industry since the Dodd-Frank Act of 2010. The reforms include many noteworthy aspects that we, and the industry, are still reviewing closely. Below are a few key changes: Fee & Expense Transparency. The new rules require […]
August 2023
No, we continue to believe investors should hold US Treasuries in line with policy allocations. While the recent decision by Fitch Ratings to downgrade the sovereign credit rating of the United States added upward pressure on Treasury yields, we do not expect it will have a lasting impact. Looking forward, growing fiscal deficits and increased […]
August 2023
On August 9, 2023, US President Biden issued an Executive Order (EO) limiting US investments in China in three technology sectors—semiconductors and microelectronics, certain artificial intelligence systems, and quantum information technologies—in 2024 and beyond. The administration narrowed the scope of the order since it was first conceptualized, choosing not to limit biotechnology and green technology […]
August 2023
Yes, the transition to a low-carbon economy is producing a myriad of productive ways to put capital to work. Considerable capital will be needed to fund the massive investment required over coming decades. Investors looking to maximize impact should invest in strategies that lean into recent policy initiatives (e.g., the Inflation Reduction Act [IRA]) and […]
August 2023
The transition to a low-carbon economy consistent with the 2015 Paris Agreement to limit global warming requires ambitious technological advancements and continued scaling of existing technologies. Such a massive economic transition by 2050, with meaningful progress by 2030, would be unprecedented but is not impossible, with adequate focus and funding. Indeed, significant progress has been […]
July 2023
Yes. Despite elevated macro uncertainty, it is an opportune time to allocate to private credit. Rising interest rates, reduced competition from traditional lenders, and improving documentation mean these should be attractive vintages for direct lending. In a similar vein, credit opportunities funds are finding rich pickings thanks to growing risk aversion, rising distress, and the […]
July 2023