Ongoing tightness in the US labour market, together with stickier than anticipated inflation, could counteract any softening of monetary policy by the Fed and lead to a bumpy economic path according to Ninety One’s Iain Cunningham.
This downturn will be different, according to Ninety One. But the world is so indebted that there’s either the mother of all paybacks coming, or the mother of all defaults.
Emerging markets are no longer the backwaters of the global economy, but their corporate debt is a multi-trillion-dollar market that’s gone almost untapped by institutional investors.
As hot air escapes the developed markets, unloved and unglamorous emerging markets are in the box seat once more. This time, it’s about more than the growth story.
The free money era in which the transition to renewable energy could have been dirt cheap is over. But after Russia’s invasion of Ukraine, the world has a golden opportunity to get the job done.
A significant chunk of asset owners are certain that climate investing means lower returns. After a year like 2022, it might be tough to convince them otherwise.