Market GPS
Investment Outlook 2021
What should be on the radar for investors in 2021? Market GPS helps direction-set with a video summary, in-depth asset class analysis and our latest portfolio manager views.
While record-setting prices for riskier assets hint at better days ahead, Portfolio Manager Nick Maroutsos believes that a complete exit from the pandemic may take longer than expected, justifying continued monetary and fiscal hyper-accommodation.
John Pattullo, Co-Head of Strategic Fixed Income, explains why an expected and predictable cyclical reflation should not be confused with a longer-term structural breakout of inflation.
The US Federal Reserve declined to expand accommodative policy measures, but Nick Maroutsos, Head of Global Bonds, believes the decision does not suggest the central bank is backing off from supporting the economic recovery.
Portfolio Manager Nick Maroutsos explains why bond investors should be cautiously optimistic as we enter 2021.
Jim Cielinski, Global Head of Fixed Income, believes central bank policy is likely to be the dominant influence on fixed income markets, regardless of who wins the US election.
Portfolio Manager Daniel Graña explains that in light of the retreat from further global economic integration, reformist policies and value-added services are likely to become future drivers of emerging market growth and investment returns.
The Securitized Products team discusses potential advantages of floating-rate products in a low-yield environment given their ability to act as a hedge against rising rates.
Greg Wilensky and Michael Keough discuss their outlook for U.S. inflation after the U.S. Federal Reserve’s policy change, and its impact on U.S. bond markets.
Head of Global Bonds Nick Maroutsos expresses concern that monetary policy focused on financial markets will do little to ignite the growth needed for the economy to recover from recent weakness.
John Pattullo, Co-Head of Strategic Fixed Income, explains how the suppression of volatility by the US Federal Reserve during the Covid crisis has led to the Japanification of the US corporate bond market.
Nick Maroutsos, Co-Head of Global Bonds, believes that despite a shift in policy, the US Federal Reserve will likely not have to worry about watching inflation climb above its target of averaging 2% over the long term.
Portfolio Manager Dan Siluk explains that, despite economic conditions appearing to stabilise throughout much of Australia, the Reserve Bank of Australia felt compelled to recommence bond purchases to establish its credibility with respect to its yield curve control programme.