Intellectual Capital

This month, we discuss the ramifications of the long-awaited first US interest rate cut, as well as stimulus in China.

This month, we discuss the global equity sell-off and the subsequent recovery, the unwinding of Yen carry trades, the outlook for US interest rates, and our duration posture.

In this article, we explore some historical examples of the types of companies that have benefited from new disruptive technologies – notably Coca-Cola’s transformation as a result of refrigeration – and draw some conclusions about the potential impact of AI, highlighting some of the companies set to be potential winners.

In July’s news round-up, we’re focusing on the positive activity in the central London office market as a surge in demand for leasings and strong interest from investors help give the sector a boost.

The frequency of severe natural catastrophes appears to be picking up and yields on catastrophe bonds are near all-time highs. In this article, Ben Hancock from Bedrock’s Research team explores some of the dynamics driving catastrophe bond markets, sharing key insights from a Q&A session with Etienne Schwarz, Head of Investment Management and Insurance-Linked Securities at Twelve Capital.

This month, we discuss the rotation out of Big Tech and into other sectors, the outlook for US rates, and the fast-moving US election.

Resilient global growth data mask divergent fortunes among major economies: the US and some emerging markets are growing strongly while most other developed markets are at a crawl. Still, global inflation is falling and multiple policy rate cuts are expected in the coming months. Upside inflation surprises cannot be ruled out, notably given the wars in Ukraine and Gaza. But there is a clear, if narrow, path to a global economic soft landing. That markets have fully priced in this optimistic outcome nonetheless suggests that risks are skewed to the downside. Bonds and gold are obvious places to take shelter, while pockets of value in equities can also be found.