Macroprudential Policy: Necessary, But Not a Panacea
Designed to stabilize the entire financial system by limiting systemic risk, this previously unknown field of policy is rapidly gaining momentum among central bankers and finance ministers, says Ann-Katrin Petersen in this new research paper.
Financial Repression: A Driving Force for Mergers and Acquisitions?
Robust corporate finances, low rates and marginal growth are powering an upsurge in M&A activity. Is this a flash in the pan or could it drive equity markets higher? Find out in this new report from our Global Capital Markets & Thematic Research team.
The Golden Age of Equities
People obsess over short-term market movements far too much these days. We urge investors to look beyond day-to-day uncertainties toward the solid long-term prospects for equities: valuations appear reasonable, stock-picking can enhance portfolio returns and the inflation backdrop is, at least for now, supportive.
Bond Strategies: Behind or in Front of the Curve?
In this educational research paper, Hans-Joerg Naumer takes an in-depth look at the key fundamentals underlying active fixed-income strategies—including yield curves, exchange-rate fluctuations and spreads—to help investors determine optimal portfolio positioning.
Risky Bailouts Can Deliver a Hefty Profit for Central Banks
If the public knew that central-bank bailouts typically end up profitable, would there be such widespread opposition? In this research paper, Global CIO Andreas Utermann takes an in-depth look at how lenders of last resort play a critical yet lucrative role in banking and debt crises.
Dividend Strategies in Times of Financial Repression
Low interest rates and market volatility have investors feeling hemmed in, but dividends could be a way out. This paper takes an in-depth dive into how dividend-paying stocks offer investors higher yield potential and low price volatility in today’s environment of financial repression.
Quality Growth in Europe
Although growth in Europe remains muted, our new research report shows that investing in Europe now may be a sound idea thanks to strong leading indicators, expansionary monetary policy, economic improvements and attractive valuations.
China’s Reform Blueprint: A Good Start to Lift Confidence but Far from a Complete Solution
While no panacea, China’s reform plan addresses many structural problems, notes Portfolio Manager Anthony Wong. One of the key issues tackled by the plan involves introducing more competition in state-owned enterprises.
US Manufacturing: Prospects, Threats and Misperceptions
Talk of a US manufacturing “renaissance” may be premature, writes strategist Greg Meier. While manufacturing is supported by robust domestic demand, a much-needed boost has to come from key tax-policy changes.
Capital Market Perspectives 2014: It’s Risky Not to Be in Risky Assets
2013 was a year in which it paid to be in risky assets, notes Global Head of Economics & Strategy Stefan Hofrichter. So the biggest risk for investors may be avoiding risk: That’s why it’s important to take calculated risks wisely.
Is Small Beautiful?
Do small caps have room to run? This research report shows why small-capitalization companies can be performance-driving beauties that make an eye-catching addition to a well-structured portfolio.
For years, the debate about the advantages and disadvantages of active and passive management has been one of the liveliest in the investment industry. Just what is the best approach? Our research paper provides you with key insights to help you decide.
Volatility: Why a Better Understanding is Needed
This research paper explores a broad investment concept that can be hard to fully understand, examining the mechanics of volatility to help investors learn how to reduce losses and solidify gains.
Quarterly US Market Review
Read our recap of the forces that have moved the US economy and markets this past quarter, setting the stage for the current investment environment.
Towards a New Asset Bubble?
Is ultra-easy monetary policy helping to create a series of asset bubbles across the globe in equities, bonds and real estate? Stefan Hofrichter, head of global economics & strategy, thinks these worries are inflated.
Equities: The “New Safe Option” for Portfolios?
In today’s low-yield climate, staying low-risk in benchmark bonds may be a big risk. This research paper argues that equities may actually be “safer” than bonds when viewed over a long-term investment horizon of more than 10 years.
Will Deflation Follow Disinflation?
Stefan Hofrichter, head of global economics & strategy, thinks today’s declining inflation rates will gradually stabilize, allowing both the US and Europe to ward off a dreaded deflationary scenario.
The Changing Nature of Equity Markets and the Need for More Active Management
Active management has provided healthy returns over the past decades, although the pace has slowed. Yet this research paper from Andreas Utermann offers compelling evidence that the most active stock pickers are actually more likely to outperform.