There’s no crisis yet, but private wealth CIOs and asset consultants are keeping a close eye on markets after their sudden August selloff. Their advice: stay nimble, stay unconstrained, and look out for “the unbelievable opportunity to invest in a dislocation”.
While private credit is becoming more and popular, it’s not always becoming more and more transparent. And investors will only feel comfortable – and realise that it’s fairly “vanilla” – when they get a good look under the hood.
A higher for longer interest rate environment and likely default cycle in high yield means investment grade credit is once again in the hot seat.
“Look at a country, a conflict, a region – whatever,” former US general and CIA director David Petraeus said. “And then ask whether it has anything to do with the global economy.”
In the AI-fueled rally, some companies will win and others will disappear. But while some parts of the market look hideously expensive, their long-term prospects might justify their valuations.
AMP has cut redundancy pay maximums and notice periods in a move that has left long-term employees dismayed after they stuck with the company through the royal commission and its aftermath.
KPMG’s latest Super Insights report shows the future shape that the industry might take, with distinct cohorts of funds now emerging across size and service. But there’s little positive sentiment to be found about funds online.
First Sentier’s decision to close a number of strategies and pivot towards private markets handily illustrates the pressures facing the Australian funds management scene – and the new period of competition into which it is now entering.
Good investing requires real sacrifices, according to Oaktree’s Howard Marks, but you can’t expect to be compensated just for making them.
Super funds are an accumulation wonder of the world, but when it comes to retirement they’re in the same leaky boat as every other defined contribution system. BlackRock wants to bail it out.
