When the going gets tough. As a financial adviser responsible for allocating your clients’ capital, COVID-19 presented sudden and unexpected challenges for most asset classes. Risk assets took an alarming hit but rebounded strongly, while defensive assets were mixed, with bonds performing weakly and cash not worth mentioning. Wherever your clients were invested at the…

It has been a difficult few years, or perhaps decades, for forecasters of all kinds. Whether it was election polling that failed to predict both Trump’s and Morrison’s stunning wins, or the UK’s Brexit; spiralling coronavirus case numbers; or those calling for massive property market and economic pain throughout 2020, the end result was the…

Despite a brief moment in the sun during the depths of the pandemic, Modern Monetary Theory or MMT, somewhat disappointingly remains on the fringes of economic and financial market analysis. Mainstream economists, but particularly politicians from both ends of the spectrum, continue to stoke fear of ballooning government debt, and flag inflationary concerns that simply…

Covid-19 continues to wreak havoc in some parts of Asia, resulting in humanitarian losses that will potentially have a deep and lasting impact on societal values and governance structures. The pandemic has highlighted wide gaps in public health and social security infrastructure that became matters of life and death in some countries. We believe the…

Themes and long-term investing go hand in hand with wide divergence between the merits of ETFs and active funds. A recent plethora of appealingly named ETFs hit on the current hot topics. These quantitatively screened funds can only go so far providing appropriate exposures relying on current data rather than what might evolve. They also…

Inflation has been among the most popular terms across news headlines, research reports and economic forecasts. Whilst the loudest voices tend to dominate in the conversation, inflation is far from a certainty but global asset manager Eaton Vance suggest ‘it’s not an unlikely scenario’ and must be considered. Emerging markets bonds have been increasing in…

Everyone is losing their minds over inflation signals that don’t matter. It is hard to pick up a paper or piece of market commentary at the moment that doesn’t point to some piece of ‘evidence’ that inflation is here and roaring. We have been doing a lot of reading recently around the topic in the…

Inflation has dominated the headlines in May, with one higher-than-anticipated print in the US triggering a broad consensus that the Federal Reserve is wrong, and will be forced to act far quicker than expected. Yet as with most economic “consensus,” it’s important to look beyond the headlines. This is what respected government bond manager Jamieson…

Conversations on investment matters are wide-ranging. Many enjoy the ethereal world of big picture debates. Identifying these in the long run has been critical, but only a handful matter. Interest rates are the perennial, though rarely has the consensus been right. Over much of the past decade the expectation has been that rates will inevitably…

When COVID-19 found its way to Australia the health advice was to mandate social distancing by closing businesses deemed non-essential and restricting people’s movement. The economic consequences were tragic – both at the aggregate level and because certain industries and occupations were far more heavily impeded. A broad and bold policy response was required, and…

The Inside Network welcomed financial advisers, asset consultants, and family offices from around the globe for its first Equities and Growth Assets Symposium this year. At a packed-out event, some of the brightest minds collaborated and discussed the challenges and opportunities in equity markets at a time when the world is seen to be entering…

After a quick scare in February, which delivered the worst month on record for Australian bond markets and a rare loss for the ‘low-risk’ asset class, markets have quickly normalised. Bond yields continue to retreat despite growing evidence that the global economic recovery is stepping up another gear. Despite this feeling of normality, and perhaps…