The Changing Rhythm of the Global Economy

Between Stagflation and Growth: The New World Order

This month's list of featured content centres on one theme: the changing rhythm of the global economy. The world is heading towards a new political, economic and, perhaps, financial regime. From mapping the potential path for inflation to exploring the impact of DeFi, this edition is a must read for a deeper understanding of the forces changing the world economy.

Inflation’s Uncertain Path (PGIM)

A new inflationary regime is underway. After decades of low inflation, the world is witnessing a general rise in prices not seen in decades.

Liquidity and Credit Markets (S&P Dow Jones Indices)

This index has been designed to track the most liquid instruments in the high yield universe, offering investors a way to assess the liquidity of this market.

Back to the Future: Positioning For a New Market Regime (BlackRock)

For compliance reasons, this paper is only accessible in the United States

The paradigm that dominated financial markets for more than a decade is changing, and investors must assess how a growing list of risks are impacting their allocations.

Low Volatility Equities in – Another – Turbulent Year (PH&N Institutional)

For compliance reasons, this paper is only accessible in the United States and Canada

Is the positive performance of low volatility equities long lasting or do these stocks do well only during certain time periods?

Emerging Markets And The Rising Food Costs (Franklin Templeton Investments)

For compliance reasons, this paper is only accessible in the EMEA region

Emerging markets seem to be particularly vulnerable to economic shocks from higher food prices. However, these temporary headwinds may not diminish their long-term prospects.

Defi: The Basics (Global X ETFs)

For compliance reasons, this paper is only accessible in the UK & Europe

Decentralised finance, or DeFi, has tremendous potential to disrupt financial services and the broader economy. This will bring new risks and opportunities to investors.

Central Bank Watcher: Work In Progress (Robeco)

As the world is moving away from an accommodative monetary policy regime towards a more hawkish one, investors ought to monitor central bank activity.

Europe’s Stagflation Is Different and Harder to Remedy (Bridgewater Associates)

European economies are facing a scenario of high inflation and low growth known as stagflation. However, Europe's experience this time may be different to previous episodes.

Podcast: An Environment For Long-Short Credit? (MetLife Investment Management)

Given the growing list of uncertainties and the highly volatile market environment, is the "new normal" beneficial or not for long-short credit strategies?

60/40 Portfolio Drawdown is Within Historical Extreme Levels (Price Action Lab)

So far this year, the traditional 60/40 portfolio has not performed well – leaving investors dissatisfied and suffering large losses.