Gilts underperform as FTSE reaches record high; Declines in FX and equity volatilities reduce portfolio risk
Last week, we saw British government bonds underperform their US and German peers, while the same-maturity Treasury and Bund rates fell.
Pound takes a hit as political uncertainty increases; Portfolio risk rises as stocks and FX become less negatively correlated
Last Friday, we observed how the British pound dropped 1.2% versus the US dollar, as uncertainty increased around the outcome of the UK general election on June 8.
Brazil’s Risk Jumped, But Did Not Breach Historical High Levels
We find that Brazil’s risk, while up sharply, is no higher than it has been in recent years, nor is its overall contribution to risk.
Identifying Sector Risks and Opportunities, Technology Edition
Over the next few months we will be producing a series of reports that focus on risk characteristics of US sectors. The first sector we dove into was Information Technology.
Treasuries outperform Bunds and Gilts as political risk increases; Currency risk rebounds as the euro surpasses pre-US election levels
This week, we observed how US Treasuries outperformed their European counterparts amid rising political risk.
Tight credit spreads: should you be worried?
Recent surveys by CFA UK and Bank of America Merrill Lynch (BAML) highlight a growing nervousness among investors about the impact of further Fed rate hikes on fixed income assets.