QE winners become QT losers
We’ve noted previously that the transition from Quantitative Easing (QE) to Quantitative Tightening (QT) is one of the two important paradigm shifts currently taking place in markets.
Insights
Wages, Wages, Wages
Despite strong domestic job creation, wage growth in Australia remains subdued and is part of the reason we believe the RBA’s policy tightening cycle will lag the US.
One Measure of Fixed Income Risk is at GFC Levels – Should Investors be Worried?
Tamar Hamlyn discusses the current environment of tightening global liquidity and increasing government bond supply, which is having a knock-on effect on domestic liquidity.
Corporate Bonds – More Risk for Less Return
Credit spreads over government bonds should compensate investors not just for default risk but also for other risks such as illiquidity. Gopi Karunakaran discusses how corporate bond markets are currently not providing sufficient compensation for growing illiquidity risk.
Livewire Exclusive – Two asymmetric opportunities
In a Livewire Exclusive video, Gopi Karunakaran discusses how investors make good decisions when uncertain about the future.
Is It Really That Simple?
It’s our view that there is a paradigm shift currently taking place.
Livewire Exclusive – More trouble on the way?
This time last year Tamar Hamlyn shared with Livewire that inflation and volatility charts were the ones he was watching closely. Tamar now shares his thoughts of what to expect from here and what investors can do about it.
LIBOR In The News Again
LIBOR, like the plumbing in your house, tends to only get attention when something goes wrong.
Livewire Exclusive – A dangerous consensus
In a Livewire Exclusive video, Gopi Karunakaran discusses how banks withdrew from corporate bond markets after the financial crisis, and what this means for the US$560 billion in fixed income ETFs around the world.
A paradigm shift for global markets
In a Livewire Exclusive, Gopi Karunakaran discusses why there could be a significant sell off in bond yields in 2018.