Industry news and views from Panacea and our partners.

Investment Commentary_

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Columbia Threadneedle: Property – suffering from subsidence or on a solid foundation?


The era of ultra-cheap money has come to an end, inflation and interest rates are rising, recession is waiting in the wings. But is it all doom and gloom?

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Columbia Threadneedle: Are we heading for a Santa Claus rally?


Our Chief Economist, Steven Bell, explains why consumers are raiding their covid piggy banks but warns of a January ‘spending’ hangover.

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SchrodersTV: are we in for a soft or hard landing in 2023?


2022 saw the war in Ukraine, markets reopening after Covid, and a sharp rise in inflation across the world. So, what should we expect from 2023? In our latest Schroders TV episode, our CIO Johanna Kyrklund and Chief Economist, Keith Wade look for the upside risks in the year ahead.

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Schroders: Our multi-asset investment views - November 2022


While greater interest rate stability takes the pressure off equity valuations we remain cautious on the 2023 outlook due to recessionary risks and the threat that these pose to corporate earnings.

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AXA IM: High inflation and flat screens


Inflation is not homogenous. Not everything we buy is going up in price. But the things we need are. Food and energy price inflation is still high and that feeds into pricing dynamics in the rest of the economy.

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BNY Mellon: Could recession lead to job losses?


With a recession looking likely, BNY Mellon Investment Management global chief economist Shamik Dhar assesses how the jobs market could pan out.

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BNY Mellon: Value in investment grade credit?


Jill Hirzel, investment specialist at Insight Investment, surveys the euro investment grade bond space in light of higher inflation, rising interest rates and slowing economies.

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AXA IM: Take Two: US economic growth revised up while Eurozone inflation slows slightly


The US economy grew faster than expected in the third quarter (Q3), while Federal Reserve Chair Jerome Powell said the pace of interest rate rises could ease “as soon as December”.

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Columbia Threadneedle: Relative stability to close out the year


Taking five charts of key indicators, Robert Plant, Portfolio Manager, Multi-Asset Solutions, analyses how they inform us about the future path of interest rates and the likely length and severity of impending recession.

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M&G: Are we there yet? Episode 6 - Why sustainability isn't taking a backseat


Saying that global markets are going through a rough patch is a bit of an understatement. Bonds have recorded their worst losses in decades. We’ve seen heightened market volatility. And inflation is wreaking havoc on economies around the world.

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Jupiter AM: Navigating a new world


Our latest investment outlook brings together expert views and analysis from our top fund managers as they look ahead to the opportunities and challenges in 2023.

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Jupiter AM: Outlook 2023: Asia Pacific – Home to a wealth of world-class businesses


What can we expect from Asia Pacific (ex Japan) markets in 2023? Jason Pidcock and Sam Konrad give their views and discuss the key attributes they look for in companies.

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AXA IM: Independence Days


COP27 was disappointing. No additional emission reduction ambition has come up. The agreement on providing financial help to developing nations towards their transition is big on principles but light of actual commitments and dependent on yet another future deal.

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T. Rowe Price: After Goldilocks, Which Bear (Market) Will Prevail?


The U.S. economic outlook remains highly uncertain, but we believe the environment will begin to reveal itself more clearly—good, bad, or somewhere in between—by the end of 2022. This does not necessarily mean that markets will be quick to respond, and discount appropriately, but we should gain a reasonable idea about how the dust is settling in the U.S. reasonably soon. With the next Federal Reserve (Fed) interest rate?setting meeting on December 14, there is one further inflation print to be released before that time. With the latest U.S. inflation data coming in below expectations, this remaining data point takes on added significance.

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Schroders: Outlook 2023: Global and thematic equities


Although markets are likely to remain volatile, there is light at the end of the tunnel for investors.

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Schroders: Podcast: Are we really on a "highway to climate hell"?


Can we get off the "highway to climate hell"? After attending COP27 Maria Teresa Zappia, Deputy CEO of Blue Orchard, sees challenges and opportunities. Listen to Maria Teresa and Schroder Capital's climate specialist Holly Turner give their verdict on COP27 on the latest Investor Download.

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Columbia Threadneedle: UK autumn statement: bleak times


The Bank of England, the Office for Budget Responsibility and most outside forecasters agree that the UK is on the brink of recession. The textbook response would be a fiscal stimulus. Yet the new chancellor, Jeremy Hunt, announced on 18 November the exact opposite: a major fiscal contraction with higher taxes and lower spending. His predecessor Kwasi Kwarteng’s ill-fated mini-budget was characterised as pressing down on the accelerator just as the Bank of England were hitting the brakes; we now have both the fiscal and monetary authorities hitting the brakes hard just as the economy suffers a huge headwind from higher food and energy prices. Tough times indeed.

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M&G: After the storm: seeking opportunities in bond markets


Following a significant repricing in fixed income markets this year, corporate bond yields are trading at multi-year highs, while credit spreads are pricing in a severe recession. We believe this reflects an excessively gloomy outlook and that most companies should be well-placed to withstand even a protracted economic slowdown.

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Allianz Global Investors: 2023 Outlook: ready for reset


The shift we are seeing in markets feels momentous. Money has a cost again and there may be alternatives to equities. But does this simply represent a return to “normal” financial conditions after an extended period of ultra-low interest rates and well-behaved inflation? Or is there something uncharted about the territory ahead? As markets adjust and begin to stabilise, we think potential opportunities may emerge for investors in 2023.

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Fidelity Adviser Solutions: Talking Points – the latest technical insights in one place


Navigating the more intricate areas of financial planning can be a challenge. Here a is summary of Fidelity Adviser Solutions latest insights, including phased drawdown vs. UFPLS, sustainable pension withdrawal rates, the cost-of- living crisis affecting the mood of clients, and much more.

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Rathbones - The Sharpe End podcast: TechNoBeats


With all the shenanigans since our last episode, is the UK now a relative beacon of political stability? If so, does that move the dial for the prices of British assets? The Rathbones’ multi-asset team explain why capital discipline and the resiliency of ad revenue are the order of the day for them given recent weaker earnings from the US tech giants. Finally, do political shifts in China change the long-term picture for investing in the country?

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Rathbones In the KNOW blog: The Naked Coin


The implosion of one the largest crypto exchanges will be a massive shock to many holders of digital assets. Head of multi-asset investments David Coombs remembers a reality check of his own from 10 years ago.

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Columbia Threadneedle: There’s no such thing as a risk-free lunch


In this update we provide an overview of asset allocation and cast our eyes forward to 2023.

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Allianz Global Investors: Mind the (Recession) Gap


The global economy faces major headwinds. Many earnings estimates have yet to reflect this potential economic deceleration. Yet while markets have become intensely focused on the short-term, select opportunities exist for diversified active managers.

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Rathbones In the KNOW blog: Can ‘quality’ stocks deliver recession resilience at a reasonable price?


Slowing economic growth, high inflation and rising interest rates are weighing heavily on global equity markets. Favouring different equity ‘styles’ is one way to try to protect portfolios. Head of equities Sanjiv Tumkur explains that stocks with strong ‘quality’ characteristics tend to outperform in economic slowdowns. So what defines a ‘quality’ company?

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Schroders: Three challenges new PM Sunak faces to steady the UK ship


Conservative MPs have installed Rishi Sunak as the new UK Prime Minister. But he now faces the difficult challenge of reassuring investors, reuniting his party and regaining voters’ trust.

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AXA IM: Three reasons why social investing will be a driver of long-term sustainability


As well as being a tragedy for the local population and the sombre geopolitical ramifications, the war in Ukraine is likely to have a significant impact on the European economy, jeopardising its recovery just as it was finally extricating itself from the pandemic.

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Rathbones In the KNOW blog: Mopping up the greenwash


Working the doom-scrolling nightshift sends Rahab Paracha deep into the metaphorical forest on the problem of ‘greenwashing’. Rathbone Funds multi-asset investment specialist looks at the regulator’s proposed new rules to stamp the practice out among fund managers.

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Baillie Gifford: Seizing advantage in emerging market bonds


Extreme moves in emerging market bond prices are often coupled with high income for long-term investors. Such opportunities are rare, but our emphasis on sustainability could allow us to take advantage, explains Baillie Gifford’s Investment Manager Mindaugas Lepeska. Capital at risk and income not guaranteed.

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Jupiter AM: Crunch time


Ariel Bezalel and Harry Richards say concerns over financial stability risks and lower growth may eventually force central banks to pivot, which must augur well for long-term investors.

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Schroders Adviser Survey - Annual Adviser Survey


Thank you to those who have already taken part. Each year, our adviser survey helps us to better serve your needs.

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AXA IM: Back to the 1990s


Investors’ propensity to hope for an imminent “dovish pivot” – although it was defeated again by robust US payroll data last week - reflects a habituation to the regime of the last 20 years, when central banks could come to the rescue of the real economy and the market, since their primary mission – price stability – was fulfilled irrespective of cyclical conditions thanks to powerful structural forces.

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Jupiter AM: Alternatives come to the fore


Why have equities (company shares) and bonds (government or corporate debt) generally fallen in price, during the first nine months of 2022? The main reason is that central banks have aggressively raised interest rates.

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M&G: What progress has been made since COP26?


In November 2021, the COP26 conference brought world leaders together to discuss climate change and accelerate action towards the goals of the Paris Agreement. With the COP27 conference in Egypt fast approaching, we look at the progress that has been made, and the challenges that have arisen, in the past year.

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M&G: A world of opportunities awaits us


There is no use predicting market turns or keeping your eye on the price index. For the medium-to-long-term investment period we recommend, it is high time to put together a strong, diversified portfolio – while keeping a portion of liquid assets.

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Allianz Global Investors: Why tech investors should keep an eye on China and the Fed


Don’t be distracted by the recent well-publicised earnings misses of several tech-sector and tech related giants – stocks did well in October overall. There are larger geopolitical, macro and company-specific factors at play that call for a nuanced approach to technology and tech-related stocks.

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Square Mile Research: Most searched for fund group in Q3


Square Mile’s Q3 MI Report is now live! Find out what’s been peaking their Academy of Funds user's interest this quarter. From most searched for fund groups, to the most popular funds,

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BNY Mellon: Challenge and opportunities in global equity income investing


Jim Lydotes, the deputy CIO of Equities and the head of the income team at Newton Investment Management assesses the outlook for equity income investing globally.

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M&G: UK inflation outlook, Ben Lord


Watch Ben Lord exploring potential strategies for navigating the current high inflation environment in the UK.

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Jupiter AM: Macro Monitor: Governments put their bond markets in the firing line


The team managing the Jupiter Strategic Absolute Return Bond strategy analyses how fiscal and monetary responses to high inflation and energy prices are shaping the global economic outlook.

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