Allocation

During the initial phase of the turnaround in high-risk American assets, equities and high yield moved very similarly. In contrast, since mid-2012, equities have been accelerating more quickly, outpacing the credit market by a decent margin.

Petercam’s Peter de Coensel has increased his exposure to financial bonds as the asset class offers safety and value from a credit perspective, the manager said.

Announcement that the Saudi cabinet has approved plans to open up its stock market to foreign financial institutions in H1 2015 is a long-awaited step towards MSCI EM index inclusion.

According to Goldman Sachs, the likelihood of a rise in government bond yields has increased and Goldman Sachs see this as a key aspect of the near-term macro outlook...

Latest research argues that the Australian superannuation industry could be further strengthened by the development of an industry-led reporting standard and certification scheme.