Latest insights

Grey swan is an event that is possible and known, potentially extremely significant but considered not very likely to happen.

If the smile measures how the portfolio value reacts to changes in the underlying markets, then maybe we should measure the smiles – and this is what our investment team has been doing.

Perhaps like us, you are a bit frightened about all the news stories and the statistics – the plastic ‘eighth continent’ in the Pacific Ocean, using our natural resources more rapidly than they can be replaced.

As 2022 opened, we all thought of Covid, war, oil prices, transient inflation... What do you see on the horizon now? Wheat supply crisis? Quantitative tightening? Sustained inflation?

Dull, boring, capital goods? Not at all! These companies are the next new thing in our Climate fight. As developers and providers of a wide range of components and automation products, capital goods companies develop the often un-seen products to reduce energy use and other sources of Greenhouse Gas emissions (GHGs).

Sustainable bonds are increasingly used to fund specific environmental and social projects, and other sustainable activities. The growth of the sustainable bonds market has been underpinned by issuance from central and regional governments, supranational organisations and corporates.

After several decades of riding a government bonds bull market, investors are now looking for alternative drivers of return. Commodity Trading Advisor (CTA) strategies, with their ability to make gains in rising, as well as falling markets, have historically been able to improve risk-adjusted returns when introduced to a balanced portfolio. However, a question that investors can legitimately ask today is how are CTAs impacted by rising interest rates?

Distinctly different investments need a distinctly different approach… How can I ‘’do the math” and compare illiquid investments, such as real estate and private debt, with traditional asset classes such as equities and bonds?