“Diversification is dead” has been a common refrain in recent years. Over the last decade, global asset allocators have received complaints from clients who wondered why they were invested in anything beyond the S&P 500 Index, or really any broad measure of U.S. equities, as the U.S. markets outperformed the rest of the world.
Many investors judge ETFs for investment candidacy based just on their on-screen characteristics of assets under management, average daily volume and bid/ask spread. By doing that, they may be ignoring the majority of ETFs out there and potentially missing out on some helpful investment tools.
While the shape of global yield curves is generally relegated to the purview of fixed income strategists and economists, many investors are now starting to take note of not only the level of interest rates but also their relative slope.
From stronger banks to a steeper yield curve and a possible overshoot in inflation−our Japan CEO, Jesper Koll, summarizes the outcome of BOJ meeting yesterday.