Which should investors listen to: Fixed income or equities markets?

Explore the latest insights on fixed income and equity markets

Often equity markets tell a different story of where the future may be headed than fixed income markets do – with the latter typically being seen as more considered. But times are changing. Are equity investors correct this time around? Explore insights from the likes of GMO, Vanguard, and Charles Schwab below.

What equity markets say

Will a Weak Dollar Enhance International Returns? (Charles Schwab)

The effect of a stronger euro relative to the U.S. dollar means returns earned overseas in euros exchange into more dollars, which boosts returns for U.S. investors.

Unearthed Opportunity in Growth Equity Impact (M&G Investments)

For compliance reasons, this paper is only accessible in certain geographies

Across the wider growth equity impact sector, due to many funds failing to meet their fund raising targets, a clear funding gap for the sector has progressively developed.

Fading Small-Cap Premium and Softer U.S. Labor Market (Vanguard)

For compliance reasons, this paper is only accessible in the United States

U.S. small-capitalization stocks have underperformed large-capitalization stocks for a decade. Will this trend reverse?

American Unexceptionalism (GMO)

Most investors believe that the U.S. economy is superior to the rest of the world and that the S&P 500 is better than all other groups of stocks. Is this belief correct?

What fixed income markets say

Convergence and Complacency: Today's Credit Markets (Mawer IM)

What is the concept of "convergence and complacency" and why does it matter to fixed income investors in today's environment?

An Open Letter to U.S. Treasury (Convexity Maven)

The state of the U.S. government debt is getting worse and worse. What are investors to do about it?

Treasury Market Creates a Balancing Act (Marquette Associates)

The $5.8 trillion in Treasury bills that must be refinanced annually makes the federal government’s borrowing costs highly sensitive to short-term interest rates.

Emerging Market Debt Stability in a Stormy Year (Manulife IM)

For compliance reasons, this paper is only accessible in certain geographies

Despite uncertainty and volatility, emerging markets’ resilience and performance have impressed market participants, at least so far this year.