Private credit is attracting a lot of attention. A combination of higher base rates, a credit margin and illiquidity premium are appealing to investors looking for income.

Private securitisation warehouses, the pre-curser to public asset-backed securities, present a compelling opportunity for investors. Offering a substantial yield pickup over public markets due to their illiquidity and complexity, investors can gain attractive risk-adjusted returns and meaningful portfolio diversification benefits from this sub-asset class. Given its complex nature, it is critical to choose a manager with extensive experience in this market to ensure risks are managed appropriately.

London, 26 June 2024 – Fidante the global multi-affiliate investment management business, reveals the key findings of its survey assessing European institutional investor attitudes to allocating to specialist investment management businesses.

ESG integration within the securitised debt market is not as widely discussed relative to other asset classes and yet there are significant considerations in this space. Identifying ESG issues is important not only when reviewing transactions and the underlying loan portfolios themselves, but also when reviewing the origination processes used by the lender to market these loans and agree terms with customers.

Financial markets are at an interesting juncture, with equity indices at an all-time high and forecast central bank cuts promising relief to wary fixed income investors. Inflationary pressures are moderating, and fears of a major economic downturn seem to have evaporated. For many, the much-desired Goldilocks scenario appears to be playing out.

Dr Joseph Lai, from Ox Capital talks about the global franchises that are attractive right now and why he thinks that China’s equity market is flashing green.

Over the past five years, bond markets have experienced a remarkable transformation that has reshaped the investment landscape. However, from the pandemic to the rising macro-economic pressures of today, fixed income continues to play an important role in portfolio construction. To maximise the benefits of this asset class, it is crucial to understand what has driven this market evolution and where it is likely to head next.

The Magnificent 7 dominated US equity market returns in 2023 but while some continue to thrive, others have experienced negative returns this year. We talk to Alphinity Investment Management’s Jeff Thompson about which of the tech giants still represent good value and more.

Since its inception in the 1970’s, the global asset backed securities market has evolved beyond mortgage-backed assets to include loans secured by autos, equipment, credit card/personal loan receivables as well as high yield corporate loans. As the range of investment opportunities has grown, there is an opportunity for enhanced yield compared to similarly rated corporate credit.