Global Economic and Investment Outlook Q1 2018:
A Delicate Balance
The global economy enters the new year firing on all cylinders. With inflation subdued, risk free rates remain low, encouraging risk taking and a search for yield. This “Goldilocks” environment has been highly asset price supportive. However, monetary policy is tightening and asset valuations leave little room for disappointment. This delicate balance puts investors in a difficult position.
In this report we outline our macro and market outlook for 2018, including our views on global high yield and private credit markets.