Bond equity correlations: are the times a-changin’?

Bond equity correlations: are the times a-changin’?

  Questioning the persistence of the negative correlation between equity and investment grade fixed income price returns has become relevant and timely because of the intersection of a few topics. First, co-movement of the equity and sovereign bond markets during...

‘Lucking Up’ – until beta fails

Throughout the last decade, barring the most recent COVID-19 sell off, holding equity beta exposure would have been a tremendous strategy. The US equity market delivered a Sharpe ratio of ~1, with most all other asset class benchmarks trailing. At the same time,...
Bond equity correlations: are the times a-changin’?

Extracting the news(worthy) from the noise

Global central banks laboured under increased scrutiny following the Global Financial Crisis (GFC) of 2008. Having embarked on extraordinary monetary policy experiments, it followed that considering shifts in prevailing central bank policy, and extrapolating any...
Bond equity correlations: are the times a-changin’?

On business cycles… and when trend following works

The US just celebrated its longest economic expansion on record, with markets and policy makers anxious about a slowdown in global growth. Given any likely slowdown, investors may want to allocate more to defensive strategies in anticipation of a shift in the economic...
Bond equity correlations: are the times a-changin’?

Packed in like sardines

How crowding in trade flow can adversely affect execution costs Alternative Risk Premium strategies have received investor attention over the past few years and consequentially assets allocated to these strategies have increased. This, in turn, has given rise to a...

Please enter your details below. The ISTrends Fund Fact Sheet will be sent to your nominated email address

* Required
The products, information and other material contained on this website are only directed at investment professionals in Australia. Please note that you will be prevented from purchasing or dealing if you are not eligible for products and services offered within this site. Materials contained within this website have been made available for information purposes only. It does not contain any investment recommendations nor provide investment advice. Neither CFM nor its related entities, directors or officers guarantee the performance of, or the the repayment of capital or income invested. Past performance is not necessarily indicative of future performance. Pursuant to ASIC Class Order 03/1099, CFM LLP, the Investment Manager of the Fund, is exempt from the requirement to hold an AFSL under the Corporations Act. CFM LLP is regulated by the UK Financial Conduct Authority ("FCA") under United Kingdom laws which differ from Australian laws. These financial services are provided only to wholesale clients as defined in subsection 761G(7) of the Act. The information on this website has been prepared on this basis and is for the use of wholesale clients only. It is in no way intended for use by retail clients and should not be distributed to or relied upon by a retail client.
What is a financial services licensee? A person or entity is a financial services licensee if they hold an Australia financial services licence issued pursuant to the Corporations Act 2001