Global Fixed Income Strategy June 2017

Monthly insights and updates from the Invesco Fixed Income team.

Jul 2, 2017 | Invesco Fixed Income

June 2017 IFI Global Investors’ Summit: update on IFI’s strategic and regional views

Over 50 investors gathered in London in June for Invesco Fixed Income’s (IFI) semiannual Global Investors’ Summit where we discussed our 12-18 month strategic view of global macroeconomic, credit and market trends. In this issue of the strategy report, we highlight the meetings’ major themes and conclusions and provide our regional macro views. These views serve as key inputs into our investment process over the strategic horizon

Bringing macro themes to markets
Macro themes play an important role in IFI’s investment process, and we have developed a series of quantitative macro models that complement our qualitative investment process. In addition to forecasting macro trends, we use a macro factor framework to identify key macro factors, such as growth, inflation and financial conditions that drive returns among major asset classes, such as duration, credit and currencies. We believe our macro factor framework can help improve asset allocation and the risk-return profiles of portfolios. Below, we discuss some of the major themes that we believe are driving key macro factors and how these themes influence our asset allocation decisions.

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