Credit Strategy (Global)

Viktor Hjort

Thematic (Sector/Industry)

United states / Thematic (Sector/Industry)

In short: This cycle is maturing but probably have more to run. For asset allocation it matters hugely exactly how mature the cycle is. Our cycle indicator suggests it’s late, but that there’s room, and indeed likelihood, for the cycle to grow even more extreme before the next major downturn.  Investment view:  Macro asset allocation: (1) long equities, (2) neutral bonds/duration, (3) short credit.

In short: This cycle is maturing but probably have more to run. For asset allocation it matters hugely exactly how mature the cycle is. Our cycle indicator suggests it’s late, but that there’s room, and indeed likelihood, for the cycle to grow even more extreme before the next major downturn.  Investment view:  Macro asset allocation: (1) long equities, (2) neutral bonds/duration, (3) short credit.

Credit Strategy: Late Cycle Yes, but How Late Exactly?