In our March Central Bank Watcher we stated that bond markets had more eye for the 'flation' than the 'stag' side of stagflation, as they absorbed recent shocks related to the war in Ukraine and ongoing supply chain disruptions. This emphasis of concern persisted for most of March and April, but a shift in focus has recently become apparent. Pricing of Fed rate expectations, for instance, had been moving at an ever-accelerating pace but has now stabilized, after some push back from Fed chair Powell. Another example comes from the Bank of England, whose May rate hike was smaller than expected and was accompanied by a warning that the UK economy could slide into a recession. To be sure, the attentiveness to ‘flation’ has not faded, but growth risks are clearly in focus as well.
That shift in emphasis is evident mainly in markets where central banks have already started hiking rates. In the Eurozone, where net QE has not yet ended, the debate is now adjusting toward evaluating an earlier start to the ECB hiking cycle. Who knows how long the window of opportunity for hike rates will remain open.
Rate hikes also look unavoidable for many Asian countries – but not for the PBoC and BoJ. There we expect the continued pressure to ease (PBoC) or for the stance of unchanged policy to be maintained (BoJ), reflecting economic challenges and much more modest inflationary pressures.
The information contained on these pages is for marketing purposes and solely intended for Qualified Investors in accordance with the Swiss Collective Investment Schemes Act of 23 June 2006 (“CISA”) domiciled in Switzerland, Professional Clients in accordance with Annex II of the Markets in Financial Instruments Directive II (“MiFID II”) domiciled in the European Union und European Economic Area with a license to distribute / promote financial instruments in such capacity or herewith requesting respective information on products and services in their capacity as Professional Clients.
The Funds are domiciled in Luxembourg and The Netherlands. ACOLIN Fund Services AG, postal address: Affolternstrasse 56, 8050 Zürich, acts as the Swiss representative of the Fund(s). UBS Switzerland AG, Bahnhofstrasse 45, 8001 Zurich, postal address: Europastrasse 2, P.O. Box, CH-8152 Opfikon, acts as the Swiss paying agent. The prospectus, the Key Investor Information Documents (KIIDs), the articles of association, the annual and semi-annual reports of the Fund(s) may be obtained, on simple request and free of charge, at the office of the Swiss representative ACOLIN Fund Services AG. The prospectuses are also available via the website www.robeco.ch. Some funds about which information is shown on these pages may fall outside the scope of the Swiss Collective Investment Schemes Act of 26 June 2006 (“CISA”) and therefore do not (need to) have a license from or registration with the Swiss Financial Market Supervisory Authority (FINMA).
Some funds about which information is shown on this website may not be available in your domicile country. Please check the registration status in your respective domicile country. To view the RobecoSwitzerland Ltd. products that are registered/available in your country, please go to the respective Fund Selector, which can be found on this website and select your country of domicile.
Neither information nor any opinion expressed on this website constitutes a solicitation, an offer or a recommendation to buy, sell or dispose of any investment, to engage in any other transaction or to provide any investment advice or service. An investment in a Robeco Switzerland Ltd. product should only be made after reading the related legal documents such as management regulations, prospectuses, annual and semi-annual reports.