In the face of recent performance challenges, many investors are left questioning the merits of an ongoing global macro allocation. Nearly a decade of unprecedented, global monetary easing has driven interest rates and volatility lower–providing limited trading opportunities for macro managers. As market conditions begin to show signs of change, this may create fertile trading ground for macro strategies. Learn more below!
In the third quarter, the U.S. economy enjoyed broad-based improvement across many key economic data points, the strength of which has helped apply upward pressure to interest rates, inflation levels, and near-term sentiment for tighter monetary policy. The strengthening domestic economy has coincided with growing weakness abroad, likely increasing market dispersion and thus potentially improving the investment opportunity landscape.