Our long-term return expectations for capital markets serve as key inputs into our strategic asset allocation process for multi-asset portfolios and provide context for shorter-term forecasting.
Eyes remain firmly on the Federal Reserve, which has engineered a landscape of materially higher real and nominal rates.
Look under the hood of sizzling headline inflation, and you’ll see it starting to cool.
Now that yields have reset higher, bonds are positioned to protect portfolios while delivering higher income.
Floating-rate income and the secured nature of senior loans may provide a valuable defense against both rising rates and higher default risk for investors able to stomach short-term volatility.
We believe Voya’s large cap value discipline, which focuses identifying companies with attractive excess capital yield, is a more dynamic and effective valuation mechanism to drive a value strategy, particularly in today’s market uncertainty.
Voya’s replication portfolios seek to bring factor investing to private markets, mirroring the methods popular in public equities.
Adding durable, low-cost external leverage to lower-volatility assets via the FHLB system can be an attractive way to enhance risk-adjusted return potential versus owning higher-volatility assets with more embedded leverage directly on insurance company balance sheets.
Jeff Dutra, CFA, Senior Portfolio Manager of Structured Finance, recently sat down with Greg Goodson, CFA, Portfolio Specialist of Fixed Income, to discuss the current state of the Agency MBS market.
Voya's Unconstrained Fixed Income strategy seeks to produce consistent returns over full market cycles, with low correlations to interest rates and equities.
Following the bond market’s recent beating, term yields have already priced in aggressive Fed rate hikes, positioning core bonds to effectively diversify credit risk. Hear from Chris Wilson, Senior Client Portfolio Manager of Fixed Income, in our latest episode of Voya Views.
The prospect of rising real interest rates favors value versus growth stocks, while moderating economic growth and persistent inflation favor inexpensive stability value names over well-priced cyclicals.
Fear of inflation, which has driven stocks and bonds down in tandem year to date, is expanding to fear of a growth slowdown, potentially leading to a capitulation point. If this shift takes hold, and stagflation risk has been priced in to reach a new equilibrium, it could restore the normal relationship between stocks and bonds.