Historically, the relationship between commodity and equity prices has gone through cycles of relatively low commodity prices followed by great commodity bull runs relative to equities. Are we currently at such an inflection point and what does this mean for how investors may want to position their portfolios?

As we approach election day in the US, the outcome of the US presidential election remains very tight. This month's issue of the newsletter reveals 4 lessons learnt from spending 2 weeks in California that sheds some light on the election and the potential impact on financial markets.

Import tariffs generate inflation, and they slow GDP growth. Politicians still like them as they think they create jobs at home, but that is a myth. Trump has already declared his support and so has Harris, although she has provided few details so far. This translates into 4 years of lower growth whether we end up with him or her.

The evidence is pretty compelling that central banks all over the world, including the Fed, are solidly behind the massive rise in risk asset prices in recent years and therefore also behind the rapidly rising gap between the rich and the poor in society. That dynamic cannot continue forever, though. When will the 'party' end?

Wicked asset classes are defined as asset classes that do not fit into one of the mainstream boxes (stocks, bonds, property, etc.). They typically perform well in late-stage economic cycles and can improve portfolio risk-adjusted returns. One must keep in mind that they are often very illiquid and risky before adding to one's portfolio.

Investors have embraced ESG investing in a misguided attempt to save the planet, and asset management firms take advantage of the misunderstanding by charging above-average fees. Having said that, ESG ratings are not about that but something completely different. Read on to learn more.

Does ESG investing actually generate any alpha or is it just a fad? The opinions are many. We note that, overall, ESG investing seems to generate more alpha in Europe than in the US. Furthermore, the “E” in ESG seems to be more powerful than the “S” and the “G”. Read here for more details.

When you say farewell to free trade with 450 million people in your own backyard and enter a new regime where you at best can obtain the same terms you already had with the rest of the world, things can only go one way. It doesn’t take an Einstein to realise Brexit has been a massive economic own goal.