Fund managers warn of lacklustre returns for 2022

Fund managers warn of lacklustre returns for 2022

Fund managers warn of lacklustre returns for 2022 Record high share prices, anaemic yields from bonds and the spectre of inflation threaten to deliver meagre returns for investors in the coming year, global fund managers have warned. The spellbinding pandemic sharemarket rally that has pushed the MSCI All Country World Index of global equities almost a third above its pre-pandemic peak, and nudged Australian blue chips to a record this year, has dimmed the outlook for further gains in 2022. Time is almost up on rock-bottom interest rates among central banks around the world, and the record levels of quantitative easing that have extended a four-decade rally in the bond market are in wind-down mode. The dynamics mean that a typical 60/40 portfolio split between Australian stocks and bonds is …
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