In the aftermath of the Covid pandemic’s initial onslaught, central bankers proved their policy toolkit had not – as feared – been exhausted by the great financial crisis of 2008-09 and its aftermath. Furthermore, the experience of combating the GFC taught them to deploy that tool kit quickly and decisively. But, especially in the case of the US and Europe, those central bankers were slow to dial back their support as the global economy rebounded from the initial shock of the pandemic. Many now stand accused of stoking inflationary pressures. With inflation hitting multi-year highs in the US and Europe and fiscal discipline in many countries now honored mainly in the breach, central bankers face a new set of challenges.
Since the start of its ETF purchasing program in 4Q10, the combined value of the Bank Of Japan’s (BOJ) domestic ETF holdings has ballooned to over $450 billion. It owns over 5% of the total market capitalization of the TOPIX index and, by some estimates, has acquired 70% of the total ETFs eligible under the terms of its current program.
The first quarter of 2021 saw the global reflation vs. inflation story develop. February brought with it a record number of flows into equity funds and as we move through March, our research team continues to compile EPFR-tracked fund flows and allocations data to ascertain whether global reflation will trigger higher-than-expected inflation.
Join EPFR Director of Research, Cameron Brandt, Forbes Columnist, Kenneth Rapoza and EPFR Manager of Quant Strategies, Steven X. Shen, CQF as they discuss how managers are navigating retail currents, geopolitical reefs, the pandemic tide and rebalanced ballasts, the debate about China’s future as an asset class, and the economic relationship between China and the US in our latest webinar playback.
The final two months of 2020 should resolve what flavour of political leadership the US will enjoy for the next four years and whether the next stage of the UK’s relationship with the EU includes a trade deal, as well as providing a better fix on the timing of any COVID-19 vaccines.
Predictive power of EPFR: a Quants perspective Our webinar demonstrates the ‘predictive power’ of EPFR Fund Flows and Allocations data. Our event, hosted by our EPFR Director of Research – Cameron Brandt and our esteemed Quant team, Vik Srimurthy, Steven Shen and Sayad Baronyan provides a walkthrough of the EPFR…
EPFR Market Intelligence Fund Focus EPFR Director of Research Cameron Brandt and EPFR Mutual Funds & ETFs Subject Expert Steve Muzzlewhite discuss the fund manager allocations driving global markets and how we see yield hunger developing in the months ahead.
EPFR Research Director, Cameron Brandt, and Quantitative Analyst, Sayad Baronyan, look at policy moves and their impact during the COVID-19 pandemic.
China is ahead of the rest of the world in its financial recovery. But, what, if anything, can we learn from China’s recovery path to date? How is China’s recovery going to impact the wider global economies?
At the end of February, China’s average share of EPFR-tracked Global Emerging Markets Equity Funds exceeded 30% for the first time. The milestone is another reflection of China’s growing importance for both equity and fixed income fund managers, as well as efforts by Chinese authorities such as the Shanghai-Hong Kong stock and bond connections to open up their capital markets to foreigners.