Quarterly Outlook
Equity outlook: The high cost of global fragmentation for US portfolios
Charu Chanana
Chief Investment Strategist
Althea Spinozzi
Head of Fixed Income Strategy
Summary: We expect three themes to threaten the tranquility of fixed-income investors in the final quarter of the year: persistent volatility in emerging markets, political tension in the European Union, and finally the constant tightening by the Federal Reserve which will start to destabilise US high-yield corporate spreads.