Credit cycles happen. Defaults happen. But negotiated loan structures, lender protections and long-term capital make private credit uniquely resilient
High concentration makes it hard for diversified active portfolios to outperform. While the mega-caps include great businesses, active strategies may avoid or underweight popular stocks over concerns about valuations, business models and interrelated risks, or because of regulations on weighting individual holdings.
China’s “anti-involution” policy to tackle deflation, announced in 2024, is still in its early stages. Some effects are already visible, but compared with China’s last deflation fight in 2014–2015, the policy may take longer to work, in our view.
As policy priorities evolve, Japan’s focus on “responsible fiscal expansion” could reshape bond dynamics.
The consumer sector was in sharpest focus during the conference. That wasn’t surprising, given the negative headlines surrounding fraud allegations at subprime auto financer Tricolor Auto Acceptance and its subsequent bankruptcy filing.
Register now and join AllianceBernstein’s fixed-income experts as they discuss how to navigate today’s shifting market landscape.
Stocks have surged since their April lows, with demand especially high for higher-risk equities and technology stocks—including those issued by firms with unproven profitability. But economic growth is slowing, and trade-related uncertainty has yet to be resolved.
Technology stocks have continued to benefit from enthusiasm over the transformative potential of artificial intelligence (AI). Yet many investors are concerned that share prices and valuations may reflect overly exuberant earnings expectations.
By contrast with traditional discretionary approaches, systematic fixed-income models are exclusively data-driven and operate autonomously—ranking securities, constructing optimized portfolios and managing risk without traditional inputs or discretionary overlays.
Over the last few years, the US housing market has defied expectations as prices, helped by constrained supply, have remained resilient—despite high mortgage rates and affordability challenges for homebuyers. But the outlook appears to be darkening, with recent headlines seizing on potentially adverse trends.
Bond issuance linked to environmental, social and governance (ESG) purposes dipped in the first half of 2025 following a strong second half in 2024. But we expect issuance of ESG-labeled bonds will pick up for several reasons.
AI is a potential boon to healthcare companies, but business fundamentals—not the latest science—are the true test of staying power.
How can investors navigate the diverse, dynamic field of corporate and asset-backed opportunities?
Water scarcity, supply-chain risk and board-level decisions underscore the importance of a stewardship lens.
Blended finance has the potential to transform overlooked markets into investable opportunities.
Companies with dependable growth profiles might be just what equity portfolios need in turbulent times.
Earnings expectations for the Magnificent Seven (or Mag Seven) mega-caps remain optimistic, but profits may face pressure as spending rises. Equity investors should carefully evaluate each of the mega-caps while searching across other sectors for solid sources of profitable growth.
How should investors think about integrating private credit into their portfolios?
When equity markets rise to record highs, it’s natural for investors to feel a twinge of anxiety about putting more money into stocks. The fear of an impending correction often looms large.
It’s a deeply ingrained investing maxim that risk and return go hand in hand: to get more return, you must accept more risk.
The adage “don’t borrow trouble” advises us against distressing over problems yet to occur. But we don’t think it should apply to retirement planning. In fact, digging into what concerns DC plan participants now may help them avoid retirement pitfalls down the road.
Director elections can be a powerful tool for investors to weigh in on ineffective boards.
Finding attractively valued stocks that can overcome evolving conditions requires a new mindset.
As their share price patterns diverge, selectivity among the US mega-caps is paramount.
Revamped insurance regulations could bring securitized investments back into play.
Elevated yields and conservative balance sheets are helping high yield stay resilient amid trade uncertainty.
As investors re-evaluate their allocations to US assets, we think they should consider euro-denominated bonds.
The first step toward offering participants lifetime income is to address misperceptions.
Trend-following may struggle in range-bound markets, but it’s not the only macro approach.
Efforts to reduce the central bank’s autonomy would likely disrupt markets.
Our research suggests that firms with sound executive pay practices yield healthier returns.
Policy shifts may create an incentive to diversify.
Technology offers plan sponsors powerful retirement planning and engagement tools.
Income-seeking equity investors don’t need to sacrifice growth to capture the power of dividends.
We’re not surprised by the macro and market resilience, but it’s too soon to say we’re out of the woods, especially as the impact of uneven fiscal policy comes into sharper focus. Opportunities are out there, but context and discipline are critical.
Volatility often evokes emotional responses from investors. Two big sell-offs in early 2025 reminded us why it’s important to fight those responses and stay invested through downturns.
Many advisors undercharge out of fear, but increasing fees to match your value strengthens client relationships and ensures you’re rewarded for the services you provide.
Compelling bond yields and diverging equity returns offer building blocks for effective strategies.
As the second half gets underway, we think a modest overweight to risk assets is called for.
Investors looking for cash flow from commercial real estate may want to check out the debt side.
Some say private credit hasn’t been tested. We disagree…and stress can sharpen the senses.
The US economy is important, but it’s not the only one in a global approach.
This year’s formidable challenges have clarified strategic lessons for equity investors to apply in the coming months
Newsflow and misperceptions can obscure the drivers of profit growth—especially during a volatile year like 2025.
Market concentration rewarded passive investors who held market weights in the surging mega-caps. Since late 2014, passive index returns ranked in the 10th percentile of all portfolios in eVestment’s US Large Cap Growth Equity universe. In other words, only 10% of active managers outperformed.
Fixed-income investors concerned about tariffs and US exceptionalism may find opportunities in hedged global bonds.
In this latest installment of the AB Disruptor Series, we’ll look behind the algorithms and output to examine the critical ecosystem that underpins AI. We’ll explore the key links in the AI supply chain—from raw materials and semiconductors to data centers and energy demand—and why they matter to investors. And of course, we’ll also look at how geopolitics, trade policy and tariffs are reshaping this landscape, creating both risks and potential across the value chain.
A new culture of reform at Japanese companies offers exciting potential for equity investors.
Systematic fixed-income investing is attracting increased attention but needs specialist skills and resources. Would your manager have what it takes?
