Cross-Asset Valuations_ Risk Premiums Limbo – How Low Can They Go_
-·2025-02-12 02:01
Cross-Asset Valuations M Global Idea Risk Premiums Limbo – How Low Can They Go? Risk premiums can stay tight even if rates move +/-100bp from here. Credit does better than stocks when yields fall, but the macro backdrop and policy mix still favor stocks for now, yet timing is everything. Stay OW in global equities and spread products. February 7, 2025 06:25 PM GMT Key Takeaways Exhibit 1: Equity and credit risk premium 'smiles' – valuations can stay tight as long as rates move within a certain range -1.0 -0 ...