Clear tailwinds are gathering behind equity markets, providing an upbeat outlook for stocks in 2025.

Capital Group’s paper highlights the importance of active management and bottom-up fundamental research in effectively navigating the multifaceted emerging market debt (EMD) landscape.

As inflation eases and central banks around the world cut interest rates, the outlook for the global economy remains decidedly mixed heading into the new year.

According to Capital Group’s Damir Bettini, all-in yields on global investment grade credit of between 4.5% and 5%, for an asset class that is A-minus rated on average, seem attractive.

Given the change in US leadership, separating the winners and losers of Trumponomics 2.0 is front and centre for many investors.

Trump’s mercantilism could spell instability, says Capital Group.

In the wake of Donald Trump’s victory in the US presidential election, Capital Group shares analysis from portfolio manager Kirstie Spence on the impact on emerging markets, focusing on expansionary fiscal policy and potential protectionism/tariffs.

Capital Group’s latest Ahead of the Curve paper examines opportunities for fixed income investors in what is likely to remain a positive environment for the asset class.

Trump’s key policy issues, such as tax cuts, higher tariffs and immigration curbs, may come faster than expected — potentially in the early months of 2025, says Capital Group.

As markets have recovered, the fresh opportunity to get invested is clear — and sitting on cash-like holdings should have less appeal.

If past trends are any indication, 5 November could be just the beginning, says Capital Group.

AI is touching almost every corner of the global economy – but what are the implications for ESG issues?

Don’t let uncertainty get in the way of your long-term investment goals, says Capital Group – here are five opportunities to consider as the Fed pivots to interest rate cuts.

What direction could equity markets take from here? Will they continue on a narrow path - led by large-cap tech stocks - or is there potential for a wider range of opportunities?

Certain resource constraints could prevent AI growth rates from meeting lofty expectations, but the bottlenecks might not be where you expect, says Capital Group.

In the wake of China and India’s dominance, smaller ASEAN countries have slipped under the investment radar and valuations in select companies look increasingly attractive. 

Capital Group’s Jens Søndergaard examines what the outcome of the US election could mean for EM currencies through the impact on tariffs, sanctions, US fiscal policy, unorthodox economic policies and immigration.

With risks to growth building, Capital Group expects the ECB to bring forward cuts in its policy rate, meaning the easing cycle will likely be quicker and more aggressive than previously thought. 

In the 2008 film The Curious Case of Benjamin Button, the title character ages in reverse – oddly enough, Capital Group’s Jared Franz thinks the US economy is doing something similar.

John Emerson, geopolitical analyst and vice chair of Capital Group, shares his insights on the upcoming US Presidential election, including key factors to watch, potential outcomes, and how investors can navigate uncertainties.

Capital Group fixed income portfolio manager Timothy Ng and economist Jared Franz delve into the Federal Reserve’s recent action and analyse potential implications for interest rates, broader fixed income markets and the economy.

Capital Group believes that hyperconcentration in the US stock market may be nearing a peak.

Following events that began to unfold in 2022, Capital Group believes we are now in a market cycle marked by structurally higher interest rates, more volatile inflation, and elevated geopolitical tensions.

Bonds now offer compelling investment opportunities alongside continued lower inflation and central banks entering the easing cycle, says Capital Group.

Historically, pivots in monetary policy have significantly impacted market returns and, as such, Capital Group believes they warrant a rethink of investors’ defensive allocations.

A great deal of market commentary over the past several months has focused on the potential for the US economy to achieve a “soft landing.” What exactly is that?

Against a backdrop of heightened enthusiasm for AI, Capital Group’s Chris Buchbinder, Equity Portfolio Manager, assesses the outlook for the sector, drawing on his experiences of the 1990s tech boom to put AI fever into perspective. 

Capital Group explores three investment ideas from the latest round of earnings reports.

Although our base case remains for a soft landing, it is important to keep an open mind, given the extraordinary events of the past few years, says Capital Group.

This November is shaping up to be one to remember. Watch veteran political commentators Matt Miller and Reagan Anderson debate how the revised race is developing, and the lessons investors can learn from election history.

An excerpt from equity portfolio manager Mark Casey’s unscripted discussion with Capital Group’s CEO Mike Gitlin about his investment approach and lessons learned over a long career in Silicon Valley.

Capital Group equity portfolio manager Chris Thomsen discusses opportunities he is currently seeing across India, the Philippines, Vietnam and Indonesia.

Portfolio managers Rob Lovelace and Noriko Chen discuss the dynamics shaping world markets and where they see the greatest opportunities.

Investor enthusiasm for artificial intelligence has gripped the financial markets and shows no signs of loosening its hold.

Capital Group political economist Talha Khan shares his views on the political shifts taking place across Europe and also discusses the upcoming US Presidential election and its potential impact on Europe.

Join portfolio managers Brad Freer and Arthur Caye as they discuss evolving dynamics in emerging market equities, and how investors should think about allocation to the asset class.

Capital Group investment analyst Jason Zhang discusses the key characteristics that make China so dominant in the EV space and whether the country can maintain its leading position in the face of growing scrutiny.

Capital Group’s perspective on how shifting expectations for rate cuts may impact bond yields, plus where to find relative value among bond sectors.

As investors, we must face up to a new reality of investing and consider fresh scenarios. What does this mean for the market outlook?

Capital Group portfolio manager Damien McCann explains why he expects resilience to continue, and discusses the opportunities he sees in multi-sector credit portfolios.

Capital Group CEO Mike Gitlin interviews EMD veteran Kirstie Spence, who explains how this asset class has evolved, and why she travels the world searching for investment opportunities.

After a strong rally in the first half of the year, stocks appear to be headed into the second half with a powerful tailwind and an even brighter outlook.

India’s incumbent Prime Minister Narendra Modi secured a third term, but the race was tighter than expected, creating some uncertainty about the country’s direction over the next five years.

The United States, flexing its muscles as the world’s largest economy, is once again serving the critical role of global growth engine.

As long-term investors, Capital Group looks far beyond quarterly earnings, but also pays close attention because they can reflect underlying trends.

Meta’s dividend initiation this year appears to have changed the payout paradigm for Big Tech companies.

“Whether it’s biotechnology or medical devices, there has always been an important moment that has changed how investors view a new technology or therapy,” says Capital Group’s Rich Wolf.

Capital Group’s Darrell Spence, Economist, sees three solid reasons to keep the federal funds rate right where it is throughout 2024.

Despite intensifying concerns around deindustrialisation, German manufacturing is quickly adapting to the new economic paradigm.

Capital Group explores whether generative AI has launched a lasting megatrend, or whether its potential been greatly exaggerated.

The current high level of yield available in investment grade corporate bonds provides an unprecedented opportunity to lock in attractive income and returns for years to come.

Capital Group’s portfolio managers and analysts are scouring the world for enduring trends that have the potential to transcend individual sectors and impact the broader investing landscape for years to come.

Based on recent statements from Fed governors, the most realistic scenario appears to be that the central bank will begin tapering the QT programme in June.

Capital Group’s veteran politics watcher John Emerson discusses how the picture is taking shape ahead of the US elections in November, and casts an eye over other polling activity around the world.

Governments, regulators, companies and consumers are rethinking the way food is produced and consumed in an increasingly resource-constrained world. Innovation and disruption are already happening and is set to accelerate over coming years.

Historically, these pivots in monetary policy have significantly impacted market returns and, as such, warrant a rethink of investors’ defensive allocations.

Demographic changes have major implications, says Capital Group’s Jarez Franz.

Politics can bring out strong emotions and biases, but investors would be wise to put these aside when making investment decisions, warns Capital Group.

Capital Group explores friendshoring – a deliberate policy decision to encourage trade with friendly neighbours at a time when geopolitical tensions are increasing around the world.

Capital Group’s Matt Reynolds outlines some of the key investment opportunities that are being unlocked by technological breakthroughs across a patient’s journey.

As the Fed appears to be pivoting to a more dovish stance, potentially leading to an easing of financial conditions, the outlook for small cap stocks is brightening.

With flooding, storms and extreme heat becoming more frequent and severe, the weather looks poised to play an even more prominent role among investment considerations.

A daily diet of negative news can make the most experienced investors  lose conviction in their long-term investment plans – but here are five reasons why Capital Group is confident about the future.

As the Federal Reserve (Fed) appears to be pivoting to a more dovish stance, potentially leading to an easing of financial conditions, the outlook for small cap stocks is brightening.

Capital Group’s fixed income analysts outline what the changing macroeconomic environment might mean for banks, as well as the key opportunities and risks facing the sector.

Portfolio manager Rob Lovelace offers his view on where markets are headed, the rise of the Magnificent Seven, the interest rate environment, and select investment themes driving his portfolio decisions.

Quarterly macro and market insights from Capital Group’s fixed income team.

… some caution is warranted, says Capital Group.

With inflation falling and the Fed signalling an end to its historic tightening cycle, the landscape for bond investors is beginning to look much clearer.

As AI continues to proliferate, Capital Group has produced a framework to clarify the opportunities.

Whatever is in store for investors in the year ahead, Capital Group has five keys to keeping long-term plans on track in 2024.

Innovation remains a critical driver for success today.

What comes next?

Whether it’s the rapid expansion of disruptive technologies or shifts in strategic relationships, change provides a wealth of investment opportunities.

Capital Group outlines the global backdrop that emerging markets (EMs) can expect in 2024. 

Prepare for changes in the investing climate, says Capital Group.

Time for diversification – a strong corporate earnings rebound could be the tailwind that drives stock prices in 2024.

A mixed picture for global growth in 2024. 

Flavio Carpenzano, Investment Director, explains why Capital Group thinks IG credit provides the better opportunity.

Will European consumers be interested in buying Chinese EVs, and will China’s automakers slash prices to grab market share?

Capital Group’s analysis shows that investors would be well served by diversifying into stocks once interest rates peak.

The time-honoured relationship between stocks and bonds has broken down over recent years, but there are encouraging signs of its eventual return.

The knowledge economy, or digital trade, is gaining momentum, and this is giving rise to a new breed of idea-driven global giants. 

Capital Group shares why they believe in the value of fixed income in portfolios, and how bonds should be viewed in this different world.

Capital Group’s analysis points to one clear implication: the importance of investing in fixed income despite ongoing uncertainty. 

Fed’s 2% inflation target could be delivered early, says Capital Group economist Jared Franz.

Fixed Income Perspectives Q4 2023: quarterly macro and market insights from Capital Group’s fixed income team.

Focus on finding idiosyncratic company and sector opportunities against an uncertain backdrop. 

An appealing entry point for global rates exposure, given uncertainties around the global macroeconomic backdrop. 

Considering material ESG risks and opportunities helps shape Capital Group’s research and analysis of sovereign issuers. 

We need to talk. 

Stocks and bonds stumble on rising rates.

Soaring inflation and sharp shifts in equity market leadership have taken their toll – how are these market events playing out in the ESG arena? 

Distinct valuation ‘eras’ can be seen in stock markets across the decades, typically driven by broader macro trends. 

A sector for all seasons: global investment grade corporate bonds should once again offer relative stability and diversification to risk assets.

The most important question for investors is not how high will rates go, but how long will high interest rates last? 

Mike Gitlin, Incoming President & CEO believes we’re on the cusp of a major transition.

Nine things you need to know. 

Will reforms further unlock stock valuations?

With starting yields at levels between 5.5% and 8.5%, the stage is set for positive total returns over the longer term.

ESG integration has become a valuable aspect of investment idea generation, research and analysis. 

FIxed income portfolio managers Damien McCann and David Daigle offer their thoughts on compelling investment opportunities as the economy and the Fed near a pivotal phase. 

Capital Group’s Haran Karunakaran explores whether we are at an inflection point where it makes sense to shift back into fixed income.

Just seven companies have kept the S&P 500 Index afloat this year, and this “bad breadth” is challenging the industry in a way that hasn’t been seen in roughly 40 years, says Capital Group.

Investing is a business of assessing risk and seeking reward – mistakes are inevitable. Five veteran Capital Group portfolio managers share their investing mistakes and the subsequent lessons they learned. 

Four of Capital Group’s most tenured fixed income portfolio managers — two retired and two current —provide insights and lessons learned over their long careers.

Could falling inflation and a global soft landing over the coming months trigger a recovery in UK equities?

What happened to the widely predicted recession that was supposed to wreak havoc on the US economy this year? It happened, says Capital Group – just not all at once. 

Many technology stocks have soared since ChatGPT captured the public's imagination earlier this year. Capital Group believes this is the start of the next megacycle for the technology sector.

Capital Group’s Kirstie Spence, fixed income portfolio manager, shares her outlook for emerging market debt and outlines the three things currently exciting her about the asset class.

Capital Group’s Anne Vandenabeele, Economist, assesses the outlook for Japan.

As emerging market (EM) headline inflation trends down, we can expect a more visible slowing of core inflation in the second half of 2023, says Capital Group’s Peter Becker.

Capital Group’s portfolio managers and economists discuss the prospects for equities, bonds and economies in this new reality.

R-star is the real interest rate that is neither expansionary nor contractionary when the economy is at full employment, says Capital Group’s Jared Franz.

After a rough 2022, fixed income is back to fulfilling its role as a source of stability and diversification.

Drawdown is becoming a more important part of the retirement investment journey, says Capital Group’s Philip May, Director of Retirement Income Solutions.

Capital Group’s Shannon Ward, fixed income portfolio manager, discusses numerous factors she believes are creating a compelling opportunity in US high-yield bonds.

Since the start of the year, the potential long term investment opportunity for fixed income has increased. Capital Group’s Peter Becker and Flavio Carpenzano tell us more.

Even as the global economic outlook weakens,  powerful tailwinds are forming behind certain areas of the equity markets that previously spent many years in the wilderness. Capital Group tells us more.

The global economy has managed to avoid a recession in recent months – but that’s likely to change in the second half of the year, says Capital Group economist Jared Franz.

With lending standards growing tighter, investors are getting increasingly nervous about problematic properties lurking on bank balance sheets.

Capital Group’s Natalya Zeman explores whether the dollar’s recent decline signals the end of its decade-long bull run, creating a positive backdrop for emerging market equities.

Many of the names that led the last great bull market — Alphabet, Apple, Microsoft, Meta and Nvidia— are leading a nascent recovery. Capital Group explores the factors driving the rally.

This year is already shaping up to be favourable for fixed income returns, say portfolio managers Vince Gonzales and John Queen. 

Portfolio manager Damien McCann explains where he sees value across four primary credit sectors.

Capital Group economist Robert Lind believes financial markets could be underestimating a potential shift to a higher-inflation regime.

Capital Group assesses the issue, which could come to a head this summer as the US Treasury starts running out of money to pay its bills.

Increased dispersion in credit spreads brings opportunities for active managers, says Capital Group.

Tightening monetary conditions are starting to bite and investors are beginning to price in a more challenging growth environment.

Three questions have weighed on investors’ minds for months: will there be a recession? How bad will it be? And what comes next? 

Capital Group portfolio managers and analysts examine recent breakthroughs in the AI space and whether the sector may be nearing a commercial tipping point.

Capital Group’s Keiyo Hanamura, Investment Director, explores whether we are really returning to the pre-Covid era.

Capital Group’s Q1 roundup.

For more than a year, investors have wondered what might prompt the Fed to alter its aggressive rate-hiking path. The collapse of SVB Financial may have provided the answer.

With the fight against inflation still under way amid the banking turmoil, dividend-income investment opportunities could grow in importance and play a significant role in total return.

The three major factors driving EM debt – US financial conditions, the dollar and global growth – look likely to have been changed by the shock to the banking sector.

Despite the market’s conviction, the macro-economic outlook remains uncertain and security selection will be crucial to capture opportunities.

Capital Group shares 10 long-term themes that their investment team is focusing on right now. As these ideas illustrate, even during periods of uncertainty, it can be an exciting time to be an investor. 

Spillovers from China’s reopening will be mostly positive and the main channels are through tourism, goods imports and commodity prices. 

As the fallout from the collapse of Silicon Valley Bank ripples across the world, markets continue to consider potential contagion effects on the global banking sector and beyond.

Given the turbulence, aren’t multinational companies the most vulnerable of all? Jody Jonsson, Equity Portfolio Manager, believes the opposite is true.

Growth stocks took a beating in 2022, no question about that. The crucial question for growth-oriented investors today is: where do we go from here?

Is there more fuel in the tank for energy stocks?

Questions are being asked about this traditional investment approach following a dismal 2022, but investors should not overlook their long-term credentials because of a single bad year.

Five of Capital Group’s fixed income investment professionals share their experiences of considering and discussing material ESG matters with issuers. 

Many companies are taking big steps to diversify their supply chains, focusing on reliability and robustness over cost and efficiency.

Capital Group’s Director of Retirement Income Solutions Philip May outlines key findings from a specially commissioned study by leading financial research specialist NMG.

Robert Lind, Europe economist, was recently asked how I could square my view of a more resilient European economy with leading financial indicators that point to a sharp downturn.

Analysis shows that bonds already price in most of the downside risk and are expected to deliver favourable outcomes across a number of scenarios.

As nearly three years of lockdowns come to an end in China, will 2023 be a turning point for equity investors?

Global ownership of EM bonds stands at its lowest point in close to a decade – but EMs with stronger fundamentals should see inflows.

Equity investment analyst Gigi Pardasani, equity portfolio manager Andrew Suzman and equity analyst Dominic Phillips share their perspective on the potential for a coming industrial renaissance.

Capital Group’s review of world markets in the final quarter of 2022.

Capital Group’s economist Anne Vandenabeele shares her view on the outlook for Japan, potential benefits from the reordering of supply chains, and opportunities in the years ahead.

Four contrarian scenarios in which Capital Group’s economists think current market consensus, as reflected in asset prices, may not be the most probable outcome.

Capital Group economist Jared Franz expects the U.S. economy to contract by about 2% in 2023. That would be worse than the tech and telecom bubble of the early 2000s, but not nearly as bad as the 2008–09 financial crisis.

Here, fixed income portfolio managers from across Capital Group weigh in about what’s next for bonds.

The market pivot away from growth stocks over the past year has brought the dividend component of total stock returns back into focus.

The market pivot away from growth stocks over the past year has brought the dividend component of total stock returns back into focus.

Generating income is a key role of fixed income. For investors, the durability of income streams becomes more important amid heightened volatility in both equity and bond markets.

It has been quite a topsy-turvy 2022 for Chinese equities so far. What are the key factors that have contributed to the volatility?

Retirement income is facing its biggest threat in decades. UK Inflation is at a 40 year high which is reducing the purchasing power of income. At the same time investment returns have stagnated in 2022.