Premier Miton's Rayner: Why 'low risk' assets have changed for first time in 30 years

'Suspiciously high returns' from US Treasuries

Lauren Mason
clock • 2 min read

Equities, commodities and property have overtaken US Treasuries as the new ‘safe haven’ assets for investors, according to Premier Miton’s Anthony Rayner, who said today’s inflationary environment has meant asset class risk hierarchy has been “turned on its head”.

In a recent note to investors, the multi-asset fund manager said US government bonds have made "suspiciously high returns", having been seen as the "definitive safe haven asset" over the last three decades, and warned that the low-inflation, low-rate environment is set to be dominated by hawkish central bank policy for some time to come. "In this inflationary environment, US Treasuries, far from being safe haven assets, have been one of the primary expressions of inflation risk," he explained. "As a result, US Treasuries and many bond sub-asset classes have experienced losses over the re...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Multi-asset

Multi-asset teams sentiment indicator: Positive view on UK equities on 12-month view

Multi-asset teams sentiment indicator: Positive view on UK equities on 12-month view

Negative on US equities

Paul Ilott
clock 12 March 2024 • 5 min read
Morgan Stanley IM launches UCITS version of Systematic Liquid Alpha fund

Morgan Stanley IM launches UCITS version of Systematic Liquid Alpha fund

Offshore vehicle since August 2018

clock 21 February 2024 • 1 min read
MPS Watchlist: Helping advisers navigate the sector

MPS Watchlist: Helping advisers navigate the sector

Impact of Consumer Duty

Professional Adviser
clock 07 February 2024 • 1 min read
Trustpilot