CEO Jeff Becker Responds to COVID-19 Crisis
In a recent letter to partners of Jennison Associates and the broader PGIM community, Jeffrey Becker, CEO, Jennison Associates, responds to the ongoing novel coronavirus (COVID-19) crisis, addressing investor concerns of increased market volatility, and discusses how Jennison Associates is navigating this challenging period both from an investment and operational standpoint.
The Coronavirus Pandemic - The End of the Rally or a Buying Opportunity?
In QMA’s latest Market Pulse, the Global Multi-Asset Solutions (GMS) team offers its assessment of the impact of the coronavirus on global markets. Extrapolating from the impact of the SARS outbreak in 2003, GMS anticipates the coronavirus will have a sharp but short-lived impact on the global economy and risk assets. It notes that the SARS experience suggests risk assets will bottom only when the net number of new cases peaks, and, because it is not clear we have reached that point, equity markets are at risk of further declines in the near term.
Building Global Equity Portfolios I: Capturing Global and Local Top-Down Sources of Return
In QMA’s latest white paper, Georgios Sakoulis, PhD; Roy Henriksson, PhD; and Lorne Johnson, PhD, explore their top-down method to capture global and local sources of return in equity portfolios. The team explains how their decision-making framework can be used to capture these often-neglected exposures without adding uncompensated risk, and suggests that this approach can be used independently, or in combination with bottom-up approaches.
Q&A with QMA: Navigating a Sentiment Crash
While it’s difficult to completely avoid the downdraft of a sentiment crash, it helps tremendously to avoid using price momentum as a stock selection factor. Instead, QMA uses information momentum, which focuses on expected changes in fundamentals. They also see value as an effective hedge against a sentiment crash.