Market Themes Spotlight
While the pace of inflation is slowing, persistently strong U.S. wage growth and elevated prices in Europe could keep inflation uncomfortably high for some time. Meanwhile, the recent bout of financial instability is leading stock and bond markets to increasingly pricing in a recession. A slowing economy and receding inflation may help the U.S. Federal Reserve to end its tightening for the cycle or at least pause it for a few months.
Against this evolving backdrop, PGIM asset managers share their perspectives on the shifting landscape, provide insights on key trends set to shape the second half of 2023 and beyond, and offer ideas for investors seeking to seize the opportunities ahead.
Investment Solutions to Position for Success
PURSUE GROWTH IN TURBULENT TIMES
Our new world of technology-driven change allows investors to benefit from the long-term growth driven by these trends. Today’s rising rate environment presents challenges, but creates conditions that tend to benefit secular growth stocks that don’t rely on the economy to generate strong earnings. Learn where to uncover today’s strongest quality secular growth leaders.
FIND SUSTAINABLE FIXED INCOME
Within fixed income investing, the complexity of analysing both sovereign and corporate bond issuers requires an ESG approach that is fundamentally different from equity ESG. An experienced active manager, with strong in-house research capabilities, can provide the skill needed to meet this challenge.
References to specific securities and their issuers are for illustrative purposes only and are not intended and should not be interpreted as recommendations to purchase or sell such securities. The securities referenced may or may not be held in the portfolio at the time of publication and, if such securities are held, no representation is being made that such securities will continue to be held.
The views expressed herein are those of PGIM investment professionals at the time the comments were made, may not be reflective of their current opinions, and are subject to change without notice. Neither the information contained herein nor any opinion expressed shall be construed to constitute investment advice or an offer to sell or a solicitation to buy any securities mentioned herein. Neither PFI, its affiliates, nor their licensed sales professionals render tax or legal advice. Clients should consult with their attorney, accountant, and/or tax professional for advice concerning their particular situation. Certain information in this commentary has been obtained from sources believed to be reliable as of the date presented; however, we cannot guarantee the accuracy of such information, assure its completeness, or warrant such information will not be changed. The information contained herein is current as of the date of issuance (or such earlier date as referenced herein) and is subject to change without notice. The manager has no obligation to update any or all such information; nor do we make any express or implied warranties or representations as to the completeness or accuracy.
Any projections or forecasts presented herein are subject to change without notice. Actual data will vary and may not be reflected here. Projections and forecasts are subject to high levels of uncertainty. Accordingly, any projections or forecasts should be viewed as merely representative of a broad range of possible outcomes. Projections or forecasts are estimated based on assumptions, subject to significant revision, and may change materially as economic and market conditions change.
For compliance use only 2973554