Expanding Global Opportunities: The Renewed Case for Emerging Markets

With recession risks still low, higher real yields and a patient Federal Reserve are creating opportunities in global equities and emerging market bond, according to Jeff Schulze, Head Investment Strategist at Franklin Templeton Institute.

Franklin Templeton Investment Solutions believes increasing market dispersion is creating attractive opportunities for hedge funds, with returns likely to be driven more by security selection and active management than broad market direction.

The balance of risks has shifted back toward inflation, according to Franklin Templeton Fixed Income. Stronger growth has made the trade-off from tighter policy less binding, while renewed energy pressure has encouraged central banks to lean pre-emptively against the risk of persistence.