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The Emperor Has No Yield (presentation)

A Difficult Fixed Income Outlook

◦ Low yields offer limited value for long term investors

◦ Likely negative real returns compounded with risk of rate selloff

◦ Spread markets have limited room to rally

Are Fixed Income allocations too high?

◦ Poor projected returns and lower safe havenvalue for rates

◦ Spreads correlated to equities, with predictably low returns

◦ Active fixed income funds generate mostly beta

Some Interesting Alternatives

◦ Automated liquid low costsmart beta solutions

◦ Front end principal protected solutions

◦ Multi-asset absolute return alternatives

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September 22

4Q2020 Global Macro and Fixed Income Outlook