FIXED INCOME
Lower European and US rates
Current levels require a moderate increase in portfolio duration
Germany – Comparison between real rates and potential GDP
2.0
• With the recent increase in global yield, German real rates are close to their recent highs and in line with potential GDP
1.0
0.0
-1.0
-2.0
-3.0
• In the United States, the front of the curve has already priced a pause in rate cuts
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
Taux réel 10 ans
Croissance potentielle
United States – Federal Funds Target Rate and US 2y yield
8
• These positions appear to be very convex to economic slowdown scenarios
6
4
2
0
1993 1996 1999 2002 2005 2008 2011 2014 2017 2020 2023
FDTR Index
GT2 Govt
Public Source: Rothschild & Co Asset Management – 31/12/2024 The geographical and sector allocations and breakdowns are not fixed and may change over time, within the limits of the fund's prospectus. This presentation contains historical market data. Historical market trends are not a reliable indicator of future market behaviour. These data are provided for illustrative purposes only. Depending on the date of publication, the information presented may differ from the updated data .
110
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