Lazard Insights

Quality indexes have outperformed value, growth, and the broader market for decades. We believe an active approach to quality—one that focuses on companies with high levels of financial productivity to start—can increase return potential even further.

Is there any place to hide from market volatility? There may be an alternative: hedged convertible bonds have a unique source of potential return that stems from volatility itself. And we believe they may be more than a short-term solution.

Often ignored by global investors, Japanese equities now stand out as an opportunity relative to other developed markets and to their own history.

Rising energy prices are one of the most significant economic consequences of the conflict in Ukraine. Europe, which relies heavily on Russian oil and gas, has taken the greatest hit. But Europe is also one of Russia's best customers and a valuable source of revenues, meaning that the dependency cuts two ways.

The mapping of the human genome compares in its impact to that of the silicon chip. Healthcare's Apples and Amazons may eventually emerge, but unlike the hot air that inflated earlier bubbles, published research findings can guide fundamental investors.

China’s increase in regulations over the past year has led to market value losses of more than US$1 trillion and raised doubts about the country’s commitment to a market-based economy. Many of the regulations, however, aim to address structural issues, especially growing income inequality. As China pushes for “common prosperity,” we believe the country can achieve more sustainable growth, and investors can uncover some compelling opportunities.

The migration of sophisticated games onto mobile devices, which originated in Asia, has triggered explosive digital gaming growth worldwide.

Agriculture’s dual nature as an essential resource and a primary source of greenhouse gas emissions poses a unique challenge, but we believe companies that provide exposure to solutions at the intersection of food production and environmental sustainability may be rewarded by the market in the long term.

If inflation remains above the Fed’s 2% target through 2022 and then stabilizes at or slightly above 2% thereafter, it will mark a major turning point for interest rates.

SPACs, special purpose acquisition corporations, have become an attractive alternative to traditional IPOs. PIPEs—private investments in public equity—may well offer the most promising entry point.

With global yields close to their historic bottom and jittery markets anticipating resurgent inflation, we believe investors should no longer count on returns on "risk-free" income keeping pace with rising prices. View the slide presentation here: https://www.lazardassetmanagement.com/gl/references/media/stable-income-volatile-times

The now ubiquitous bitcoin and other cryptocurrencies are creating a decentralized, alternative global financial system. Hoping to push back against the competition, central banks, led by the People’s Bank of China, are investigating what it would take to launch their own digital currencies.

We answer the question on many investors’ minds: Is there still a role for actively managed, broadly diversified portfolios that make investment decisions based on corporate fundamentals?

In this Insights, we discuss the enormous and fundamental implications changing demographics will have in determining the fate of entire industries as new technologies and ecosystems come into favor and replace old products and services.

The 5G wireless network promises to revolutionize the internet, but no matter which nation ultimately assumes global leadership, the competition itself should create enormous opportunities for investors.

When the banks stumble, the economy can falter, as it did in the global financial crisis a decade ago. Today, the COVID-19 pandemic poses sizable risks for the US banking system, risks which the stock market appears to have more than priced in.

Have markets overplayed the threat of sovereign emerging market defaults? We believe the widespread misperception about the risk defaults pose to emerging markets debt has created some of the most compelling alpha opportunities on offer in today’s markets.

We use a case study on water risk in the global beverage industry to show how sustainability has many profound and far-reaching implications.

The COVID-19 pandemic has introduced extraordinary uncertainty and volatility to financial markets and put volatility forecasting strategies to the test.

Behind the headlines, some of the world’s biggest commodity-driven emerging markets are “getting it.” They’re cleaning up corporate governance, advancing shareholders’ interests, and inviting private investment. Russia, which had the world’s best-performing stock market in 2019, is a beneficiary of this emerging trend and we think Brazil may be next.