Investors have had a punishing year so far in 2022, and in the second quarter there were even fewer places to hide. Many themes from the beginning of the year have persisted, most notably inflation continued to reach multi-decade highs.
Read more2022 started with a difficult and volatile period for financial markets globally. The long rally in equities, since the COVID-19 recession, came under stress with central banks turning more hawkish towards inflation. This was compounded by the uncertainties caused by the war in Ukraine including the resulting impact on commodity markets.
Read moreGlobal equity markets performed strongly in the fourth quarter of 2021, as generally strong company earnings releases outweighed any market nervousness over the potential accelerated tightening of monetary policy. An exception was emerging markets, which continued to face headwinds in China related to regulatory changes and imbalances in the property market (heavily indebted property developers). Canadian bonds also finished the quarter with positive returns.
Read moreEquity market returns were mixed in the third quarter with some regions posting gains and others modest losses, after a difficult September gave back some of the strength from earlier in the period. Weakness in emerging markets was notable, as increased regulatory risk in China triggered headwinds for the market. Canadian bond returns were also modestly negative as yields rose late in September.
Read moreThe positive performance of global equities continued into the second quarter of 2021 and economic growth expectations picked up in parts of the world, though the recovery in some regions faced headwinds due to an uneven vaccine rollout. Expanding economic activity drove the continued oil price rally and the Canadian dollar gained against the U.S. dollar and numerous other major currencies.
Read moreThe strong performance of global equities continued in the first quarter, fueled, as it was in the fourth quarter, by progress on COVID-19 vaccination programs and the relaxation of pandemic-led restrictions in parts of the world. Due to an improving public health situation and the flood of easy money from unprecedented monetary and fiscal stimulus, many countries appear ready for a rapid economic recovery. But recovery expectations have investors bracing for inflation, leading to a spike in developed-market bond yields that spurred market volatility, though it did not halt investors’ enthusiasm for equities.
Read moreLooking back on a year beset by the coronavirus pandemic, the market’s performance stands out for its incredible comeback from the virus-induced crash in March. The pandemic has left economies reeling as lockdowns have dealt some businesses a severe blow with uncertain prospects for recovery, and millions of people are still relying on government support to make it through a precarious employment period. Yet despite targeted restrictions that could be in place for months to come and many countries grappling with surging COVID-19 infections, investors propelled global stock markets to record highs in the fourth quarter.
Read moreThe market’s Q2 enthusiasm continued in the third quarter, but more investors recognized that valuations have come a long way after the remarkable recovery in equities from the lows of March, leading to shallower gains in Q3.
Read moreFollowing the market’s quick plunge into bear territory and ultimate low on March 23, the second quarter of 2020 saw an exuberant rebound.
Read moreThe emergence and spread of the COVID-19 virus have precipitated an extraordinary effort to contain the outbreak globally. While these initiatives are of utmost importance in defeating the virus’ spread, they have also resulted in significant economic deterioration, including the closure of businesses, a rise in furlough or unemployment, and have fueled steep declines in risky assets around the world.
Read more
Stay curious! Subscribe to receive our latest insights and quarterly updates.
You are now leaving mawer.com. If you do not wish to continue, please close this window.
Mawer Partners LP (the “Fund”) is only available to Canadian investors who meet the definition of “accredited investor” as set forth in National Instrument 45-106 Prospectus and Registration Exemptions and is currently only available to clients of Mawer Investment Management Ltd.
The Fund is distributed on a private placement basis and this site has been prepared for informational purposes and does not constitute an offer to sell or a solicitation to buy or sell the Fund.
For more information on the Fund, please contact us at mplp@mawer.com.
