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Cross-Asset Liquidity Strategist, CrossBorder Capital

Michael J. Howell

Cross-Asset Liquidity Strategist

Implementing Research Using Alt Data & AI

CrossBorder Capital

CrossBorder Capital is a London-based independent investment advisory firm. Founded in 1996, it exploits a gap in the investment arena by focusing on Central bank liquidity. 

It specialises in the monitoring and analysis of global liquidity flows - an important determinant of asset prices, from currencies through to bonds, equities and real estate.

CrossBorder Capital implements its investment strategy and currently manages over US$ 350m.


Cross Asset Strategy

Multiple Countries / Cross Asset Strategy

<ul>
<li>Flattening Treasury yield curves, particularly at the back-end, are rarely bullish for risk assets. </li>
<li>When combined, as now, with a steepening front-end they warn of upcoming credit problems.  </li>
<li>Bonds are telling us that economies are breaking-down.  Low ‘real’ carry compromises the long-term outlook for bonds, but we must not ignore their warning message for 2022  </li>
</ul>


Flattening Treasury yield curves, particularly at the back-end, are rarely bullish for risk assets. 
When combined, as now, with a steepening front-end they warn of upcoming credit problems.  
Bonds are telling us that economies are breaking-down.  Low ‘real’ carry compromises the long-term outlook for bonds, but we must not ignore their warning message for 2022  


A Wonkish Warning From Bonds For 2022