Janus Henderson: Absolute return: ready for uncertainty in 2023

In this 2023 investment outlook, Portfolio Manager Luke Newman considers the risks and opportunities for absolute return following a truly challenging year for global markets, marked by inflationary pressures, rising rates and slowing growth.

Key takeaways:

• Market volatility seems likely to persist in the short term, given the huge degree of macro uncertainty, but the strength of current balance sheets suggests that many companies are well placed to endure.
• This kind of environment is likely to create a huge amount of opportunities on both sides of the book, with the expectation of higher costs and potentially softer demand already priced in.
• We see absolute return as a useful diversifier for investors following a challenging period in financial markets for both equities and bonds.

These are the views of the author at the time of publication and may differ from the views of other individuals/teams at Janus Henderson Investors. Any securities, funds, sectors and indices mentioned within this article do not constitute or form part of any offer or solicitation to buy or sell them.

Past performance does not predict future returns. The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested.

The information in this article does not qualify as an investment recommendation.

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