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Convex Strategies | Risk Update: July 2020 – The destruction of compounding.

A Reuters article mid-month titled “Global debt hits record high of 331% of GDP in first quarter: IIF” got us thinking a bit.https://www.reuters.com/article/us-global-debt-iif/global-debt-hits-record-high-of-331-of-gdp-in-first-quarter-iif-idUSKCN24H1V5 In a world with that much debt outstanding, that has just gone through an unprecedented negative GDP shock (Figure 1), what choice do policy makers have other than extreme financial repression? We’ve…



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Convex Strategies | Risk Update: July 2020 – The destruction of compounding.

https://convex-strategies.com/2020/08/27/risk-update-july-2020

A Reuters article mid-month titled “Global debt hits record high of 331% of GDP in first quarter: IIF” got us thinking a bit.https://www.reuters.com/article/us-global-debt-iif/global-debt-hits-record-high-of-331-of-gdp-in-first-quarter-iif-idUSKCN24H1V5 In a world with that much debt outstanding, that has just gone through an unprecedented negative GDP shock (Figure 1), what choice do policy makers have other than extreme financial repression? We’ve…



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https://convex-strategies.com/2020/08/27/risk-update-july-2020

Convex Strategies | Risk Update: July 2020 – The destruction of compounding.

A Reuters article mid-month titled “Global debt hits record high of 331% of GDP in first quarter: IIF” got us thinking a bit.https://www.reuters.com/article/us-global-debt-iif/global-debt-hits-record-high-of-331-of-gdp-in-first-quarter-iif-idUSKCN24H1V5 In a world with that much debt outstanding, that has just gone through an unprecedented negative GDP shock (Figure 1), what choice do policy makers have other than extreme financial repression? We’ve…

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