MetLife Investment Management

Global Risks 2025 Midyear Update

Emerging Markets Debt: Is It What Your Asset Allocation Needs?

Relative Value & Tactical Asset Allocation Q3 2025

Chicago Multifamily: Fundamentals Outpacing Perceptions

The Beige Book Goes into the Red as U.S. Growth Stalls

2025 View on U.S. Pensions with Alternative Fixed Income Approaches

U.S. Commercial Real Estate Chartbook June 2025

Public Market Signals for Private CRE Investors: Monitoring Pricing in an Uncertain Market

Q1 2025 Investment Grade Private Credit Review & Outlook

Q1 2025 Taxable Municipals Market Review and Outlook

Q1 2025 Emerging Markets Review and Outlook

EM Sovereigns Amid U.S. Tariff Policy Resiliency Study – May 2025

The U.S. Labor Market: Caution or Confidence?

Tariff Impacts and Infrastructure Debt’s Resilience

Short Duration Q1 Recap, Portfolio Actions & Outlook

Deglobalization. What’s Next?

Cold Storage: A Niche Property Heating Up

Q4 2024 Investment Grade Private Credit Review & Outlook

Relative Value & Tactical Asset Allocation – Q2 2025

QT or Not QT? – Part Two

A Return to Uncertainty

4Q24 Investment Grade Corporate Market Review and Outlook

The Return of Mercantilism? Shifting Goalposts on Trade

Emerging Markets Debt Restructurings: A Year of Resilience and Innovation

Private Debt Opportunities in Emerging Markets: Insights for Building Insurance Portfolios

Short Duration Q4 Recap, Portfolio Actions & Outlook

Q4 2024 Emerging Markets Review & Outlook

U.S. Housing Chartbook January 2025

Thematic Engagement: 2024 Scope 3 Emissions

Scope 3 emissions are becoming increasingly important as issuers face growing pressure to report and reduce these emissions. In our latest report, we examine how issuers across public fixed-income and private credit sectors are tackling Scope 3 data challenges and setting decarbonization targets.

Trump 2.0: Back to the Future?

By the end of this month, President Trump will enter the White House for his second term with an economic backdrop quite different from that of his first term. While the policies he advocates for are of a similar style this time around, the entirely different economic situation mean that those policies may have a different effect than they would have had in his first term. 

2025 Real Estate Outlook: Tipping Point

Relative Value & Tactical Asset Allocation Q1 2025

Our latest Relative Value and Tactical Asset Allocation report offers our take on key markets and sectors. While we anticipate a low risk of a U.S. recession, policy uncertainty opens up a wider range of possible outcomes.

Pitfalls & Mitigants of Climate Assessment Software

Global Risks 2025: Turning Points?

M&A in 2025: Opportunity, with a side of Scrutiny

QT or Not QT?

Our macro strategists assess what rightsizing the Fed’s balance sheet in 2025 could mean for its holdings in mortgage-backed securities, Treasury notes and Treasury bills. The composition will significantly impact different asset classes, the shape of the yield curve, and the amount of new stimulus created each month.

Residential Whole Loans: Key Insights for Insurance Investors

Our new paper, "Residential Whole Loans: Key Insights for Insurance Investors," highlights the strategic advantages of this asset class, including improved underwriting standards and attractive risk-adjusted returns. 

Central and Eastern Europe (CEE): Back on the EM radar

Until recently, Central and Eastern Europe (CEE) sovereigns were not on the radar for most Emerging Markets investors searching for yield.  Learn why MetLife Investment Management sees an opportunity to gain exposure to the region and its respective sovereign curves in our analysis of Central and Eastern Europe. 

U.S. Commercial Real Estate Chartbook November 2024

Our latest chartbook offers a compelling overview and outlook for the current U.S. real estate market, including statistics on real estate pricing, apartment construction starts and appraisal lag. 

Investment Grade Spreads: Tighter for Longer?

As part of MetLife Investment Management’s ongoing “A World in Debt” series, we continue to explore key trends across various sectors of the financial markets. In "Investment-Grade Spreads: Tighter for Longer?”, we navigate the 'overheating' stage of the credit cycle, this paper provides an in-depth analysis of the economic indicators influencing tight spreads, lessons from past overheating periods and projections for the future of credit markets. 

3Q24 Corporate Market Review & Outlook

We believe our security selection driven approach will provide enough ammunition to generate relative outperformance – just as it has throughout 2024

Election Economics

Q3 2024 Investment Grade Private Credit Review & Outlook

Q3 2024 Emerging Markets Review and Outlook

ABS: Normalizing Delinquent Behavior

With high volatility, geopolitical dynamics, the Presidential election and Federal Reserve’s course of action keeping the market on the fence, MetLife Investment Management recaps the third quarter for short duration bonds and shares our year-end outlook, sector by sector.

Ag Finance: Too Much of a Good Thing: The Paradox of Perfect Weather

Global Outlook 2025

In 2025, we believe the core question to dominate economic discussions is where the unobservable natural rate, r*, lies and when central banks should stop cutting. Find out what else our Macro Strategists think will drive marks in 2025. Read our latest Economic Monthly:

Relative Value & Tactical Asset Allocation Q4 2024

Long Duration Bonds in Public Pensions

For over 15 years, public pensions have relied on long duration investment grade bonds like US Treasuries and corporates to achieve their risk reduction goals. MetLife Investment Management’s new white paper examines the chief benefits: capital preservation, reliable cash flow and liquidity, capital efficiency, excess value returns and more. Learn all about the diverse opportunity set in our in-depth analysis, Long Duration Bonds in Public Pensions.

Rate Expectations

Read our latest Economic Monthly to find out how we think Fed Funds cuts could play out and why - despite some headwinds - there are a number of factors supporting consumer resilience.

U.S. Real Estate Chartbook

This chartbook presents a compelling snapshot of the current state of the U.S. real estate market, highlighting signs of emerging stability and solid underlying fundamentals. It reveals that certain segments, with appealing valuations and consistent demand, are exhibiting potential for substantial growth.

Q2 2024 Emerging Markets Review and Outlook

What, Me Worry?

The markets had their fun in the first week of August, responding to the Sahm Rule being triggered alongside perceived excess hawkishness by the FOMC. Download our latest Economic Monthly to find out why we think generalized anxieties are driving the market overreaction.

U.S. Treasuries in the Post-Pandemic Era: More Volatility, Higher Yields

We expect US Treasury issuance to continue to exceed $2 trillion annually in coming years, four times the pre-pandemic average – even as global demand flattens. In the first of our ongoing series, “A World in Debt,” our Macro Strategy team examines why we expect these changes to lead to higher yields and volatility. What are other implications of rising supply and shifting demand?

Trickle Down Economics to the Rescue?

The latest Economic Monthly from the MIM Macro team drills down into the ongoing strength of the US consumer sector.

Uruguay: How Governance Drives Fundamentals, Sovereign Ratings, and Credit Risk Premium

We believe the influence of governance on Uruguay’s credit profile and risk premium has been positive. The country has a long history of strong institutions and consensus-based policy-making tradition that leads to durable policy decisions and supports social cohesion.s.

Beyond the Matched Book: How MIM Differentiates in Securities Lending

MetLife Investment Management’s Alex Strickler, Head of Securities Lending, explains how our differentiated “mismatched book” approach can yield incremental income for borrowers comfortable with a measured level of interest rate and credit risk.

The Electric Vehicle Transition: Long-Term Outcomes and Short-Term Uncertainties

“A clear destination without a roadmap” captures the many complexities – and opportunities – of the megatrend transition to a largely electric road transport future. In this new far-ranging analysis, MetLife Investment Management’s Fixed Income team examine key challenges and uncertainties facing the auto industry’s legacy OEMs, new players and policymakers.

The Role of Private Credit in the Transition to A Low Carbon Economy

Global energy transition to a low carbon future will require a record $8 trillion investment annually from 2024 to 2050. 70% of that transition finance is projected to come from the private sector.

Strength or Softness?

MetLife Investment Management continues to see consumers willing and able to spend for the next several months. While credit card delinquencies have risen dramatically, other loan types appear healthy. Weaker GDP is more than offset by stronger private domestic final purchases (PDFP).

Shifting Gears: The Acceleration of Prime Auto Securitization

Auto loan securitizations accounted for over 57% of $256 billion in new ABS volume in 2023. Despite rising interest rates and regulatory changes encouraging banks and credit unions to monetize their prime auto loan portfolios, investment opportunities persist for client portfolios. We map out the analysis in Shifting Gears: The Acceleration of Prime Auto Securitization.

Real Estate Debt: Navigating the New Frontier

Relative Value & Tactical Asset Allocation Q3 2024

Global Risks Midyear Update 2024: Hanging Together

Flying Blind

The U.S. Federal Reserve has reduced the pace of quantitative tightening with a new monthly roll off cap of $25 billion of Treasury securities, down from $60 billion (Source: U.S. Federal Reserve, May 2024).

Are We There Yet? The Road to Recovery for CRE

Harnessing the Potential of Private Structured Credit

Private Structured Credit (PSC) presents a specific investment avenue, seeking to offer insurance investors yield pick-up vs public bonds, capital efficiency, risk mitigation via covenant protection, and sector diversification.

Economic Monthly – Businesses Ride to the Rescue

We now expect the U.S. economy to avoid a recession in 2024. Businesses are emerging as a backstop – largely due to high and rising profit margins, a manufacturing rebound and a resilient services sector. However, we do remain somewhat concerned about the strength of the consumer. Find out why in our latest Economic Monthly.

Relative Value & Tactical Asset Allocation Q2 2024

Decarbonization Metrics for Real Estate Investment

The Case for a U.S. Productivity Boom

Are Consumers Weakening?

New paper making the case for U.S. productivity. Drawing on many difference data sources that highlight why the U.S. economy is on the verge of a productivity boom.

A Second Trump Presidency?

President Trump could win the 2024 presidential election. When the incumbent presidential party presides over an improvement in the unemployment rate, it is likely to be returned to power. With unemployment at historic lows, unemployment is likely to get worse, creating headwinds for a Biden re-election.

Strategic Asset Allocation: Balancing Art and Science

Guy Haselmann, Head of Thought Leadership at MetLife Investment Management (MIM), recently sat down with Ruth Farrugia, Global Head of Insurance Asset Management at MIM, to discuss strategic asset management for Insurance Companies.

Gateway Markets and Core Property Types: Not What They Used to Be

What should be considered gateway markets and core property types today? The investing universe and real estate markets have evolved dramatically over the last few decades.  See the list of markets that now rank highly as gateways and which once-niche sectors could be labeled core property types under our proposed definitions.

Robust Jobs and Tight Credit: Will the Consumer Keep Spending?

Looking at the data of the first six weeks of the year, we have seen some promising economic indicators, with consumer health shored up by a robust job market. But we believe the U.S. economy is not out of the woods yet. Find out why in our latest Economic Monthly.

U.S. Real Estate Market Outlook – Lifting Fog

Politics, Debt and Recession – What Could Possibly Go Wrong?

After a strange — and surprisingly strong — 2023, we expect a paring back of global growth in 2024. For the U.S., we expect recession, while for Japan and China, we expect positive but decelerating growth. We expect European countries to avoid a recession in the first half of the year with improvement in the second half. We expect inflation to normalize toward central bank targets over the year.

The Final Countdown? Ballooning Treasury Issuance and The Rising U.S. Debt

Our latest article which discusses a range of scenarios for the U.S. fiscal outlook. We examine the underlying causes which make fiscal adjustment so complicated and consider the probability of further downgrades and outlook revisions.

Economy Monthly – Labor Market: On the Precipice?

The unemployment rate has been creeping up gradually since July, reaching 3.9% this past October according to the BLS. By some measures it is approaching a threshold traditionally considered indicative of a recession. Is the Labor Market on the precipice?

Economic Monthly – Well, Do You Feel Lucky?

Getting the House in Order. Take a look into our latest Economic Monthly as we highlight how we think the latest developments in Washington could play out. We also explore the state of the U.S. labor market, debt to GDP, 10 year treasury yields and inflation expectations.

Fall 2023 Real Estate Outlook - Is This What a Soft Landing Looks Like?

MetLife Investment Management’s latest real estate outlook highlights some early signs of opportunities for well-capitalized investors, as the fog begins to lift from the backdrop of a challenging economic outlook and disruptive real estate capital market conditions.

Relative Value & Tactical Asset Allocation Q4 2023

The paper highlights the expectations of key global economic drivers broken down by region and asset class, from MIM’s Global Economic & Market Strategy Team. It calls out the asset classes that they believe are over-valued or under-valued compared to the underlying fundamentals. This edition shares commentary on global growth, treasury yields, credit market valuations, US housing and US equities.

Economic Monthly – If It’s Fall, It Must Be Shutdown Season

The U.S. political situation is back into economic focus as a government shutdown looms, with funding set to expire on September 30 if no short-term funding agreements are passed. We do not expect a shutdown to change the trajectory of Federal Reserve policy. The 10-year Treasury may decline slightly in the short-run as it generally has after a shutdown, but equity markets have historically had a mixed response.

Real Estate Debt: Highest Yields in Decades

With yields rising to the highest level in decades, Will Pattison, Head of Real Estate Research & Strategy discusses inflations impact and opportunities he sees in Real Estate debt and commercial mortgages.

Emerging Market Debt Sovereigns 2023 Capturing Alpha Through Differentiation

Over the last 25 years, the EM investable universe has grown in breadth and depth to become one of the most intricate in the entire fixed income space. Its intricacy originates from a wide range of risk factors across geography, quality, and duration that can offer interesting alpha opportunities to investors when understood and properly differentiated.  

Greening the Grid: A Tipping Point in U.S. Renewable Energy Production

In our latest real estate insight, Jim Landau and Giuls Kunkel explore the layers of interconnection between a greener grid and renewable resources, and how the strengths, weaknesses, opportunities and threats associated with greening the grid may influence asset managers’ decarbonization strategies.

Insurance Insights | Relative Value & Tactical Asset Allocation Q3 2023

The Insurance Insights paper provided Relative Value & Tactical Asset Allocation insights for Insurance Clients and prospects and includes views on Global and U.S. Economies; Asset fundamentals, valuations, and technicals; multi-asset portfolio strategy, etc.

Global Risks 2023 – Midyear Review

In our midyear review of global risk, we assess current risks relative to our full-year 2023 outlook in January, including sticky inflation in the U.S. and Europe, and uncertainty related to the U.S.-China relationship.

Insurance Insights | Gauging S&P’s Proposed Changes to Its Risk-Based Capital Adequacy Methodology

Guy Haselmann recently sat down with Jingsu Pu to dig through the proposed changes S&P Global is considering to its Insurer Risk-Based Capital Adequacy Methodology. Jingsu will help assess what it could mean for insurers and their ratings.

Insurance Insights: The Challenges of Interest Maintenance Reserve (IMR)

Guy Haselmann recently sat down with Jingsu Pu to better understand the issues and complexities around Interest Maintenance Reserve (IMR). IMR was the most talked about topic at a recent conference attended by Jingsu.

Navigating Uncertainty – Risks and Opportunities in Commercial Real Estate

In our latest Real Estate market outlook, we detail how various cities and property types are positioned amid economic uncertainty and capital markets volatility and outline a framework for considering where real estate prices are in a market with low liquidity.

Unique Attributes of Real Estate Investments

Guy Haselmann, Head of Thought Leadership at MetLife Investment Management (MIM), recently sat down with William Pattison, Head of Real Estate Research at MIM to discuss real estate investing. Will helps break down the various sectors into understandable categories and mentions some of the challenges and new opportunities of each.

Insurance Insights | Relative Value & Tactical Asset Allocation – Q2 2023

Taming inflation is the main theme for global economies. Tightening monetary policy, slower growth and rising recession risk are all likely having an impact.

Disengagement, Division, or Diversification: the Future of Globalization

Since the twin crises of the pandemic and the Russian invasion of Ukraine, many have become worried about the future of globalization. In this article, we sketch out a few plausible paths forward, including disengagement, division and diversification, and conclude with our thoughts on markers to watch.

Short Duration Fixed Income: New Environment, New Opportunities

Guy Haselmann, Head of Thought Leadership at MetLife Investment Management, recently sat down with Scott Pavlak, Head of Short Duration Fixed Income, to discuss interest rates and the investment landscape in short duration bonds.

Investing in Water Infrastructure

Discussion on global opportunities in the rapidly growing - but under resourced - area of water infrastructure. The discussion covers areas such as clean waters journey, treatment plants, wastewater, storage, droughts and floods, and the technology that makes it all work. 

Insurance Insights | Relative Value & Tactical Asset Allocation - Q1 2023

The Insurance Insights paper provided Relative Value & Tactical Asset Allocation insights for Insurance Clients and prospects and includes views on Global and U.S. Economies; Asset fundamentals, valuations, and technicals; multi-asset portfolio strategy, etc.

Predicting the Pivot: Why 2%?

The Federal Reserve continues to focus on inflation when setting policy. Despite this, the recent Summary of Economic Projections shows the Fed cutting rates even as inflation remains above 2%. In this report we ask the following three questions: · What is so great about a 2% inflation target anyway? · Is it likely that the Fed would maintain a tight policy even when unemployment begins to rise? · How might we determine when a policy pivot is under consideration?

Emerging Market Debt: Where We Started, Where We Are, and Where We’re Going

EM portfolio team provides a comprehensive look at the many factors that have been impacting Emerging Market Debt. The paper looks at current valuations and offers a roadmap for capitalizing on the opportunities expected to unfold in 2023. 

Global Risks 2023: Recession, Inflation, and Central Banks

We expect a global recession with decelerating inflation in 2023. The report discusses upside and downside risks to our baseline, including the Fed’s inability to tame inflation, the Russia-Ukraine conflict’s effect on commodity and food prices, and slower than expected economic growth in China.

Buy Now, Pay Later: Early Warning Signs of a Weaker Consumer?

The reports explain how Buy Now, Pay Later loans could be a window into financial stress on certain groups of consumers.

Technical Analysis Chart Pack: November 2022

As we went through all the charts in this report, a clear theme seems like that all markets were pricing in peaking inflation and Fed pivoting in last couple of weeks. G4 interest rates retraced sharply after a relentless rally. Dollar seems to have formed a peak. Commodity index looks like peaked as well, which usually leads a peak of inflation. DM equity market sentiment also turned positive. However, given that the long-term downtrend is intact, the current short-term upturn remains viewed as bear market rally in our view. EM equity looks relatively attractive.

Decoding a Mixed Economy

In the latest episode of “MIM Cuts to the Chase”, Tani Fukui examines the various economic cross-currents and provides a rationale for where she thinks the economy and Fed policy is headed in 2023.   

Four Scenarios: Recession, Soft Landing, Stagflation or the Status Quo

Economic forecasts are particularly uncertain right now, and an honest assessment requires considering multiple scenarios. We still expect a recession but see a soft landing as the most likely, off-base case scenario.

Can Climate Variables Drive Alpha?

In the latest podcast of “MIM Cuts to the Chase”, Jim Grace discusses why analyzing climate related variables should play a part of bottom-up research to determine appropriate credit spread levels and how they can lead to identifying alpha generating opportunities.

Insurance Insights | Core Real Estate for U.S. Insurers

Core real estate equity exposures offer a multitude of benefits to diversified multi asset class portfolios. Rising inflation and risk-based capital (RBC) changes that took effect 12/31/21 are fueling broader interest by insurance companies in commercial real estate equity. This report outlines the rationale and the primary factors to consider.

Model-derived Risk-based Capital for Collateralized Loan Obligations: How Will the National Association of Insurance Commissioners’ Proposal Impact U.S. Insurers’ Investment Strategies?

At the June 9, 2022 meeting of its Valuation of Securities Task Force (“VOSTF”) the National Association of Insurance Commissioners (“NAIC”) discussed a staff recommendation to change how the risk-based capital (“RBC”) for insurers’ investments in collateralized loan obligations (“CLO”) is determined.

Opportunities in Moderate Income Rental Housing

Over the past several decades, the residential rental sector has grown from relative obscurity to become one of the largest and most important institutional investment asset classes. The sector offers a wide range of investment options, including a range of risk profiles (mortgages, stabilized assets, transitional assets, ground up development), housing formats (high-rises, garden apartments, manufactured housing, among others), and geographic options. In recent years, investors have also begun segmenting investment options by the income profiles of residents, and new targeted strategies have emerged. One such strategy that we believe offers attractive risk adjusted returns and supports the need for more affordable housing is Moderate Income Rental Housing.

This Year’s Half-Hearted Policy Response a Harbinger for Things to Come

Macro paper on trends in China including policy shifts, demographics, economy trends, stimulus policy all leading toward the 20th Party Congress.

Investment Opportunities in Private Commercial Mortgage Investments

We believe private U.S. commercial mortgages can fit well in a multi-asset portfolio due to their historically favorable risk-adjusted returns versus other asset classes, as well as their attractive income return potential and lower historical loss rates versus public corporate bonds with similar risk profiles. Given these attributes and at times opaque nature of the U.S. commercial mortgage market, we believe selecting investment management platforms with experience, resources, and scale are able to better source and manage commercial mortgage investments.

Insurance Insights | Relative value and tactical asset allocation

The key economic and market themes remain downbeat. We continue to prefer up-in-quality credits and underweight risky assets. Global economic growth could continue to slow over the next several months. U.S. 10-year yield and inflation are likely to have peaked, which could result in a fully inverted yield curve. A short, sharp recession is likely in the mid-to-late next year. The credit cycle is aging fast, given tightening lending standards, slowing profit growth, and margin pressures.

Carbon Neutrality in Real Estate

Our 3rd paper in MIM’s Carbon Neutral series focuses on government legislation and regulation, as well as incentives that may stimulate the production of renewable energy.

A Cutting History: 2023 in Context

The paper explains why the MIM Macro Strategy team expects Fed Funds rate cuts in 2023, despite markets lowering their rate cuts expectations. Moreover, they believe the higher they hike over the next few quarters, the more likely they will have to cut in 2023.

Excess Savings and the Consumer

Household income exceeded spending by a total of $5.5 trillion during the pandemic, or 72% above what it might have been in normal times.

Fishtailing into the Next Recession

What will the next recession look like? Each past recession has had its own characteristics: borrowing from Tolstoy, every recession makes us unhappy in its own way. We, of course, don’t know exactly how the next recession will make us unhappy, but we can take some hints both from history and from the current state of the economy.

Commercial Mortgage Lending

Commercial mortgage loans (CMLs) have become an important component of private investment portfolios over the past 30 years. Interest in commercial mortgages began growing as the sector was institutionalizing in the 1990s1 and continued to grow in more recent years as mortgages found utility within an expanding array of investment structures. Private commercial mortgage-debt funds, for instance, have shown 11% average annual fundraising increases over the past 10 years.

How Inflation and Rising Interest Rates Impact Commercial Real Estate

Guy Haselmann, Head of Thought Leadership at MetLife Investment Management (MIM), recently sat down with William Pattison, Head of Real Estate Research to discuss the impact that the high inflation and rising interest rates is having on Commercial Real Estate

Short and Intermediate Duration: Q2 2022 Recap, Portfolio Actions & Outlook

In the second quarter, credit spreads in the front end of the maturity spectrum continued to move wider and interest rates moved higher as the market responded to liftoff and the promise of more rate hikes to come.

Global Risks 2022 Mid-Year Review

MetLife Investment Management’s global strategists look toward the second half of 2022 with concerns about recession, inflation, China and the possible effects of the Russia-Ukraine war on energy prices.

Investing in Digital Infrastructure

For our latest discussion, Syed Ahmed, Director of Infrastructure and Project Finance and Guy Haselmann, Head of Thought Leadership sit down for a conversation on the scope, scale, opportunities and challenges in the rapidly growing area of digital infrastructure.

It’s Time to Re-calibrate Your Portfolio

This paper provides an argument for why 2022 may be the ideal timing for long short credit exposure and highlights several of the potential benefits for investors of all types. Furthermore, the paper highlights MetLife Investment Management’s long short credit strategy.

Global Risks 2022

Metlife Investment Management views primary risks to the 2022 global economic outlook to include inflation, slowing Chinese and U.S. growth, Central Bank policy mistakes, geopolitics, and energy prices.

Real Estate Investment Strategy Quarterly – Our Outlook and Forecasts for 2022

MetLife Investment Management’s (MIM) real estate research team provides updated views on relative value in the commercial real estate space, including updated property price forecasts, and considerations for investors who believe inflation may not be transitory.

Investing in Sustainable Private Credit

This article transcribes a roundtable discussion of sustainable private credit. The Q&A format paper discusses topics that include deal sourcing across geographies, the role and significance that sustainable investing plays in MIM’s origination, and the inputs used to qualify sustainable metrics.

Balance-Sheet Normalization and the Next Recession

We believe the Fed’s balance sheet normalization carries underappreciated risks as the assumption of a benign balance sheet runoff is dependent on a single historical example in 2017-2019. We expect elevated market volatility as the balance-sheet normalization process takes place.

Insurance Perspectives: Considerations for Emerging Market Debt - The how, where and why to invest?

The current global market environment is unique, with investors searching for yield and questioning the funding dynamics of governments and corporates around the world. We believe fundamentals and valuations within Emerging Markets (EM) remain attractive relative to Developed Markets. For insurance companies, investing in EM debt can increase portfolio diversification and generate attractive capital-adjusted yields, and there are various strategies and structures available for insurance investors.

MIM Cuts to the Chase Podcast Series: The Outlook for Commercial Real Estate in a Multi-Asset Portfolio

MIM Cuts to the Chase Podcast Series: LATAM To the Left To the Left

MIM Cuts to the Chase Podcast Series: Emerging Market Investing Through Inflation

MIM Cuts to the Chase Podcast Series – Episode 1: Intro and Opportunities in Bank Loans

The Future of Housing: Our Outlook for Single and Multi-family Investments

The single-family rental sector is following the same path toward institutional acceptance that apartments navigated in the 1990s and 2000s. Demographics and cultural changes along with technological advances in software, property management, and data have led to vast improvements in performance and transparency

Carbon Neutrality in Real Estate: Strategies for Success

It has been over five years since the Paris agreement has been signed and private sector carbon neutrality pledges are on the rise. We take a look at what the real estate industry doing and ask if it is enough.

Emerging Market Debt: Trends, Benefits and Opportunities

Scott Moses, portfolio manager of emerging market debt (EMD) at MetLife Investment Management sat down with Pensions Age to discuss the latest trends within EMD and the opportunities these can provide for pension fund investors. They discuss how the pandemic affected investments, what regions to be excited about and more.

Market Frictions and Climate Change: Why the Marketplace Can’t Just Fix it

We describe four major economic frictions that converge in climate change, scrambling the signals between prices and optimal production.

Inflation Housing, not Supply Chains

The high September headline CPI print of 5.4% concealed moderate price increases for the month, but going forward housing inflation is the indicator to watch.

Cycle Peaks of 10-Year Yields

In recent business cycles, rates have peaked relatively soon after recession end. Most forecasters are expecting a gradual peaking of rates in 2023 or later; we expect rates to peak in 2022.

Core Real Estate for U.S. Insurers

Rising inflation, an improving economy, and Risk Based Capital changes taking effect 12/31/21 are fueling broader interest by insurance companies in commercial real estate equity. This report outlines the rationale and the primary factors to consider.

Fall 2021 Real Estate Outlook: Two Steps Forward, One Step Back

U.S. real estate investors are benefitting from economic growth coupled with “made-for-CRE” monetary policy. Out of favor property types including retail, office, and hotel may offer attractive relative value today, and should not be ignored by investors seeking a diversified portfolio.

Evolution of Credit Quality in the Long Investment Grade Market

Every credit cycle leaves a lasting mark on corporate behavior, management financial policy and capital allocation. Today companies that have been able to build ample cash are faced with capital allocation decisions, which could further impact the trajectory of leverage. Learn more about how investment grade corporates fared through the cycle, recent trends, including ratings migration especially in the long credit market and how we are navigating the current environment

A Very Long Engagement: Asset Allocation Implications of U.S. Life Insurance Risk-Based Capital Changes

The NAIC approved updates to risk-based capital (RBC) bond and real estate equity factors for U.S. life insurance companies; we examine the changes from the prior RBC regime, as well as the implications on relative value considerations and life insurers’ strategic and tactical asset allocation.

Emerging Markets: Market Review and Outlook

Rate volatility and several idiosyncratic stories during the second quarter drove market performance within Emerging Markets. With delays to vaccine rollouts and continued high daily new cases and deaths hindering re-opening plans and putting excess pressure on economies, EM countries have lagged in the COVID-19 recovery. We expect Emerging Markets recovery to be a second half 2021 story, with countries starting to take active steps to reduce some of the unprecedented policy actions. We remain optimistically cautious given still robust accommodation, supportive growth and positive flow dynamics. In this paper, we look back at Emerging Markets in the second quarter, as well our expectations for the asset class in the second half of the year.

Technical Analysis Chart Pack: August 2021

The first chart in this report, U.S. 30 Yr. Yield, reminds us that the long-term downtrend is well and strong. There are some early signs that the short-term downtrends for G4 government bond yields may change. U.S. HY Spread widened a bit in last couple of weeks, but we feel that the risk of a spread spike remains low. U.S. equity continues its rally, and EM equity seems like already peaked. Commodities remain solid, while US Dollar and Gold are in trading ranges.

Changes to Investments Risk-Based Capital for U.S. Insurers: A Potential Positive for Public Structured Products

The insurance industry is expecting significant changes in investments risk-based capital, and for structured product portfolios these changes could amount to a paradigm shift.

Laying the Foundation: Carbon Neutrality in Real Estate Investment

In this paper, we examine the varied commitments the real estate investment industry has made to determine if our industry is contributing to the goal of carbon neutrality in a meaningful and more importantly, measurable, way.

NAIC’s RBC Update: Implications for Real Estate Allocation Decisions

On May 27th, 2021, NAIC’s Life RBC Working Group approved an ACLI-sponsored proposal to reduce risk-based capital (RBC) factors for real estate equity (REE). MetLife Investment Management hosted an interactive moderated panel discussion to discuss these changes and the investment implications for life insurance companies.

Recovery Risks at Mid-Year 2021

he Great Recovery of 2021 has so far been volatile and difficult to navigate. The remainder of the year could be at least as difficult with the added stress of potential Central Bank actions, which themselves are highly dependent on ever-changing data signals. We examine the greatest risks to our 2021 forecast.

Technical Analysis Chart Pack July 2021

The G4 government bond yields have been grinding lower from their recent peaks for last few weeks. The immediate downtrend may continue. US 2s10s yield curve spread seems to be more predictable than the 10yr yield level.  Continued equity rally and tightening HY spread suggest that market sentiment remains bullish.  US Dollar is stabilizing. Commodity rallies are intact, while they are approaching key resistances.

The Case for Investing in Floating Rate Bank Loans

With the economy expanding rapidly, growth in GDP is bringing the customary inflationary pressures along with expectations of rising interest rates. Given the supportive economic backdrop, we see value in floating bank loans. We will explore different segments of the bank loan market and highlight potential benefits and risks of the asset class.

Just Because You Call It a Recession Doesn’t Make It One

Although the COVID crisis caused significant economic disruption and has been defined as a recession, actions to stabilize the economy eliminated many of the positive effects that recessions can have including the failure of non-productive businesses. As a result, it is unlikely we are in a new business cycle. Rather, it is more likely we are returning to the business cycle of early 2020, albeit with significant changes to consumer and monetary and fiscal authority balance sheets.

NAIC’s RBC Update: Implications for Real Estate Allocation Decisions

MetLife Investment Management will host an interactive moderated panel discussion to discuss these changes and the investment implications for life insurance companies.

Investment Open For Business: Our Summer 2021 Commercial Real Estate Outlook

In our most recent commercial real estate outlook, we outline why cap rates may fall during the second half of 2021, explore recent work-from-home and office leasing trends, and comment on the unique “K” shaped nature of the economic downturn/recovery.

MetLife Investment Management Strategies

Taxable Municipals: Market Review and Outlook

The Taxable Municipal market rallied aggressively in the first quarter. In our 1Q21 market review and outlook, we discuss what triggered this and explore market conditions and events that are likely to influence the asset class going forward.

A Stigmatized Sector—Our Outlook for U.S. Hotel Investments

Today, the hotel sector continues to face challenges, but we believe the most difficult period for hotel demand is behind us. In the very short-term, we believe investors who can provide liquidity to the hotel market can potentially achieve attractive returns.

Short & Intermediate Duration: Q1 2021 Recap, Performance & Outlook

In our latest report, we recap market impacts to short and intermediate duration fixed income assets for Q1 2021 and how that impacted our strategy as well as performance.

Emerging Markets: Market Review and Outlook

In our first quarter Emerging Markets review and outlook, we review current market conditions and global events as they relate to this asset class.

Investment Grade Corporate: Market Review and Outlook

Technical Analysis Chart Pack: April 2021

Fundamental economic data continues to support the continued risk-on market sentiment. Learn more in our latest technical analysis chart pack.

Quantitative Portfolio Strategy: Pension & Insurance – Applying A Risk Parity Strategy to a Fixed-Income-Only Portfolio

Avoiding the Crowds: Finding Opportunities in Private Structured Credit

In most fixed-income markets we are back to where we started in 2020 with low rates, tight spreads and warnings from some that asset prices across sectors may be overheated. What are fixed-income investors to do? For MIM’s Private Structured Credit strategy, it’s back to the basics – trying to identify higher-yield, investment grade opportunities that don’t fit neatly into the traditional asset-backed securities market or private securities market and work with borrowers to find financing solutions for these non-conforming sectors.

Emerging Markets 2021: Key Themes for EMBI Investors in a Post Pandemic World

Still Chained: N95 Masks and Supply Chains Lessons During COVID-19

Supply/Demand Mismatches and 2020 Economic Growth

Buying into the Energy Future

What's the Worst that Could Happen?

The Blockchain Blockbuster: Yapese Stones to Central Bank Digital Currencies

Blockchain, a revolutionary way of transmitting information trustlessly through time, has captured the imaginations of software developers, economists, and now, central bank policymakers worldwide. Blockchain is a version of distributed ledger technology, a system whose fundamental structure dates back hundreds of years to the Micronesian island of Yap.1

Private Capital Quarterly Investment Update (4Q 2020)

How to Stop Worrying and Learn to Love Inflation

Technical Analysis Chart Pack: Jan 2021

A Multispeed Recovery – 2021 Global Risks

Commercial Real Estate Outlook 2021: The winding path to recovery

Seeing the Forest from the Trees: A closer look at SRI investing

High Yield for Insurance Companies: For Everything There is a Season

High yield corporate bonds and bank loans are core asset classes within many insurers’ strategic asset allocation frameworks. While insurers’ exposure to high yield declined in recent years as a result of de-risking actions taken late in the credit cycle, this trend likely has reversed in H1 2020 mainly due to the large magnitude of ratings downgrades; namely fallen angels. Given the complexity of managing insurance company investment portfolios and the inherent higher risk nature of high yield, there are many factors for insurers to consider when assessing the optimal exposure, pursuing portfolio sales and evaluating new investments in the asset class.

Investors Expect and Demand Meaningful Environmental Goals and Progress

There is no doubt that environmental, social and governance (ESG) principles play an increasingly influential role in investment management today. For real estate investors in particular, climate change has arrived as a material risk both in terms of physical risk from floods, hurricanes, and wildfires, as well as transitional risk such as compliance, insurance, and tax increases.

The Social Infrastructure Funding Gap in the United States

The need for investment in U.S. transportation and energy has received a great deal of publicity in recent years. However, the attention on the country’s aging social infrastructure has been less prevalent.

Episode 116: Opportunities in EM Debt with Tom Smith of MetLife Investment Management

Tom Smith is a Emerging Market Portfolio Manager at MetLife Investment Management.

Episode 109: NAICs Treatment of CLOs with Angela Best and Francisco Paez of MetLife Investment Management

Exploring the NAIC’s proposed changes to CLO capital charges and what they mean for insurance investors.

Episode 68: How Real Estate Equity and ESG Converge in an Insurer’s Portfolio

In this episode of the InsuranceAUM Podcast, host Stewart Foley explores the convergence of real estate equity and ESG in insurers’ portfolios. From RBC changes to inflation hedging and sustainability strategies, discover how real estate offers opportunities for long-term performance and positive impact.

MIM Cuts to the Chase Podcast Series: The Outlook for Commercial Real Estate in a Multi-Asset Portfolio

MIM Cuts to the Chase Podcast Series: LATAM To the Left To the Left

MIM Cuts to the Chase Podcast Series: Emerging Market Investing Through Inflation

MIM Cuts to the Chase Podcast Series – Episode 1: Intro and Opportunities in Bank Loans

Episode 47: The Long and Winding Road: Opportunities and Challenges Facing Insurance Companies

Join host Stewart Foley on the InsuranceAUM.com Podcast as we explore the challenges and opportunities shaping insurance investment strategies in today’s evolving economic landscape.

Episode 26: Exploring Opportunities in Emerging Markets

Join host Stewart Foley on the InsuranceAUM.com Podcast as he explores emerging market debt, income opportunities, and risk considerations for insurance investors.