Schroders
The latest research and outlooks in the ProAllocate library
- Equities
The tech sell-off: what happened and what comes next?
Schroders attributes the sharp tech-led equity sell-off to fears that a Democratic midterm win could slow AI infrastructure spending, but argues the structural AI case remains intact despite near-term volatility. It favours resilient equity exposure, higher-quality US stocks, and diversification via government bonds and alternatives.
- Equities
AI volatility: what does the recent sell-off mean for investors?
Schroders' Simon Webber argues the AI sell-off reflects financing risk rather than weakening demand, as capital markets face strain funding the infrastructure build-out. He favours active selection of companies with strong balance sheets and earnings visibility amid valuation compression.
- Fixed Income
The blue wave and global credit markets
Schroders' Global Fixed Income team argues the Democrats' strong midterm showing leaves US fiscal policy broadly unchanged but could slow AI-driven data-centre investment, a net positive for credit spreads. The team stays defensive in US investment grade, favours agency MBS, and has turned more positive on European credit after French-driven spread widening.
- Macro
Monthly markets review - October 2026
Schroders reports global equities fell in October 2026 as AI valuation doubts triggered a tech sell-off and rotation into defensives, while government bonds rallied except for France amid fiscal stress and oil rose on Middle East tensions.
- Wealth Management
The hidden complexity of global wealth
Schroders' Samuel Bosanquet argues that internationally dispersed family wealth magnifies the complexity of death, incapacity and divorce, as jurisdictions treat inheritance, trusts and asset ownership differently. He recommends family manuals, governance charters and scenario planning to prepare for cross-border transitions before disputes arise.
- Macro
US midterms: what will the “blue tsunami” mean for markets?
Schroders' Cazenove Capital and Schroders Wealth argue the Democrats' sweeping midterm wins won't derail US growth or AI-driven markets, though they expect greater sector dispersion and fiscal risks around 2027 debt-ceiling talks.
- Macro
Views at a glance – October 2026
Schroders (Cazenove Capital) notes a sharp AI-driven equity selloff and bond rally, but keeps an equity overweight while trimming its fixed income underweight, citing resilient earnings and more attractive government bond yields.
- Equities
Beyond the ballot: what the US midterms mean for equity investors
Schroders argues US midterm election outcomes matter for equities only to the extent they shift companies' cost of capital and earnings, not through simplistic winner/loser calls. It highlights AI financing, defence, financials and healthcare as sectors where policy could reprice fundamentals versus valuations.
- Fixed Income
Fixed Income Solutions Bulletin - October 2026
Schroders' Sunil Patel and Yann Le Bihan report UK gilts steadied after an uneventful Budget, though persistent inflation and borrowing needs keep pressure on the market. They also flag AI-driven corporate borrowing pushing technology sector CDS spreads to record highs.