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MFS Investment Management

2026 Key Themes

As investors look to 2026, a number of key themes — from global policy stimulus to geopolitics to AI — are expected to shape macro and market conditions.

Five key themes for the second half of the year - Fixed income

Fixed income remains well positioned in the face of a challenging market environment, but global diversification is as critical as it has ever been.

A resilience recipe for what comes next

Resilience begins with being aware of where you have come from compared to where you are now and adjusting portfolios accordingly. This means moderating return expectations and eschewing more risk to make up for the reduced market beta.

Fixed income is attractive, but beware of 'fake' yield

Soaring policy rates have made cash a competitive asset again, prompting an overdue de-rating of risk assets. But just because yields are higher, that doesn’t mean risk is lower.

Fixed income: Volatility and uncertainty here to stay

Two words come to mind when describing fixed income markets at present: volatility and uncertainty. The macro factors influencing the current environment include COVID's legacy, war in Ukraine, high inflation, tightening monetary policy and a strong dollar.

The case for a strategic allocation to EMD in Australian portfolios

With equity valuations at all-time highs, fixed income yields at or near historic lows and volatility top of mind for investors, the emerging market debt (EMD) asset class may warrant a closer look for Australian investors.

Latest Updates

Retirement

2 billion reasons to fix retirement income

A proposal to address Australia's 'stranded balances' in retirement by requiring super funds to transition members to pension phase at 65, boosting retirement income and reframing super as a source of income.

Investment strategies

Not much alpha left in this bet

Google redefined advertising with its innovative business model, but its dominance is now under siege from AI competitors and shifting market dynamics.

Five simple reasons why Australian cash rates are highest

Australians are suffering the highest cash rates amongst their rich country peers for five simple reasons, including outdated inflation targeting and undisciplined monetary and fiscal policies.

Investment strategies

Spending big on AI: So where’s the proof it’s working?

Business leaders must reassess AI's return on investment using new frameworks that reflect productivity, capability shifts and long-term value creation.

Economy

Double down on renewables?

Global volatility has sharpened Australia's focus on energy security. Calls for domestic fuel production clash with renewable energy goals, sparking a debate on balancing traditional and sustainable energy sources effectively.

Investment strategies

Private Credit headwinds move onshore

It’s been a volatile couple of months in markets with the ongoing conflict in Iran. For Australian private credit investors, however, large exposures to real estate lending could mean the worst is yet to come.

Property

Five reasons unlisted commercial property is an attractive allocation in uncertain times

Cromwell takes a look at replacement cost as a practical lens on relative value in commercial property. When build-new costs rise faster than asset pricing, the gap can create opportunities in well-located existing assets.

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