Ongoing uncertainty has sparked volatility across interest rates and risk assets; however, the current state of valuations continues to create mispricing and opportunities for active managers to exploit. In this newsletter, we discuss the market dynamics shaping European credit and share examples of how we have capitalized on those opportunities within our portfolios.

In this paper, Alex Evis explains that today’s challenges reflect the constant cycle of change, where new risks emerge and new solutions follow. Investors who prepare for a wide range of outcomes, both extreme and ordinary, will be better positioned for any crises that lie ahead.

As we head into the second quarter of 2025, we have compiled five charts that we think highlight some of the key themes and opportunities we see in the current market environment.