Higher interest rates: the new regime
- Shunil Roy-Chaudhuri
- 28 April 2023
- 5 mins reading time
High inflation has led to a higher interest rate regime than in the recent past. In this video, Schroder Investment Management’s Senior European Economist and Strategist Azad Zangana explains why inflation is unlikely come back down to previous levels in the medium term. He concludes that central banks will now have to focus far more on lowering inflation than supporting economic growth. He believes this could potentially have significant implications for asset class returns and valuations and lead to increased volatility for investors.
Important information
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The value of investments and the income from them can fall as well as rise and are not guaranteed. Investors might not get back their initial investment.
There is no guarantee by investing money it will keep level or beat inflation, particularly when inflation is high.
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