Inflation prints continued to decline over the quarter following the trend of the previous quarter. The YoY RPI rate at the end of March was 4.3%, while the CPI rate was 3.2%. Over the quarter the market lowered its expectation for the number of Bank of England base rate cuts in 2024. This is due to the receding probability of rates being cut by the US Federal reserve. However, we anticipate that UK rate cuts are still likely this year as inflation returns closer to target.
AlphaReal, the specialist real assets investment manager has seen its assets under management grow to reach the significant milestone of £5 billion, as the business continues to build for the long-term.
This update summarises the latest news, insights and thought leadership from AlphaReal.
There was little change in nominal and real gilt yields over the quarter. The average reduction was c14 bps for the nominal yield curve, and c8 bps for the real yield curve.
AlphaReal, the specialist real assets investment manager with approximately £1 billion assets under management in renewables, has been successful in securing several 15-year Contracts for Difference (CfD) contracts as it continues to build for the long-term.