The reduction was more pronounced at shorter maturities for both curves. Year on year inflation continues to fall and September RPI inflation came in at 1.7% while RPI inflation stood at 2.7%. Interest rate cuts are expected by the market, with a total 50bps cut expected over the two Bank of England meetings to year end. Over the quarter, non-financials corporate credit spreads have increased modestly albeit remaining at historic lows (note the z-spread shown is versus swaps).
AlphaReal, the specialist manager of secure income real assets, has acquired five solar energy projects across the UK.
Triple A Risk Finance, an independent consultancy firm specialising in risk management and actuarial science, has undertaken analysis of AlphaReal’s Commercial Ground Rents fund to see how it would work as part of a diversified portfolio for European institutional investors.
Nominal and real gilt yields have substantially increased over Q4 2024. The nominal curve has increased by an average of c50bps, and the real curve by an average c44bps.
AlphaReal has been shortlisted for the 2025 Pensions Age Awards in three categories.