Fund Thought Leadership Insights is a monthly blog series highlighting the best commentaries and expert analysis pieces released by leading asset management firms. For a full archive of past articles, click here.
Earlier this month, Russian forces entered the Crimean peninsula, seizing the region following political upheaval in Kiev. What this means for investors is still an open question, but to help their clients understand more about the issue, asset managers have turned their expert opinion to the region. Here are this month’s top five thought leadership commentaries on the Ukrainian crisis:
#1 AllianceBernstein: Russia’s Unfortunate Crimea Gamble
AllianceBernstein’s Alexander Perjéssy, Senior Economist with the firm’s Global Economic Research department, weighs in on tensions over the Crimean peninsula. Perjéssy explains that the move is intended as a distraction from the weak state of the Russian economy, but that sanctions and blowback may only further harm the Russian economy.
#2 BlackRock: Turmoil in Ukraine Drives Up Market Risks
BlackRock’s Russ Koesterich, Managing Director and Global Chief Investment Strategist, looks to events in Ukraine noting that global investors moved away from risk-assets in favor of safe-haven investments following turmoil in the region. The article explains that while tensions and sanctions are unlikely to have a direct negative impact on the U.S. economy, the condition may diminish investor confidence.
#3 Fidelity: Conflict in Ukraine
Fidelity weighs in on the likely impact of recent events in Ukraine and Russia. The firm notes that commodities are likely to be volatile, but that U.S. and European energy suppliers may benefit from instability in Russian and Ukrainian natural gas markets.
#4 Eaton Vance: Michael Cirami on the Ukraine Crisis
Eaton Vance’s Michael Cirami, VP and Co-Director of the Global Income Group, answers questions on the region. He notes that this political crisis could imperil Ukraine’s ability to service sovereign debt and may put strain on Russian banks with exposure to the nation. Additionally, sanctions may cause global economic destabilization.
#5 Lord Abbett: Market Jitters Amid Tensions in Ukraine
Lord Abbett discusses the impact of the Ukrainian crisis, noting that increased sanctions are likely to cause volatility in global markets. The article assets that Putin will want to avoid increasing sanctions and is likely to de-escalate at some point in the future.