-
Cash Is King at Australian Wealth Fund Eyeing Central Bank Pivot
Australia’s sovereign wealth fund is keeping billions in cash in a bid to be able to move quickly when markets get jittery over how central banks react to signs of brewing inflation. Every financial asset from stocks to bonds is now “fragile” as central banks prepare to tighten policy in a reversal of the widely held view from last year that interest rates will be low for much longer, said Future Fund Chief Investment Officer Sue Brake. There’s a risk that stance from investors is “wrong,” causing a wide-spread sell-off, she said in an interview Thursday. “You need to be nimble,” Brake said. “The ... (full story)