Koye Somefun

For all the shocks following the inauguration of Donald Trump as US president, the word most often used when discussing the economic outlook has been ‘resilience’. Neither US tariffs nor war have been able to derail global growth. Forecasts by the International Monetary Fund for economic growth over the next five years are largely unchanged. That is not to suggest there is a lack of risks and challenges: US tariffs continue to hinder exports, particularly for European companies.

Target date funds – often the default investment choice in retirement plans – promise a simple solution: start with a high allocation to equities and gradually shift to safer assets such as bonds and cash as retirement nears. Beneath this simplicity lies a complex challenge: how should the ‘glide path’ – the schedule for shifting asset allocations – actually be designed? Romain Perchet, Mehdi-Vincent Hacini, Thomas Heckel and Koye Somefun explain.

Over the past decade, private debt has emerged as a mature asset class within global financial markets. Private debt encompasses a range of non-listed loans — such as direct lending, mezzanine, venture, and distressed debt — originating from non-bank sources. This market has grown rapidly, particularly in Europe, as regulatory changes and shifting risk appetites have encouraged borrowers to seek alternative financing.