A New Macro Playbook

The playbook has changed for institutional investors in 2013, according to Henry McVey, Member and Head of Global Macro and Asset Allocation at KKR. In a wide-ranging interview with Privcap, McVey outlines his views on constructing a target asset allocation best positioned for the changing macro environment. At the top of his list – an aversion to government bonds in favor of corporate credits. McVey also analyzes the “extreme measures” of the Fed, argues for an allocation to direct lending, tells why he prefers niche stocks and private equity in the emerging markets over “national champion” stocks, and explains why inflation forecasting remains so challenging. Download KKR’s report, “Outlook For 2013: A Changing Playbook,” here.