Amundi U.S. recently commemorated significant anniversaries for two funds focused on Insurance-Linked Securities and Catastrophe Bonds. These markets have experienced rapid growth, offering investors valuable diversification and alternative income opportunities within the fixed-income space.
“We have been pleased with investor reception for this asset class and acknowledgment of potential investment benefits of allocating to the market segment,” said Jonathan Duensing, Head of Fixed Income at Amundi U.S.
The Pioneer CAT Bond Fund reported an annualized total return of 14.44% as of January 31, 2025. The fund now manages assets exceeding $700 million. Its performance has remained consistently strong, with a one-year return of 14.23% and a six-month return of 9.13%. This performance highlights the growing demand for catastrophic bonds, a sector increasingly viewed as an attractive fixed-income alternative.
The Pioneer ILS Interval Fund achieved an annualized total return of 5.21% through January 31, 2025. The fund currently manages $652 million in assets. Over the past year, it delivered a return of 15.81%, while its five-year annualized return stands at 8.34%. These results underscore the value of ILS as a means of portfolio diversification and a reliable alternative income source.
“We continue to believe both of these differentiated fund offerings are attractive options for investors seeking alternative income solutions,” said Chin Liu, Director of Insurance-Linked Securities and Fixed Income Solutions at Amundi U.S.
Pioneer CAT Bond Fund
Cumulative Returns
1 – month: 0.46%
3-month: 3.03%
6 months: 9.13%
Average Annual Total Return
1-year: 14.23%
Since Inception in 1/26/2023: 14.44%
Gross Expense Ratio: 2.12% / Net Expense Ratio: 1.51%
Pioneer ILS Interval Fund
Cumulative Returns
1-month: 1.34%
3-month: 2.50%
6-month: 7.58%
Average Annual Total Return
1-year: 15.81%
5-year: 8.34%
10-year: 5.24%
Since Inception on 12/17/2014: 5.21%
Expense Ratio: 1.95%
With favorable market conditions, Amundi U.S. is well-positioned to continue its leadership in the ILS and CAT bond markets. The increasing demand for alternative investment solutions, coupled with the continued growth of these sectors, offers investors compelling opportunities for portfolio diversification and enhanced income.
Following its Annual Shareholders’ Meeting, Raymond James Financial has officially announced that Paul Shoukry has assumed the role of CEO, becoming the firm’s fourth chief executive. This transition was first announced in December 2024, when the Board confirmed his appointment to succeed Paul Reilly, who is stepping down from his responsibilities to become the firm’s new executive chairman.
“We congratulate Paul and thank Paul Reilly for his 15 years of leadership as CEO as he transitions into the role of executive chairman of the Board of Directors at Raymond James Financial,” the company has stated
In addition to being CEO, Shoukry also serves as president of Raymond James Financial and is a member of the company’s Executive Committee. Before assuming these roles, he was the firm’s chief financial officer (CFO) from 2020 to 2024. He joined Raymond James in 2010 as part of the company’s Assistant to the President program.
Regarding his education and professional background, Shoukry earned an MBA with honors from Columbia University. Before pursuing his graduate degree in business, he worked at a strategic consulting firm specializing in financial services. He began his career as a commercial banker after graduating magna cum laude with a Bachelor’s and Master’s degree in Accounting from the University of Georgia, where he was a Leonard Leadership Scholar.
Following the Board’s confirmation of his appointment in December 2024, Jeff Edwards, an independent director of the Board, stated: “Paul Reilly and the rest of the Board fully agree that the time has come to move forward with our long-term succession plan. Paul Shoukry is an exceptionally talented leader, well-qualified to work alongside our strong management team. I am confident that he will build on the firm’s outstanding track record and the legacy of first-class client service that began with Bob and Tom James and flourished under Paul Reilly’s leadership. We are pleased that Paul Reilly will remain as full-time executive chairman, much like Tom and Bob James executed and supported their succession plans.”
Vanguard has launched two new fixed-income ETFs designed to provide investors efficient, low-cost exposure to U.S. Treasury securities. The Vanguard Ultra-Short Treasury and 0-3 Month Treasury Bill ETF offer short-duration options for investors seeking flexibility and liquidity in their portfolios.
“These products serve as valuable tools for advisors and investors to build more precise and flexible portfolios, bridging the gap between money market funds and existing ultra-short-term bond offerings in the ETF wrapper,” said Sara Devereux, Global Head of Vanguard Fixed Income Group
The new ETFs will be managed by Josh Barrickman, Co-Head of Vanguard’s Fixed Income Group Indexing in the Americas.
VGUS will track the Bloomberg Short Treasury Index, focusing on Treasuries with maturities under 12 months, while VBIL will track the Bloomberg U.S. Treasury Bills 0-3 Months Index. Both funds feature an expense ratio of 0.07%, positioning them as low-cost leaders.
Managing over $2.5 trillion globally, Vanguard Fixed Income Group will advise the new ETFs, continuing its legacy of low-cost, efficient bond indexing.
Despite Donald Trump’s return to the White House and the rise of right-wing parties in Europe, asset managers remain optimistic about the outlook for sustainable investment this year. So far, sustainable investment funds have shown significant growth in recent years. According to 2023 data, these funds reached approximately €500 billion in assets under management, with Europe accounting for 84% of this total—around €420 billion.
How Do Investment Firms View 2025?
According to Pascal Dudle, Head of Thematic and Impact Investing at Vontobel, sustainability will remain important despite challenges posed by recent political shifts. It will be driven by companies maintaining their commitment for reasons ranging from economic opportunities to risk management.
“A key example of this was the unexpected yet encouraging support from ExxonMobil’s CEO during COP29 in November, urging incoming President Trump not to exit the Paris Agreement and to keep the U.S. Inflation Reduction Act (IRA) intact. 2025 will also see continued investor scrutiny of the myriad ESG approaches being offered, with stricter strategies, such as impact investing, likely among the winners,” says Dudle.
He also believes that energy transition is here to stay, as clean technologies are now economically viable, scalable, and come with limited technological risk. “The need for reliability and resilience should, in particular, drive investments in infrastructure, such as increasing investment in power grids to ensure their reinforcement and modernization,” he adds.
Trump’s Challenge to Sustainable Investment
While investors—and Europe—continue their shift towards sustainability, the Trump administration has taken a different path. His first term was marked by rollbacks in environmental protections, the U.S. withdrawal from the Paris Agreement, and skepticism toward climate science. These policies affected the global sustainable finance ecosystem, meaning his return could once again test the resilience of ESG investment.
In his second term, Trump has declared a “national energy emergency,” in line with his campaign promises. According to experts at Allianz Global Investors, the measure aims to strengthen the U.S. fossil fuel sector, the world’s largest oil producer, and cut energy prices by 50%.
“His actions will complicate the fight against climate change. Additionally, skepticism surrounds Trump’s ability to halve energy prices as he claims. During the 2020 pandemic, even when oil prices turned negative, U.S. energy costs only dropped by 19%. Other factors, such as his order to replenish the Strategic Petroleum Reserve, could even push prices up in the short term,” state Greg Meier, Senior Economist at Allianz Global Investors, and David Lee, U.S. Energy Sector Specialist at Allianz GI.
Their conclusion is clear: “While Trump’s actions reinforce his commitment to fossil fuels, their actual impact on lowering energy costs will likely be limited and far from his stated expectations.”
Key Takeaways for Investors
In this context, Sophie Chardon, Head of Sustainable Investment at Lombard Odier Private Bank, believes investors should focus on sectors less exposed to political shifts, such as infrastructure, digitalization, energy efficiency in buildings, water management, and precision agriculture.
“From an investment perspective, Trump’s second administration could increase sectoral and regional divergence as the U.S. loses momentum in sustainable investments. After the sharp declines in sustainable investment valuations in late 2024, earnings dynamics are now in control, making stock selection crucial,” Chardon explains.
She also highlights that while the U.S. may slow its climate efforts under Trump, global momentum—especially from China and the EU—should keep the transition to green energy moving forward.
“Investors will need to focus on sectors that are less exposed to policy risks and on those aligned with long-term demand for clean technologies, infrastructure, and climate resilience,” she insists.
Europe’s Advantage in ESG Investment
According to Deepshikha Singh, Head of Stewardship at Crédit Mutuel Asset Management, investment prospects remain uneven.
“Investors may witness significant rollbacks in federal climate action and reporting standards. Trump’s pick to lead the SEC, Paul Atkins, has been openly opposed to the SEC’s climate disclosure rules. However, states like California and New York will likely continue setting ambitious climate goals,” Singh states.
Despite this, Singh sees Europe maintaining its leadership in sustainable investment, which could be a key advantage for investors.
“European companies that align with strict ESG regulations could attract more capital, while U.S. companies struggling to meet international standards could face higher costs and reduced access to foreign markets. The alignment of the European financial sector with the Paris Agreement and COP29 goals presents opportunities for those prioritizing green investments.
Additionally, Europe may seek to influence global financial markets by expanding ESG disclosure requirements for internationally operating companies, which could impact U.S.-based multinationals and other global corporations,” Singh explains.
The Future of ESG Investment Amid Political Cycles
For Singh, sustainable investment’s resilience lies in its ability to adapt to political cycles. While she acknowledges that Trump’s policies may pose challenges for some aspects of ESG investing, she sees it as unlikely that the overwhelming global shift toward sustainability will be reversed.
“Investors, driven by both risk management and opportunities, will continue to integrate ESG factors into their portfolios, even in the face of opposition. The demand for transparent and responsible investments will persist, regardless of who is in the White House.
In fact, Trump’s second term could even emphasize the urgency of private-sector leadership in driving the sustainable investment movement in the U.S. and beyond,” Singh concludes.
Jupiter Asset Management has announced the launch of the Jupiter Global Government Bond Active UCITS ETF, the Group’s first exchange-traded fund (ETF), in collaboration with HANetf, a specialist in white-label ETFs.
Jupiter has been exploring new ways to distribute its products and expand access for more clients to its extensive investment expertise. With greater execution flexibility, a high degree of transparency, and competitive pricing, active ETFs offer clients an alternative and democratized entry point. In line with Jupiter’s truly active high-conviction investment management approach, active ETFs also provide investors with the potential for higher returns than traditional passive products.
The Jupiter Global Government Bond Active UCITS ETF, or GOVE, aims to outperform traditional sovereign bond investments by offering a diversified portfolio of developed and emerging market government debt, with low correlation to equities and other risk assets. Due to their complexity, potential for market inefficiencies, and sensitivity to macroeconomic factors, global sovereign bonds represent an ideal asset class for an active ETF.
The fund is managed by Vikram Aggarwal, a sovereign debt investment manager who has been with Jupiter since 2013. The fund’s investment strategy focuses on identifying inefficiencies in sovereign bond market valuations by comparing Jupiter’s perception of the current economic regime with market expectations. This contrarian approach seeks to capitalize on opportunities when there is a significant divergence between perceived and actual economic conditions.
“We are pleased to partner with HANetf for the launch of our first active ETF. We have been exploring new ways to provide clients with access to Jupiter’s extensive investment expertise, and today’s launch is part of that strategy. We know that greater transparency, faster execution, and competitive pricing are driving clients to increase their exposure to active ETFs. We believe Jupiter’s truly active investment approach and differentiated product offering position us very well to grow assets in this exciting new space,” said Matthew Beesley, CEO of Jupiter.
Hector McNeil, Co-Founder and Co-CEO of HANetf, stated: “We are delighted to work with Jupiter on its first active ETF at this pivotal moment for the market. Net inflows into active ETFs from European clients increased by more than 50% between Q1 and Q2 of 2024. Total assets under management in Europe now exceed $41 billion, and as clients increase their allocations, we are seeing very strong growth momentum.”
Amid rising living costs and economic uncertainty, many baby boomers are reconsidering traditional retirement plans, with many opting to remain in the workforce longer than previous generations.
According to a recent study by Indeed Flex, 88% of baby boomers remain engaged in full-time, part-time, or temporary employment. Additionally, more than one-third of respondents expressed uncertainty about their ability to retire this year, citing financial constraints and inflationary pressures.
“Boomers are facing long-term care costs, obstacles in saving, or possible investing challenges; temporary work is a good bridge to make ends meet,” said Novo Constare, CEO and Co-founder of Indeed Flex.
While previous generations relied on pensions and more affordable living expenses, today’s retirees face a different financial reality. The study found that only 10% of boomers are fully retired, with many delaying their exit from the workforce due to increasing healthcare expenses and market volatility. Some have even chosen to re-enter employment, with 23% of retirees seeking temporary work to supplement their income for discretionary spending, such as travel or gifts.
Temporary employment has emerged as a practical solution for those looking to maintain financial stability while retaining flexibility. Indeed Flex’s data indicates that 83% of boomers are open to temporary work, particularly in retail, hospitality, and business support industries. Among those considering flexible work arrangements, 55% prefer working 10-20 hours per week, 27% prefer 20 or more, and 14% seek only a few hours per week.
Employers are increasingly recognizing the value of an aging workforce. With decades of experience, baby boomers bring reliability, problem-solving skills, and a strong work ethic to multigenerational workplaces. Businesses struggling with seasonal demand or staffing shortages find that hiring older, experienced workers temporarily offers a strategic advantage.
“Previous generations could rely on pensions and affordable living; today’s boomers are navigating a financial landscape where Social Security alone isn’t enough to meet current needs,” Constare continued.
With 88% of Americans ages 59 and older still working in some capacity, the study reflects a fundamental change in retirement norms. As financial concerns persist, many older adults adjust their plans and turn to temporary employment to bridge the gap between Social Security benefits and the rising cost of living. This trend presents an opportunity for businesses to tap into a workforce that remains highly engaged and eager to contribute.
U.S. stocks rose in January, rebounding after a mostly lower finish to 2024. Political developments dominated headlines as President Trump began his new term in the White House. Markets reacted positively to expectations of deregulation and pro-growth economic policies. However, concerns over the potential impact of Trump’s tariffs loom large for both domestic and international companies. The resilience of the market and elevated stock valuations will undoubtedly be tested in the coming months.
During the month, the AI-growth narrative faced pressure after China’s low-cost DeepSeek AI model triggered a selloff in AI-linked stocks. The news raised concerns about the sustainability of U.S. tech spending on AI models, pricing power, and America’s broader position in the global AI race. Nvidia was a notable laggard amid the DeepSeek-driven concerns, while Meta Platforms posted strong earnings, with takeaways highlighting broad product tailwinds from AI initiatives.
On January 29, the Fed held interest rates steady, pausing its recent easing cycle as it assesses an increasingly uncertain political and economic landscape. The Fed noted that recent indicators show economic activity has continued to expand at a solid pace, with the labour market remaining strong. Fed Chair Jerome Powell stated that the central bank would need to see “real progress on inflation or some weakness in the labour market before we consider making adjustments”. The next FOMC meeting is set for March 18-19.
Small-cap value stocks underperformed their large-cap value counterparts, as concerns over “higher for longer” interest rates remained a near-term headwind. However, as rates trend lower, we believe small- and mid-sized companies are well-positioned to benefit through 2025/2026. Declining rates typically serve as a catalyst for equities by reducing borrowing costs, fostering robust M&A activity, increasing consumer spending, and driving higher valuation multiples. The valuation of the Russell 2000 Value remains compelling, currently trading at ~14x estimated earnings for the next twelve months versus ~24x for the S&P 500. This attractive valuation differential underscores the importance of valuations as a strong determinant of long-term performance.
M&A activity was solid in January, with over $300 billion in newly announced deals, an increase of more than 13% compared to 2024 levels. We note that there were no fewer than six unsolicited bids for target companies during the month. The recent notable increase in unsolicited bids likely signals a strengthening wave of M&A activity after more than two years of subdued deal flow. Acquirers are increasingly aggressive, seeing targets as undervalued relative to their intrinsic worth, while boards resist, anticipating higher valuations as market conditions improve. This dynamic—where buyers are eager to deploy capital before prices rise further and targets expect greater upside—suggests we are in the early stages of an M&A rebound, driven by renewed confidence, stabilizing interest rates, and pent-up demand for strategic transactions. Some examples in January included QXO, Inc’s $11 billion proposal to acquire Beacon Roofing Supply, Cintas Corp’s $5.3 billion unsolicited proposal to acquire UniFirst, Biogen’s $500 million unsolicited proposal to acquire Sage Therapeutics, and, Bain Capital’s $7 billion unsolicited proposal to acquire Surgery Partners.
Convertible security issuance was light in January, but we remain optimistic that it will pick up following earnings season. 2024 was a stellar year for issuance, but there are still many companies with convertibles coming due over the next 18 months that are likely to return to the market. We continue to see significant demand for new paper and many companies that could benefit from issuing a new convertible, so we expect many new opportunities over the coming year.
Opinion article by Michael Gabelli, managing director at Gabelli & Partners
The growing demand for transparency in ESG reporting is reshaping responsible investing. According to the latest Cerulli Edge – U.S. Institutional Edition, asset owners are facing increasing pressure from regulators, clients, and the public. In response, they now require asset managers to provide detailed disclosures on ESG-related activities. This shift is driving enhanced accountability across the investment industry.
Cerulli’s research indicates that 58% of institutional investors currently require or plan to require asset managers to disclose portfolio-level exposure to financially material ESG risks, as well as impact and thematic reporting. Additionally, 23% of asset owners mandate reports on ESG-related engagement activities, while another 22% intend to implement this requirement within the next two years.
“Institutional investors want to ensure ESG considerations are not just passing trend, but a fundamental part of the investment process,” said Gloria Pais, an analyst for Cerulli.
Despite these demands, significant challenges persist. According to Cerulli’s findings, 38% of asset owners report difficulty in defining ESG boundaries, particularly when distinguishing between ESG and impact investing. The lack of standardized ESG reporting guidelines creates inconsistencies across sectors, complicating the evaluation of portfolio performance.
Efforts to standardize ESG reporting frameworks are underway, yet obstacles remain. As asset owners continue to prioritize transparency, asset managers must invest in advanced reporting systems to meet these expectations. Those capable of delivering comprehensive and standardized ESG reports will be better position to attract institutional clients and maintain a competitive edge.
“Integrated ESG considerations into investment processes will not only enhance competitiveness but also ensure alignment with the values of institutional clients,” Pais added.
The push for ESG transparency extends beyond regulatory compliance and signifies a shift in investor priorities toward long-term sustainability and accountability. Asset managers who proactively adopt transparent ESG reporting practices will be well-positioned to capitalize on emerging opportunities in this evolving market.
Investors and Industry Experts to Gather in Miami for the FII PRIORITY 2025 Summit to explore solutions through its core pillars: Artificial Intelligence and Robotics, Education, Healthcare, and Sustainability.
The event will take place from February 19 to 21 at the Faena Hotel & Forum in Miami Beach and will mark its third edition.
The Future Investment Initiative Institute (FII) is a global nonprofit foundation with an investment arm and a single mission: Impact on Humanity.
This third edition of the FII PRIORITY Miami Summit, under the theme “INVESTING WITH PURPOSE”, will serve as a platform for implementing practical strategies that promote long-term resilience and inclusive growth, according to an FII statement.
Vector Global WMG has added Alberto Valdés to its international business in Houston, according to information available on BrokerCheck.
With 15 years of experience in the Texas business, according to Finra records, he joins the new firm to provide brokerage and advisory services to clients in Mexico.
The financial advisor, who comes from Alterna Securities, where he joined in 2021, worked for 12 years at BBVA in Houston, serving clients from Mexico between 2008 and 2020, according to his BrokerCheck profile.
According to industry sources, at Vector Global, he will focus on providing broker/dealer services and advisory services to clients in Mexico.
Valdés holds an MBA from the Instituto Tecnológico Autónomo de México and a Certificate in International Trade, Finance, Business, and Management from the UCLA Anderson School of Management.
