Only a few months ago, investors were expecting a ‘Goldilocks’ scenario, but inflation pressures have reversed the monetary policy cycle. Despite the Federal Reserve’s decision to raise interest rates and elevated bond yield volatility, US small and mid-cap (SMID) equities continue to display particularly strong fundamentals. Backed by solid Q2 2026 results, upward revenue and earnings revisions across key sectors, and an unprecedented wave of investment in artificial intelligence, small and mid-caps offer stronger earnings growth prospects than broad indices dominated by mega-caps.

The Paris Performance Ranking was created to answer a simple but increasingly important question - which countries are genuinely aligned with the Paris Agreement?

Our recent research trip to Manila left us with a constructive view on the Philippines’ monetary policy and a more cautious one on what surrounds it.