THE WALKING DEBT
By Sébastien Cavernes, CIO Edmond de Rothschild Gestion (Monaco).
Fans of post-apocalyptic series know it: surviving means first accepting that the world has changed and that a new reality has taken over. In the series The Walking Dead, created by Robert Kirkman, Rick, Michonne, and Daryl’s companions try to survive in a world where every death leads to a flesh-eating zombie. The undead move slowly but relentlessly toward humans to devour them. They grow in number, and no one can stop them. Survivors are not the strongest, but the most clear-sighted—those who understand that the dead will not turn back, and that the rules have changed.
We continue to believe that the transition to the 2020s marked a turning point in economic terms. Most developed countries and China have entered a phase characterized by structural budget deficits, impacting both political life and financial asset prices.