Meketa Connectives | The Long-Goodbye: Diversified Portfolios Designed to Weather Higher for Longer Inflation

February 2025

In 2025, institutional investment portfolios may experience the challenges of higher interest rates and inflationary pressures.

Since inflation peaked in 2022 in developed nations, central banks have largely succeeded in bringing inflation close to their long-term targets. But progress to 2% has been frustratingly slow. With the inauguration of the Trump administration in January 2025, the threat of global trade wars and currency volatility could delay rate cuts in the US and Europe.