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The combination of ongoing solid economic growth, moderating inflation and the first interest rate cut of the cycle largely explain the improvement in CRE performance. Signals of a cycle bottom have been emerging since the beginning of 2024. More recently, roughly half of investors polled by CBRE are expecting a big improvement in transactions during the first half of 2025.

As a standalone asset class, commodities have recently been uninspiring to investors, even after the inflationary period that followed the pandemic. However, when we look at the combination of current market themes and historical contributions of commodities to a balanced portfolio, we see ample reasons to be allocated to this unloved asset class.

Recent data present an economic landscape reminiscent of last year’s: growth remains persistently above trend, job creation far exceeds what is necessary to maintain a stable unemployment rate and inflation is inching back towards target. The volatility in economic outlooks underscores a cycle that is charting its own course, largely unconstrained by historical precedent.

For the seventh consecutive year, LGIM America has been recognized in Pensions & Investments' Best Places to Work in Money Management program! Thank you to our employees for remaining committed to nurturing our collaborative, diverse, inclusive and client-centric culture, which makes this firm one of the best places to work.¹

Andrew Cater, Sabrina Ren and John Southall highlight how navigating interest rate risk in cash balance plans with floors is crucial for companies transitioning from traditional defined-benefit pension plans.

Legal & General announces its strategic investment in Boston-based, global real estate private equity firm, Taurus Investment Holdings, LLC (‘Taurus’), alongside an initial commitment of up to $200m in seed capital to multifamily, a key growth market that continues to be one of the strongest performing real estate sectors in the US.