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Andrew Whittaker

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  1. Milken Institute58 min

    The Hunt for Yield: Risk-Free Return or Return-Free Risk?

    James Mackintosh, Scott Evans, Robert Kricheff, AJ Murphy, Anne Walsh, Andrew Whittaker, James McInstosh, Bob Krychev

    A panel of institutional investors and asset managers characterizes the fixed-income market as being in a late-stage bull phase with historically tight spreads, prompting a strategic shift toward defensive positioning despite a consensus that the environment remains distinct from the speculative excesses of 2007-2008. While participants are reducing exposure to overvalued assets like U.S. agency mortgage-backed securities and wary of liquidity risks from passive investing and covenant-lite debt, they continue seeking yield premiums in sector-specific opportunities such as second-lien loans and selective high-yield issuers. This cautious approach reflects concerns that corporate leverage remains elevated and that potential macroeconomic catalysts, including fiscal policy changes and geopolitical shifts, could abruptly alter the trajectory of an otherwise extended credit cycle.

  2. Milken Institute1h 1m

    Disequilibrium in Global Debt

    Felix Salmon, Peter Budko, Damian Lillicrab, Nouriel Roubini, Gene Sperling, Andrew Whittaker

    Leading economists and strategists including Nouriel Roubini, Peter Budko, and Gene Sperling analyzed the unsustainable trajectory of global debt, debating whether net asset offsets and low servicing costs justify current high leverage ratios. The panel highlighted a critical disconnect where massive debt accumulation has fueled asset bubbles and corporate buybacks rather than productivity, leaving markets vulnerable to earnings shocks due to "covenant light" lending and constrained fiscal safety nets. Concluding that central banks have become overstretched fiscal substitutes, the experts warned that without a political compact linking stimulus to structural reform, the global economy faces a prolonged cycle of financial repression and inequality.

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