The MSCI Macro-Finance Model
Research Paper
October 21, 2024
Preview
We introduce a framework to understand the financial markets through a macroeconomic lens. We relate cash flows and discount rates to common drivers across asset classes, horizons and regimes, in order to inform capital market assumptions, risk management, systematic strategies and asset-allocation decisions. The MSCI Macro-Finance Model provides a unified framework to understand the return and risk of multi-asset-class portfolios.
A macro-finance framework linking risk and returns
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