In this special edition of the Markets Happy Hour Podcast we are joined by Paula Campbell Roberts who is the Chief Investment Strategist for the Global Wealth business and a Managing Director on KKR’s Global Macro & Asset Allocation team

As usual we debate the implications of the shifting inflationary, interest rate and equity market environments for our clients and end with a discussion of the asset mix that KKR espouses for wealth clients according to their investment objectives - income generation, capital preservation and return seeking.

Starting with inflation we examine the higher "resting heart rate" of inflation and the role that higher electricity prices play in that. Given the demand for data centers and power usage relating to that we draw upon recent charts showing the power demands of data centers and comparing them to the power consumption of entire countries.

We move then to some of the indicators around AI and technology stocks, and in particular the massive amounts of capex needed as well as how this will be funded (increasingly by resorting to debt). Finally we move to the trajectory of the USD, which has stabilized and is somewhat stronger now.

The topics presented herein are related to financial markets, geopolitics, and world news. This material is provided for educational purposes only and does not constitute any recommendation. Please see the important disclosures within the video contained on the presentation slides.