Across the developed world, historically low interest rates are the new normal – not just temporary. Our latest Whitepaper points to five structural reasons driving this change.

Although low rates are highly advantageous for those with an ability to buy assets, they come with some strong downsides.

The whitepaper looks at the example of Japan, which has used low rates to try to stimulate its moribund economy. Today, Japan is stuck in a state of permanent monetary stimulation. This has had the unintended consequence of driving down inflation and rates even further.

If rates stay low, for asset-owners, the future might seem bright. But for society as a whole, these dynamics will create difficult problems that governments will find challenging to overcome.