VIDEO: The Decline of Central Bank Omnipotence

May 25, 2016

2 minute read

VIDEO: The Decline of Central Bank Omnipotence

There are various periods in economic history when central banks are either more or less in control of markets. Recently, the tide has shifted from central banks having an extremely dominant impact on financial markets. While their policy measures have not yet produced inflation or strong growth, the decline in central bank omnipotence will likely produce significant market volatility—a global macro trend that will pose challenges to investors, but can also provide opportunities.

Guest blogger Eric Peters, CEO and CIO of One River Asset Management, offers his thoughts, as AB provides perspectives from thought leaders in alternative investments.

Chief Executive Officer and Chief Investment Officer—One River Asset Management

Eric Peters is the founder, CEO and CIO of One River Asset Management. With over $900 million in assets under management (AUM), One River focuses on thematic global investment opportunities. Peters formed One River to accelerate change in the alternative investment industry by unbundling thematic ideas that are medium to long term in nature. One River uses extensive research to derive its long-term, high conviction investment themes—identifying those themes that will unfold and persist over political and economic cycles. Peters previously served as a founding partner of Grant Capital Partners, a discretionary global macro hedge fund, which he led from the depths of the 2008 financial crisis to its peak AUM of $1.25 billion. After Grant Capital Partners closed, Peters founded One River in 2013, with most of the founding One River team having worked together at Grant Capital. Peters has held various positions over his 25-year career in the financial industry, including serving as a proprietary trader for Lehman Brothers and Credit Suisse, and as founder/CEO of a TH Lee Putnam–funded technology firm. Peters holds a BA in business economics from Brown University. One River is a sub-advisor for the Global Macro strategy in the AB Multi-Manager Alternative Strategies Fund managed by Marc Gamsin and Greg Outcalt.