“If you get those things right it will reduce volatility and offer some protections around inflation,” Skeldon said.
In terms of how concerned clients are about the current inflationary landscape, all three panellists said clients are mixed, with some much more worried than others.
“With some clients it’s about reassuring them and explaining that this is a spike. That's normal. Central banks actually know how to deal with this, they're a bit late to the party but they’ve dusted off all the old textbooks,” Seager-Scott said.
“And then I know people in the industry who are entirely the other way around. More senior clients who are much more relaxed, because they remember inflation at 10/15 per cent and above and sometimes they’re the ones reassuring the investment manager who is used to the short term cycle.
“So I think it's important that we get across that it will normalise and come down.”
jane.matthews@ft.com
