Manulife strategists expect inflation to slow next year

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Manulife strategists expect inflation to slow next year
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'We think that the majority of inflation expectations are already priced in'

Nia and Kevin Headland were promoted to co-chief investment strategists of Manulife Investment Management on Monday, succeeding Philip Petursson, who left to join IG Wealth Management.

Canada’s consumer price index rose 4.4 per cent in September from a year earlier, according to official data, the highest reading since February 2003. The inflation rate is expected to decline to 2.6 per cent in 2022 compared with 3.1 per cent this year, according to data compiled by Bloomberg.Article content

The challenge with rising rates is that it’s an “invisible tax” on the retirement income of clients, Nia said, noting that the headwinds facing fixed income in 2022 are likely to be less dramatic than this year.

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