PERSPECTIVE3-5 min to read

Does it make sense to ditch the 2% inflation target?

Investors are beginning to question whether central banks should set their sights higher. In the absence of firm evidence that inflation is structurally higher, doing so would be premature, but there is always a risk the decision gets taken out of the hands of independent monetary policymakers.

12/01/2023
Inflation targeting

Authors

George Brown
Economist
inflation targeting
Inflation targeting
Inflation targeting

Authors

George Brown
Economist

Topics

Central banks
Inflation
Economics
Economic views
Global
Growth
Interest rates
3D Reset

Past performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested. All investments involve risks including the risk of possible loss of principal.

This content is issued by Schroders Family Office Service. Schroders Family Office Service and Cazenove Capital are trading names of Schroder & Co. Limited, who together with connected companies provide the services described.

Schroder & Co. Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered office is at 1 London Wall Place, London, EC2Y 5AU. Registered Number 2280926 England.

The value of an investment and the income from it may go down as well as up and investors may not get back the amount originally invested.