Bloomberg Surveillance · Monday, July 27, 2026
Savita Subramani predicts a strong demand for inflation-protected equities, such as REITs, utilities, and MLPs, as retirees with significant cash holdings seek to offset negative real returns from inflation. These sectors are expected to provide income and capital appreciation that can keep pace with inflation.
“If I'm a retiree and I've got, you know, like seven trillion in cash just sitting there, It's been sitting there since the FED started hiking interest rates, that cash right now has a negative real return.”
“So retirees, I think, are going to start to look for inflation protected income. Are they going to get it in tech? Not necessarily. I think they go back to things they used to own, like reeds and utilities MLPs, you know, kind of the yieldier cyclical areas of the market that can actually grow with inflation and keep up and return capital to retirees.”