Family offices are among those watching the standoff between President Biden and Republicans in Congress over the debt ceiling, which could cause chaos in the markets.
Fund managers argue that bonds, particularly higher-rated ones, will be able to better weather any economic slowdown, whereas stocks would suffer more if the Federal Reserve fails to navigate a soft landing.
At the Morningstar Investment Conference on Tuesday, the NYU professor said legislators and regulators should take responsibility for the ills that ESG investors seek to remedy.