• Account Access
  • Contact Us

    Pre-Sales Support
    Mutual Funds and ETFs - 800-456-7526
    Monday-Thursday: 8:00 a.m. – 6:00 p.m. ET
    Friday: 8:00 a.m. – 5:00 p.m. ET

    Post-Sales and Website Support
    Monday-Friday: 9:00 a.m. - 6:00 p.m. ET

  • Advisor Log In

EU Takes Giant Leap and Edges Toward Fiscal Union

Third Quarter 2020 
By Azad Zangana

The landmark agreement to create the EU recovery fund should safeguard the future of the union and boost European risk assets.

From our sub-adviser, Schroders Investment Management
Azad Zangana
Senior European Economist and Strategist, Schroder Investment Management


One of the longest ever European Union (EU) leaders’ summits ended after four days of intensive talks with an unprecedented agreement. The club of 27 member states agreed to create a €750 billion EU recovery fund (also known as Next Generation EU), which will be made up of €390 billion of grants and €360 billion of loans to be distributed among member states to aid in the recovery from the coronavirus pandemic. 

Important Risks: Investing involves risk, including the possible loss of principal. • Fixed income security risks include credit, liquidity, call, duration, and interest-rate risk. • Foreign investments may be more volatile and less liquid than US investments and are subject to the risk of currency fluctuations and adverse political and economic developments. These risks may be greater for investments in emerging markets.

WP549    219008