HONG KONG, Apr 20, 2026 - (ACN Newswire) - At a private investment summit, Janet Yellen, former U.S. Treasury Secretary and former Chair of the Federal Reserve, noted that the outlook for U.S. interest rate policy remains uncertain. However, citing the current weakness in the labour market, she estimated that if a judgement were to be made today, there is a chance the Federal Reserve might lower interest rates once within this year. 

Mr. Dennis Tam, President and CEO of Black Spade, one of Asia’s leading family offices, added that the recent oil price shock has intensified global inflationary pressures. The ripple effects are spreading across the aviation, manufacturing, logistics, agriculture, and consumer sectors, leaving both businesses and households facing higher costs and greater volatility. Under these circumstances, while interestrate cuts are not impossible, the room for easing is limited.

Against this backdrop, most Asian family offices remain pragmatic and cautious. At this stage, the focus is on increasing cash holdings and allocating to highquality fixed-income products to maintain ample liquidity, while closely monitoring policy and market signals and avoiding excessive leverage. Meanwhile, the U.S. fiscal deficit continues to surge, with the size of debt approaching US$40 trillion, or approximately 120% of the country’s GDP. Large fiscal deficits combined with political pressure to maintain low tax rates suggest that market structures and policy directions may undergo repeated adjustments.

Over the next six to 12 months, investors may consider making reference to Berkshire Hathaway’s approach of increasing cash holdings to a higher level, as well as raising allocations to strategic and defensive assets with stable returns, notably the recent acquisitions of stakes in Chubb, United Healthcare Group and Tokio Marine. In the brief exchange with Dr. Yellen, Mr. Tam felt that diversifying risk was indeed an important point. Under the current global landscape, a viable strategy in the short term may be to remain vigilant and patiently await clearer signals from the Federal Reserve.

Photo caption: 

Mr. Dennis Tam, President and CEO of Black Spade (right) and Dr. Janet Yellen, former US Treasury Secretary and former Chair of the Federal Reserve

About Black Spade Capital Limited 

Black Spade Capital Limited is an established family office that manages the private investments of Mr. Lawrence Ho. Headquartered in Hong Kong, its global portfolio consists of a wide spectrum of cross-border investments as it consistently seeks to add new projects and opportunities to its investment mix. Black Spade’s investment strategy maximizes coverage of geographic regions and sectors whilst maintaining a portfolio of diversified asset classes, ranging from equity, fixed income, medical technology, leisure and culture, green energy, real estate to Pre-IPO investments. In August 2023, Black Spade Acquisition Co, a blank check company (SPAC) sponsored by Black Spade, completed a US$23 billion business combination with VinFast Auto Ltd. The second SPAC of Black Spade, Black Spade Acquisition II Co, completed a business combination with global media and entertainment powerhouse The Generation Essentials Group in about 9 months’ time in June 2025. Black Spade listed its third SPAC, Black Spade Acquisition III Co in January 2026.

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