A sunny outlook with cloudy skies. That’s how investors see their current investment prospects.

Economies in America, Europe and Japan have finally reached escape velocity: the worst of the 2008 global financial crisis is now in the rear-view mirror. The US Federal Reserve has also started its long-heralded policy normalisation. Markets continue to flirt with their all-time highs.

But investors remain nervous as unfamiliar political risks have emerged. The Brexit vote, the election of Donald Trump and the recent unexpected gains by the far-right nationalist AfD party in Germany mark the rise of a longforgotten phenomenon: populism.