The Head of Investment Advisory at Mora Capital Management Zurich pens an opinion piece for Ticino Management on the implications of a new era defined by the cost of capital.
Rafael Vicario, Head of Investment Advisory at Mora Capital Management Zurich, contributes an opinion piece to the September 2026 issue of Ticino Management on what, in his analysis, marks the end of an exceptional period for markets: the era of virtually free money.
For more than ten years, investors, companies, and governments operated in an extraordinary environment: near-zero interest rates, seemingly contained inflation, and abundant, low-cost capital. Over time, many came to regard that situation as the norm. According to Vicario, it perhaps never was.
According to the author, the landscape today is different: rates are higher, inflation has resurfaced, geopolitical tensions have intensified, and uncertainty has become a structural feature of markets. Despite this, he notes, the economy continues to show remarkable resilience.
In his analysis, rising public debt, greater investment in defense and infrastructure, the energy transition, and growing geopolitical fragmentation all demand enormous amounts of capital. Added to this is the artificial intelligence revolution, which Vicario identifies as one of the most significant investment cycles of recent decades. Capital, he concludes, once again has a price — something he does not necessarily view as a negative signal.
For companies, Vicario explains, this new environment demands greater rigor in investment decisions, growth strategies, and liquidity management. In his view, those able to innovate, improve productivity, and create value could still find growth opportunities in an economy that, as he describes it, remains dynamic.
The author suggests artificial intelligence could be one of the main drivers of change: although it requires substantial investment, its potential in terms of efficiency, automation, and productivity could, in his opinion, help offset some of the inflationary pressures currently concerning investors.
For investors, he adds, the new landscape restores the importance of quality, selection, and diversification, after years in which liquidity alone was enough to sustain nearly any asset class.
According to Vicario, no one can say with certainty what the next decade will look like. "Perhaps we are not witnessing the end of growth, but the end of an exceptional period that had made us forget that capital comes at a cost," he states in the article.
Money is no longer free, the author concludes — though he believes this doesn't mean opportunities have run out. Rather, in his view, they once again reward quality, productivity, and the ability to create long-term value.
Rafael Vicario, CFA, CAIA, is Head of Investment Advisory at Mora Capital Management Zurich. In his regular talks and publications for Mora Capital Group — including the "In Four Words" series — he analyzes topics central to financial markets, such as artificial intelligence, inflation, and investment opportunities in complex environments, advocating a disciplined, diversified, and long-term-oriented approach.
Mora Capital Management AG is a Swiss portfolio manager incorporated in Switzerland, with its registered office in Zurich, Switzerland. It is authorized by the Swiss Financial Market Supervisory Authority (FINMA) as a portfolio manager under the Swiss Financial Institutions Act (FinIA) and is supervised by the AOOS supervisory organization. The services and information relating to Mora Capital Management AG contained in this article are intended exclusively for persons to whom they may be lawfully offered under applicable law, and do not constitute an offer, solicitation, recommendation, or investment, legal, or tax advice. The opinions expressed are those of the author and do not represent any guarantee of future results. Past performance is not a reliable indicator of future results.