Outlooks – Page 79
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White papersFive reasons why EM equities could power ahead in 2021
Has the tide finally turned for emerging markets equities after a decade of trailing US markets? It’s a question we often hear. After two consecutive years of solid gains for the benchmark MSCI Emerging Markets Index, emerging markets appear well positioned for further growth. The US dollar has weakened, commodity prices have firmed, US-China trade tensions may simmer down and there are a number of investible opportunities that could allow investors to take advantage of a potential cyclical recovery in global markets.
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White papersLooking forward to a sustainable 2021
In 2021, BNP Paribas Asset Management aims to build out the pillars of its approach to sustainable investing, extending the integration of environmental, social and governance (ESG) criteria in investment processes, says Jane Ambachtsheer, Global Head of Sustainability.
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White papersWebinar | Asset Allocation Committee Outlook 1Q 2021: A Tentative Recovery
“Investors who can tolerate volatility for the next six months or so could take the AAC’s views as a signal to bound out of the sickbed and fully embrace risk. The rest of us may do better by continuing to give portfolios the TLC they need: taking risk judiciously and in a balanced way.”
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White papersEM Debt: Where is the Value Today?
Barings’ Cem Karacadag discusses the outlook for emerging markets debt, including the uneven impact of the pandemic, how rising interest rates and fluctuating currencies may influence the picture, and the increasing role that ESG is playing in identifying winners and losers.
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White papersIG Credit: Can the Strong Performance Continue?
After a rollercoaster year, IG corporate credit ended on a high note. But all eyes are on the months ahead, and whether we could see a reversal of some of the trends that buoyed the asset class in 2020.
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White papersGlobal Emerging Markets: country allocation review 2021
Fiscal and monetary stimulus programmes across the world buoyed global markets in 2020 with encouraging Covid-19 vaccine trial results providing an end-of-year boost for investors. However, macroeconomic data is mixed: there has been a lower-than-expected improvement in the service sector and inequality is rising.
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White papersCLOs: Cautious Optimism
Coming off a tumultuous year, CLOs look well-positioned going forward—particularly if the economy continues to heal and rates move higher.
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White papersMarket Scenarios and Risks - January 2021
This month, we update the probabilities and narrative of our central and alternative scenarios, taking into account 4Q20 developments in vaccinations, fiscal and monetary policies, and (geo)politics. We have a higher conviction on our central scenario and we are raising its probability from 65% to 75%. We are lowering the probability of our downside scenario from 25% to 15%, which remains above historical levels.
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White papers2021 global outlook reassessed
As the Q420 is now closed, we confirm the “financial recovery regime” as our central scenario for 2021 with a higher conviction than in Q320. We expect better corporate fundamentals at a global level going forward. The rebound of EPS growth will eventually validate current asset price levels in the context of low interest rates. This explains our cautious optimism for the coming quarters.
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White papersPodcast: Making the Case for Value
Over the past decade, we have seen that growth investing has had a tremendous run and was considered the first choice in approach for investing in stocks. However, for the last several months and for the first time in quite a few years, market conditions seem to suggest that now value has started to become the more popular option.
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White papersChart of the week – 2020 market wrap
The extraordinary sequence of events that unfolded in 2020 from virus outbreak to lockdowns, then from large-scale stimulus to vaccines, produced unusually broad market gains for most asset classes in absolute terms.
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White papersHidden factors: exploring equity market behaviour in 2020
At the beginning of a new year, it’s customary to look both back to the past and forward to the future. This year, it would be tempting to focus on a future in which the coronavirus is finally brought under control, gladly turning our backs on 2020 and consigning it to the annals of history. However, looking at the extreme market events of the past 12 months can provide some valuable insights for investors.
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White papersVaccine Distribution, Administration, Logistics & Mutant SARS-CoV2 Strains
In an effort to bring timely insights during these uncertain times, we are pleased to share an update from Terri Towers, PhD, Senior Healthcare Analyst, who shares her views on the COVID-19 (“Coronavirus”) pandemic.
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White papersHow can social bonds support a sustainable recovery?
Social bonds could help mitigate the economic damage caused by the COVID-19 pandemic, at least in the short term. While on the surface, most bond issuances appear well-intentioned, all market participants need do their homework to ensure they are directing capital to the right social causes.
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White papersChina’s strategy supports a bullish view on emerging Asia
China’s economic policy focus on domestic and, by extension regional, growth argues for a bullish view on Asian emerging markets in the face of the far-reaching effects of the COVID-19 pandemic.
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White papersA Recipe for the Next Financial Crisis
It may not come soon or deliver the same shock, but the ingredients that triggered so many predecessors are already coming into view.
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White papersHydrogen: Back to the future
The UK is the latest country to accelerate plans to develop hydrogen as part of its push to reach net zero. But it is not the first time hydrogen has attracted attention – it has been trumpeted by the scientific community as a possible wonder fuel for around a century. So, what’s changed now?
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White papersA bright end to 2020 for equity markets
After setting record highs in early December, global equities vacillated on market concerns over the resurgence of COVID-19 to end the month with a rebound to new highs. The MSCI AC World index (in US dollars terms) gained 4.5%, taking its rise for 2020 to 14.3%.
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White papersA thin and last-minute Brexit deal should give temporary relief to UK assets
The deal: the core of the deal is a zero-tariff/zero-quota free trade agreement for goods, but trade will be affected by new non-tariff barriers such as customs checks and compliance procedures. The deal is lighter concerning trade in services, and in most services sectors providers will need to seek approval on a case-by-case basis with national authorities.
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White papers10 predictions for 2021: The world improves, but do markets already know?
At the start of the year, we expected economic growth to pick up modestly and were encouraged by seemingly diminishing macro risks, such as trade policy. Conversely, we were concerned by relatively full stock valuations and thought that market gains could be limited following a strong 2019.
