Multi-asset outlook: equities to grind higher

Share

In this short video, Johanna Kyrklund, Global Head of Multi-Asset Investments at Schroders, explains why she favours US and emerging market equities and expects stocks to continue to rise.

With central banks having stepped back from monetary tightening and evidence that corporate earnings are stabilising, we believe that the path of least resistance is equities to continue to grind higher. Particularly because the rally so far has been relatively under owned by investors.

From a regional standpoint we favour the US and the emerging markets. The US because growth in the US continues to surprise relative to the rest of the world, and emerging markets because the valuations there are particularly attractive.

The biggest risk to our view is that growth doesn’t come through as expected. We are concerned about the continuing weakness in European activity indicators in particular. But, overall, some positive news for the second quarter with an eye on those growth risks, particularly in Europe.

Articles on this website are offered only for general information and educational purposes. They are not offered as, and do not constitute, financial advice. You should not act or rely on any information contained in this website without first seeking advice from a professional.

Past performance is not a guide to future performance and may not be repeated. Capital is at risk; investments and the income from them can fall as well as rise and investors may not get back the amounts originally invested.

You are now departing from the regulatory site of Finura. Finura is not responsible for the accuracy of the information contained within the linked site.

Source: Schroders

Share

Other News

Lifestyle Modelling: The Crystal Ball for Your Financial Future

Have you ever found yourself asking “When can I afford to retire?”, “Can I afford to leave a legacy for my loved ones?”, “How much do I need to be saving for retirement?”. If you have, lifestyle modelling will likely be beneficial for you.

The truth about student loans

Freshers heading to university this autumn can expect to pay more for their higher education than students graduating this summer, but paying off student loans doesn’t always make financial sense.

Investing In Yourself: Improving Your Financial Wellbeing Is Self-Care

Balancing careers, family responsibilities, and personal aspirations can be overwhelming. Amid this whirlwind, women often rally around each other, offering support for both our physical and mental wellbeing.