Outlook: Where Do Markets Go From Here?

Outlook: Where Do Markets Go From Here?

Equities vs Credit, Emerging Markets, Metals and More!

This compendium brings together forecasts?from some of the world's most authoritative voices on the global economy, economic sectors and asset classes. In order to help investors navigate the current uncertain terrain, the IMF and KPMG provide detailed insights into how the world's economy may develop. RBC Global Asset Management focuses on emerging markets, which they believe offer an intriguing array?of potential risks and rewards. In terms of asset classes, we present pieces on why low duration credit may outperform equities this year, what role the European metal markets will play in the?transition to clean energy, what insurance managers may find attractive in a multi-asset context, and which hedge fund strategies are likely to perform well in the current market environment.

Hedge Fund Strategy Outlook: Quants, relative value and macro (Man Group, 2022)

Not all hedge fund strategies are equal in fulfilling investors' portfolio demands. Man Group, however, remains bullish on what the future holds for quantitative strategies, convertible arbitrage, and global macro.

Emerging Markets Outlook – Spring 2022 (RBC GAM)

For compliance reasons, this paper is only accessible in the United States & Canada

Compared to richer countries, developing markets continue to struggle to recover from the coronavirus pandemic. However, there are wide discrepancies between regions. RBC GAM offers its perspective on where emerging markets are likely to go from here.

Can Low Duration Credit Outperform Equities in 2022? (Insight Investment)

For compliance reasons, this paper is only accessible in the United States

Insight Investment’s key investment call for 2022 is for lower duration areas of credit to enjoy a far stronger year relative to what stocks experienced in 2021 in terms of performance. The piece offers several reasons for why this may be the case.

Insurance Multi-Asset Outlook (Wellington Management, Apr 2022)

The current year started with plenty of added volatility to financial markets which was made worse by the intensifying war in Ukraine. Wellington Management provides its insights for insurance managers of how the new set of challenges may be successfully navigated.

Metals for Clean Energy: Europe’s raw materials challenge (Eurometaux, 2022)

Metals remain a core economic resource and asset class for many investors. However, as Europe struggles to tackle climate change, new regulations and ways of allocating capital will emerge. What does the future hold for metals?

Short-Term Energy Outlook – May 2022 (U.S. EIA)

The U.S. Energy Information Administration, or EIA, provides monthly detailed reports on the outlook for energy markets. Given the disruptions caused by the war in Ukraine, this report is timely and important for asset allocators in the sector.

Global Economic Outlook (KPMG, Apr 2022)

The global economy is facing a growing list of headwinds which include supply chain issues and potential shortages in natural gas, metals, and grains, among others. Geopolitical tensions and climate change add extra layers of risk to investors' considerations.

World Economic Outlook: War sets back the global recovery (IMF, Apr 2022)

The war in Ukraine has impacted all areas of the economy and financial markets: fuel, food and other necessities are going up in price. Consumers are facing a tougher economic environment, and this may soon be reflected in financial asset price performance.

ABOUT THE AUTHOR

Andrew Perrins is a former Actuary and Asset Allocator. After qualifying as an Actuary, he worked for 15 years in investment management, serving as Director of Asset Allocation for Abbey Life and for Chase Manhattan, before setting out on a more entrepreneurial path.

To contact him,?email?[email protected]

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