After the disappointment of 2018, Chief Executive Peter Harrison rounds up the factors our fund managers think could lead to a brighter year ahead.
We are taking a defensive stance, staying underweight to the technology sector, while emphasising domestically-focused areas of the market and those with long-term growth trends.
Emerging markets debt yields are at levels which rival reasonable forward expectations for equities in 2019. In our view, a true catalyst for additional price gains will likely be a lower US dollar.
Valuations have become more attractive and fundamentals are reasonably positive. But a period of transition looms, with central bank support being withdrawn and government bonds now offering a more compelling alternative than they have in many years.
A tumultuous 2018 has left Asian equities significantly cheaper and presenting selective opportunities, but investors need to tread carefully. Four of our Asian equity managers explain why.
Japanese companies continue to respond positively to the improving domestic conditions as they begin to regain some pricing power after almost two decades of deflation.