At our recent forum in Edinburgh, five leading Schroders fund managers and chief economist Keith Wade met to discuss the state of global markets and assess what lies ahead.
Schroders Chief Economist Keith Wade sees five key themes shaping the macroeconomic landscape and supporting risk assets over the next year including energy prices, central bank monetary policy and the hunt for yield.
Matt Hudson, Head of Pan-European Business Cycle, explains the shift we are beginning to see in equity markets to focus on companies with interesting valuations and the potential to offer good yields and dividend growth.
We put the spotlight on European financials and find that the current market environment remains very favourable, particularly for banks.
At the May 2015 Schroders Live event, the panellists struck an optimistic tone and found a number of reasons to be upbeat about both growth and equities, especially in Europe.
Massimo Tosato, Executive Vice Chairman of Schroders plc, looks at the disconnect between investors' expectations and behaviour highlighted by the Global Investment Trends Survey.
Within global equities, one of the key themes we see emerging in 2015 is a shift in focus of corporate Japan from stockpiling to distributing excess cash; a trend which may awaken income-seekers’ interest in the country.
In this 60 second video Schroders European Equities fund manager James Sym reflects on the recent performance of European stocks, and whether a recovery in earnings will help boost returns.
Unsurprisingly, the UK election result has been taken well by the UK equity market and in the short-term provides businesses with a stable political and legislative background in which to invest for the future.
The sharp rally in Chinese share prices is not justified by the underlying fundamentals but it has considerable momentum and could continue for a while yet