1. Newsroom
  2. Investment Outlook Q2 2016
Menu
Insight 12.04.2016

Investment Outlook Q2 2016

Investment Outlook Q2 2016

Central banks: more aggressive, but no more credible

Our global vision of underlying macroeconomic trends is the cornerstone of a robust strategic asset allocation for Q2 2016. Our golden rules are high conviction, non-conformism and capital-preservation.

Equity markets have rebounded more than 15% from their February lows, but there are still signs of tension and global economic forecasts have been downgraded. Eight years after the financial crisis, markets and economies remain heavily dependent on monetary policy.

Lower interest rates and liquidity injections stimulated the US economy in the aftermath of 2008, but the same measures in Europe and Japan are struggling to deliver any sustained boost to activity. As a result, the ECB and BoJ have adopted increasingly unorthodox measures, using negative interest rates and buying private-sector non-fi nancial bonds. Even more noteworthy is the fact that some eurozone central bank offi cials are no longer ruling out helicopter money, i.e. distributing banknotes directly to households, in the hope of driving infl ation higher.

Download the Investment Outlook Q2 2016 publication

Lower interest rates and liquidity injections stimulated the US economy in the aftermath of 2008, but the same measures in Europe and Japan are struggling to deliver any sustained boost to activity. As a result, the ECB and BoJ have adopted increasingly unorthodox measures, using negative interest rates and buying private-sector non-fi nancial bonds. Even more noteworthy is the fact that some eurozone central bank offi cials are no longer ruling out helicopter money, i.e. distributing banknotes directly to households, in the hope of driving infl ation higher.

Convertible Bonds

Convertible bonds add convexity to your portfolio

Find out why convexity works in the short-to-long term

Watch the videos

Most read

Insight 19.02.2020

Changes in consumption patterns

Despite being fast-moving and quite unpredictable, changes in consumption patterns are expected to reshape the economic landscape.

Insight 15.04.2020

The Case For Frontier Debt

Fixed-income frontier markets have seen significant growth in both importance and liquidity over the past decade. While still mainly thought of as part of global EM investments, frontier markets have “grown up” and deserve to be considered separately.

Insight 22.04.2020

Impact Report 2019: an eventful year

UBP is proud to release the second edition of its Impact Report.

Further reading

Insight 20.05.2020

Why choose impact in emerging markets?

UBP’s expert Mathieu Nègre explains why impact investing in listed emerging equities is a significant investing opportunity for at least two reasons.

Insight 18.05.2020

Clouds gathering on the horizon

Spotlight - We see three key risks on the horizon: secondary outbreaks in the US, rising US-China geopolitical tension and political fragmentation in the Euro area

Insight 18.05.2020

COVID-19: UBP keeps you up to date

This web page is dedicated to keeping you up-to-date in real time with our Business Continuity Plan and our latest market views in relation to the coronavirus (COVID-19) pandemic.