With spreads falling despite the recession risk, do they adequately compensate investors?

With spreads falling despite the recession risk, do they adequately compensate investors?
Market observers reckon that given economic and demographic tailwinds, India’s asset management industry is poised for growth.
Wealth management sectors in key markets across region are set to bloom over the medium to long term.
Japanese equity fund flows in Europe registered €500m in net new money across mutual funds and exchange-traded funds in April.
The divergence in the performance of key markets has triggered macroeconomic uncertainty and an ‘Out of Sync’ theme, say analysts from HSBC AM.
The bank expects moderate growth in global economies amid continued shifts in global supply chains, escalating geopolitical tension, and tighter credit conditions.
High-quality fixed income assets continue to offer attractive return potential plus diversification benefits as a likely recession nears, according to PIMCO.
India and Thailand offer strong potential, while other Asean countries are seen to have equities with promising dividend stocks, according to UBS.
As the momentum behind artificial intelligence (AI) gathers pace, investors are grappling with how to identify those tech companies which are best placed to reap the rewards.
Below-trend GDP and the uneven effects across sectors and geographies have complicated matters for investors.
Part of the Mark Allen Group.