What will be the impact of the ECB’s massive stimulus programme, which is about twice the size expected by the market consensus, on various asset classes? Five fund houses weigh in.
Analysts seem to be coming to a consensus that the price of oil will follow something like a backward checkmark trajectory, which calls for a very selective investment focus.
A majority of fund houses in Hong Kong intend to use the Stock Connect in 2015 to access the China A-share market, according to a survey by the Hong Kong Investment Funds Association.
BlackRock attracted $102.8bn in new inflows in its iShares business in 2014, driven by interest in its US and European products, particularly from Asian and Latin American clients.
Emerging markets are really diverging markets, writes the BlackRock Investment Institute in its 2015 Investment Outlook Report, and prudent investors will have to exercise very active risk management and live with longer holding periods.
Institutional investors are seeking longer-term real assets with higher returns to address longer life expectancies, according to a BlackRock survey report.
While the US Federal Reserve looks poised to raise interest rates in 2015, Asian fixed income market will do well as countries like India and Indonesia are expected to benefit from lower commodity prices through lower inflation and lower subsidy bills, said Joel Kim, head of Asia-Pacific fixed income at BlackRock.
Asian equity markets are likely to offer improved returns in 2015 as the overall environment shifts toward easy monetary policy conditions, though the preference is for India and North Asia, said Andrew Swan, head of Asian equities at BlackRock.
A majority of investors in both Singapore and Hong Kong hold income-generating products and a sizeable number intend to invest in them in 2015, a trend attributed in part to demographic change, according to a BlackRock study.
Emerging markets will have sharply different characteristics in the next ten years than they had in the last, and investment strategies will be reshaped in the context of “divergence”, according to Jeff Shen, BlackRock’s head of emerging markets.