Credit Suisse optimistic on 2007 outlook
Credit Suisse Asset Management has revealed an optimistic outlook for global economic prospects for 2007.
Credit Suisse Asset Management vice chairman Robert Parker said while there was a case for arguing that economic and market risk is rising with the fear of economic slowdown, concerns about the US dollar, possible increased default rates and ongoing geo-political instabilities, the outlook for 2007 was optimistic.
“We believe that the risk of a US recession remains low and that the current slowdown in other economies, including Europe and China, will be minor,” he said.
“The world looks on track for a brief, inflation-curbing slowdown in the first half of the year, which should be followed by recovery in the second half.”
Parker said that in terms of asset allocation, he believes holding equity positions focused on large caps in Europe and in emerging markets, coupled with a readiness to add risk after corrections, would generate alpha for clients.
AUTHOR
Mike Taylor
Recommended for you
ASIC has permanently banned a former Perth adviser after he made “materially misleading” statements to induce investors.
The Financial Services and Credit Panel has made a written order to a relevant provider after it gave advice regarding non-concessional contributions.
With wealth management M&A appetite only growing stronger, Business Health has outlined the major considerations for buyers and sellers to prevent unintended misalignment between the parties.
Industry body SIAA has said the falling number of financial advisers in Australia is a key issue impacting the attractiveness and investor participation of both public and private markets.
