QuotedData’s round up of views on the global economy – June 2017 – is a collation of recent insights on markets and economies taken from the comments made by chairmen and investment managers of investment companies – have a read and make your own minds up. Please remember that nothing in this note is designed to encourage you to buy or sell any of the companies mentioned. Kindly sponsored by Martin Currie.
With the exception of the UK, markets moved higher. Index moves were flattered by sterling weakness over the month as jitters began to build in relation to the snap election. Government bond yields tightened.
Globally, Markets riding high, there are reasons for a stronger dollar and a handful of technologically innovative companies are dominant in their fields.
John Scott, the outgoing chairman of Scottish Mortgage, suggests we should focus more on the pace of development and technological change than political risks. James Anderson, one of the managers of that fund, expounds on his views on how money should be managed and warns that equity markets are failing in their primary responsibility of encouraging and enabling future entrepreneurial success. Tom Slater, his co-manager, talks about the increasing dominance of a handful of companies from the west coast of the United States and the east coast of China. He believes that they will have big new opportunities….
In the UK, stronger than expected growth may persist but valuations are vulnerable to disappointment. indebted consumers and rising inflation are a concern but rate rises look unlikely.
Mike Prentis, manager of BlackRock Smaller Companies, seems upbeat, citing hopes of an increase in US GDP growth, stronger than expected UK GDP growth and improving growth in Europe and China. Jim Pettigrew, chairman of Edinburgh, is expecting a continued low interest rate environment in developed economies with reasonable growth expectations. Mark Barnett, manager of Perpetual Income & Growth, thinks valuations are vulnerable to….