Investors are at the crossroads, as demonstrated by recent developments in financial markets, said Florin Dolea, executive director of Amunda Asset Management Romania, at a press conference.
He said: "We think that we are at a crossroads, showing the evolution of recent financial markets that come after a period of sustained global economic growth." The moment when we think that our investors are wondering: what to do, in which direction we should move at this moment. "
According to Amunda, the pace of global economic growth has already reached its maximum, with the prospect of future international witnesses of growth.
On the one hand, on the one hand, reference interest rates have been raised and implemented in the United States) and the European Central Bank (ECB) will begin to increase interest next year, which means that we are in this normalization environment.
Of course, this will lead to low liquidity in the market and tightening financial conditions. A key element is the increase in volatility, fueled by rising interest rates, on the one hand, and political events such as the trade war, which also expects an increase in volatility in the financial markets next year, on the other. "
Bernard Pujol added: "But it should be noted that in the last 3 to 4 years the level of market volatility has decreased and this increase in volatility will be a key challenge for us (…) we slightly revised negative forecasts of economic growth for 2018 and 2019. year, but the outlook for global growth remains robust. "
According to Nuria Trio, the head of the Amundi Milan Department of Business and Investments, despite the changes, the shares had the largest long-term return (5.8% for assets managed by Amundi), followed by bonds (2.8%) and government bonds (2.4 %), while the only assets with negative returns are bank deposits, whose profitability is reduced by inflation.
Amundi Asset Management is an investment manager operating in Europe, North America, the Asia Pacific, and the Middle East, and is on the stock exchange in Paris in November 2015.
From the management of 1,300 billion euros, 614 billion are fixed-income investments; 234 billion in mixed funds; 192 billion invested in shares; 186 billion are liquidity solutions, while other assets are worth 81 billion euros.
After the financial crisis in 2008 and 2015, the US reference interest rate was reduced to 0.25%, so that credit institutions have easier access to liquidity.