Ever since the Global Financial Crisis, global economic growth has been sluggish. Europe, burdened by fiscal austerity and the sovereign debt crisis, has been a notable drag in particular. However, we are now seeing a significant shift coming through towards the meaningful use of fiscal tools. The range and size of stimulus packages, both at national and EU level, have gone well beyond what any of us could have envisaged and are likely to have a significant impact on the investment landscape now and in the future.
Europe as an asset class works when we get global economic recovery, and particularly European economic recovery. There are some key themes emerging that should drive structural change and growth across Europe for many years to come: social inequality, climate change and digitalisation.
We discuss these themes in detail in the articles below.
The Just Transition
Inequality, along with climate change, is now at the very top of the political agenda. The narrative has moved towards redistribution. This will likely impact investment decisions for the years ahead.
The Silicon Valley of Green Tech?
Europe has grand ambitions and a once in a generational opportunity to steal a march on other continents through early adoption of climate change regulation and technology.
The Digitalisation of Everything
The Digitalisation of Everything for European corporates is about much more than just having a website or adopting a cloud strategy, it’s about sustainability and long-term value creation.
The cyclical case for European equities
Ever since the Global Financial Crisis, global economic growth has been sluggish. Europe, burdened by fiscal austerity and the sovereign debt crisis, has been a notable drag in particular. However, as vaccines are rolled out and economies gradually re-open, we expect European/global economic activity to recover rapidly.
What does ESG mean to us?
Our focus as active fund managers is on finding mispriced stocks. We are open to buying companies whose qualities and future potential are not properly reflected in their share prices. Equally, we look for companies whose willingness and efforts to change have yet to be recognised by the market. The same principles apply to how we see ESG.
The value of investments and any income will fluctuate (this may partly be the result of exchange rate fluctuations) and investors may not get back the full amount invested.
Data as of 15 March 2021 unless stated otherwise.
This document is marketing material and is not intended as a recommendation to invest in any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication. The information provided is for illustrative purposes only, it should not be relied upon as recommendations to buy or sell securities.
Where individuals or the business have expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals, they are subject to change without notice and are not to be construed as investment advice.
