Financial markets and the economy are intimately linked. The price of financial assets includes information on the business cycle, the relative value of financial assets, and investors’ perception of economic indicators. Conversely, economic policy has an impact on growth, inflation, exchange rates… all key variables affecting the financial markets. The private bank’s research and strategy team defines the economic scenario, analyses change in the financial markets and identifies investment opportunities.
The investment process
• Every month, the investment strategists revise their economic scenario and discuss how it may impact each asset class in their coverage. This includes currencies, bonds, equities, emerging markets, commodities and hedge funds.
• Based on these House Views, SG Private Banking’s Global Investment Committee formulates its recommended asset allocation that is then mirrored in portfolios.
• The aim is to protect client capital from financial risks but they can also suggest more attractive opportunities to the boldest investors.
Sharing our House Views
• Our House Views are shared with clients through a wide range of regular reports.
• More in-depth research is also released ahead of major economic events or in reaction to significant shifts in market trends.
• Last but not least, the investment strategists meet clients on request to explain their Views.
Identifying investment opportunities
The Strategy team also suggests investment opportunities that will help diversify client portfolios. The advised strategies can focus on long-term trends or expected market shifts.