My hope is that these quarterly updates will clearly communicate where we think the world is heading and provide a link to potential investment ideas.
I was in France last month to discuss financial markets with colleagues from our industry. It was reassuring to see how investment management continues to evolve and adapt to markets and investor needs. The trend toward greater use of private markets in broader portfolios is clear. And a high level of uncertainty – driven by the tariff debate and geopolitical conflicts – is undoubtedly at the front of many investors’ agendas.
At Aberdeen, our structured House View process has led us to a well-diversified position with limited overall risk exposure. We are modestly positive on most sub-asset classes, with the notable exception of the US dollar, which we believe is in structural decline – a view with important implications that you can read more about below.
In the Investment Outlook this quarter:
Amid dollar weakness and European defence spending, Aberdeen’s latest House View highlights where investors may still find opportunities.
Rory Stewart, Professor in the Practice of Grand Strategy at Yale and a keynote speaker at our recent Aberdeen Gather event, details why investors must place geopolitics at the heart of strategy to navigate today’s volatile world.
Do Europe’s smaller companies offer better value, diversification and resilience than their larger counterparts? Graham McCraw discusses.
Felix Freund explains why euro-denominated corporate bonds are gaining traction as investors diversify away from US assets.
Stephen Coltman on why today’s ‘balanced’ portfolios may be more concentrated – and riskier – than investors realise.
Craig Wright and Nick Gaskell explore how Europe’s push for supply chain resilience is reshaping investment in real assets.
Professor Sotirios Sabanis responds to ChatGPT’s predictions on how AI could reshape fund management, offering expert insight into its potential and limitations.
Finally, Alexandre Popa writes about why indirect climate risks in supply chains deserve more investor attention – and action.
As ever, I hope you enjoy these articles.