Outlook 2H 2020
At the beginning of 2020, the market enjoyed an upbeat start, which was reflected globally in the prevailing risk-on sentiments. The concerted bullish views of the majority were then disturbed by the outbreak of COVID-19. In a nutshell, affected countries contribute more than 50% of global GDP growth.
Amid the lock-down, two new norms were observed. Firstly, people have turned more time spent from offline to online, particularly services and content instead of spending at brick and mortar locations. This had the world to ponder how such extended period of new living behavior will shape the economy both from corporate and individual level going forward. Secondly, the hit on the economy also brings the world unprecedented monetary and fiscal easing. The asset purchase programs implemented by the Central banks in the west has flooded the financial system and extended the low interest rate era. Under such backdrop, virtually risk-free instruments, such as government bonds, have returned so little that it propels investors to raise risk appetite for higher returns.
In addition to the two new norms in the market, we identify the key macro factors that investors should take into account in the second half of 2020. Please click on the link below to find this report.
ABOUT PREMIUM CHINA FUNDS MANAGEMENT
Premium China Funds Management (PCFM) is a boutique funds management group providing specialist Asian equity and fixed-income funds to both Australian and New Zealand investors.
Capturing the growing economies and influence of emerging Asia, PCFM has developed 4 actively managed funds – the Premium China Fund, Premium Asia Fund, Premium Asia Property Fund and Premium Asia Income Fund.
The funds are managed by a large and experienced team with offices in Hong Kong, Shanghai, Singapore and Kuala Lumpur. The directors and investment managers of Premium and its fund offerings have extensive knowledge in Asian equity and credit markets, wealth management, and other financial services.
Jonathan Wu – Executive Director | Head of Distribution and Operations | Chief Investment Specialist
Jonathan.wu@premiumasiafunds.com.au
0416 031 676
Derek Paas – Asia Investment Specialist | State Manager (NSW/QLD/WA/ACT/NT)
Derek.paas@premiumasiafunds.com.au
0406 608 388