Around the world with BMO GAM’s multi-asset team
By Sonia Rach, 12 Jan 18
As we settle into the new year, wealth managers are deciding on the best places to put their cash. Here, the EMEA multi-asset investment team at BMO Global Asset Management assesses the case for investing in Europe, UK, US and China.
Last year the EU negotiations raised concerns about heightened political volatility.
Despite this, the year still proved strong for funds investing in Europe with none in the IA Europe ex UK sector losing money.
In a year review dated to 14 December, the MSCI Europe Index was up 15.27%, while funds in the IA Europe ex UK produced a sector average return of 16.66%.
BMO GAM said: “Even in a world of synchronised growth, the improvement of Europe’s economies stands out. The reasons behind the upturn are self-evident.
“Europe is at the end of a period of fiscal austerity and this, alongside massive monetary expansion, is feeding through into a sustained economic upswing.
“Spain’s problems in Catalonia, Italy’s forthcoming 2018 election and key wage negotiations in Germany loom on the horizon but we do not foresee these derailing Europe’s cyclical upturn.”