There is a real risk of the market troubles in China developing into a credit crisis in the world’s most populated country, according to Maarten-Jan Bakkum, senior emerging market equities strategist at NN Investment Partners.
The demise of the convertible bond market has long been foretold but it continues to persevere and, for the team at NN Investment Partners, the options it provides are perfectly suited to the current environment.
Despite growing concerns about the threat posed to portfolios by the eurozone crisis, investors remain willing to add risk to their portfolios, NN Investment Partners said on Thursday.
“Events in Greece have tipped the balance,” Bank of England Governor, Mark Carney, said on Wednesday as explanation for the Financial Policy Committee’s view that risks to financial stability have worsened.
Institutional investors continue to favour multi-asset strategies as a way of balancing risk and return a new survey by NN Investment Partners shows.
European fund selectors are increasingly allowing for the possibility that Greece will leave the Eurozone. How markets will react to a Grexit is another question though.
