Investors are at a crossroads, as evidenced by recent developments in financial markets, Florin Dolea, CEO of Amundi Asset Management Romania, told a news conference yesterday.
He said: "We think we are at a crossroads. This shows the developments in recent financial markets that come after a period of sustained global economic growth." A time when we think our investors are asking themselves: what to do, what direction we should be at the moment. "
According to Amundi representatives, the pace of global economic growth has already reached its maximum, with the possibility that, in the future, we can witness a more international growth environment.
Bernard Pujol, director of Amundi Paris for Partnerships and Services, said: "We are at the end of a period of normalization of monetary policies. On the one hand, reference interest rates were raised and realized in the United States.") And the Central Bank (ECB) will begin to raise interest rates next year, which means that we are in this normalizing environment.
Of course, this will lead to low liquidity in the market and a tightening of financial conditions. A key element is increased volatility, fueled by rising interest rates, on the one hand, and political events such as the trade war, which should also increase volatility in financial markets next year, on the other. "
Bernard Pujol added: "But it should be mentioned that in the last 3 to 4 years the level of volatility in the markets has been reduced and this increase in volatility will be a key challenge for us … We revised somewhat negatively forecasts for economic growth for 2018 and 2019, but the prospects for global growth remain robust. "
According to Nuria Trio, head of Amundi Milan's Business and Investment Development Division, despite the fluctuations, shares are the assets that provided the best long-term return (5.8% for Amundi-managed funds), followed by bonuses . corporations (2.8%) and government bonds (2.4%), while the only assets with negative returns are bank deposits, whose profitability was eroded by inflation.
Amundi Asset Management is an investment manager that operates in Europe, North America, Asia Pacific and the Middle East and is listed on the Paris Stock Exchange in November 2015.
Of the 1,300 billion euros in management, 614 billion are investments in fixed income; 234 billion in mixed funds; 192 billion invested in shares; 186 billion are liquidity solutions, while other assets are worth 81 billion euros.
After the financial crisis of 2008 and December 2015, the US benchmark interest rate was reduced to 0.25%, so that credit institutions have easier access to liquidity.