Tag : pinebridge investments

The answer to the long-running debate between growth and value, is not either or, but in using both inputs to navigate shifts and volatility across market cycles, says Rob Hinchliffe, portfolio manager, head of global sector cluster research at PineBridge Investments.

With the long-term opportunities in global emerging markets being the best they have been in years, an active, differentiated, style-neutral portfolio is best placed to generate alpha, say Anik Sen, global head of equities, and Robert Hinchliffe, CFA, portfolio manager and head of global sector cluster research at PineBridge Investments.

PineBridge Investments’ Elizabeth Soon, head of Asia ex-Japan equity, Cynthia Chen, equity portfolio manager, and Arthur Lau, head of Asia ex-Japan fixed income make a case for the region offering investors stability that may be lacking elsewhere amid global tumult.

EM corporate debt offers positive real yields while Japan stocks are increasingly attractive as a proxy for global growth. Moreover, Asia is set to benefit from the global upturn in the next phase of the cycle.

Asian US dollar bonds have not only withstood the worst of the Covid-19 volatility so far but have come out as attractive as ever – offering investors opportunities to pick value at various points of the yield curve.

Elizabeth Soon, head of Asia ex-Japan equities, says unpredictable markets puts the focus on companies robust enough to survive the crisis and gain market share over the long term.

The development of COVID-19 raises three key issues: the efficacy of the global response, the path of the recovery, and the conservative behaviour of consumers after a pandemic. PineBridge Investments assesses how these factors could affect fixed income, equities, and alternatives markets.

What will be the dominant market drivers in the global economy next year? Markus Schomer, chief economist of PineBridge Investments, sees a three-way toss-up between macro, policy, and politics.

The Asian bond market offers refuge with higher yields and stable return but investors need to navigate idiosyncratic risks and the impact of policy and politics.

Volatile markets and a delicate global macro-economic environment have kept some investors on the sidelines. But the economic cycle should not be a barrier to opportunity, says PineBridge Investments.