Multi Asset
2022 long-term capital market assumption
The 2022 Capital Markets Assumptions show the global economy outlook is shaping up to be a lot brighter. However, risks remain as pre-pandemic challenges begin to resurface.
China is entering its fifth decade after the first reforms of the Deng Xiaoping era, and the conventional view among global investors, even emerging markets specialists, is that the economy is mature and growth avenues are mostly exhausted. The argument is that “miraculous” growth (to borrow former US Treasury Secretary Lawrence Summers’ term), driven by a favorable demographic engine and credit-fueled investment in housing and infrastructure construction, is unsustainable and even has to be “paid back” with depressed growth levels going forward. While there are elements of truth to this perspective, it is too simplistic and can lead investors to miss important long-term opportunities. A holistic view shows that robust, higher-quality future growth may be achieved through a better balance between trade, domestic consumption, and investment.
In this article, we discuss:
Read more about the next leg of China’s journey.
2022 long-term capital market assumption
The 2022 Capital Markets Assumptions show the global economy outlook is shaping up to be a lot brighter. However, risks remain as pre-pandemic challenges begin to resurface.
Analyzing COVID-driven policy shifts in China and the US
Policy responses to the pandemic in China and the United States are playing out in emerging markets.
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