Standard Chartered Money Insights

The strong burst of stimulus-led equity market performance is likely to give way to a more sustainable pace of gains in H2 2021 and beyond as the US economic recovery wave radiates to other parts of the global economy. Equities and higher yielding corporate and Emerging Market USD bonds remain preferred in this environment.

Speakers:

• Steve Brice, Chief Investment Officer, Standard Chartered Bank
• Manpreet Gill, Head of Fixed Income, Currency and Commodities (FICC) Investment Strategy, Standard Chartered Bank

To drive the momentum in mainstreaming ESG, understanding ESG factors and what goes into ESG ratings is important for investors. With a wealth of ESG information from various ESG rating agencies, how can investors decipher what are the meaningful ESG metrics and how to use them? We will delve deeper into how an asset manager uses its ESG ratings and also address the rise in ESG ETFs with the use of ESG ratings. 

Speakers: 

• Marco Iachini, Cross-Asset Strategist, Standard Chartered Bank
• Thomas Morris, Product Specialist, Global Growth Equities, Allianz Global Investors

The USD got a lift off a more confident Fed, following the central bank's upgrade to its growth and inflation forecasts and its decision to bring forward rate hike expectations to 2023. The upcoming trading sessions will likely provide confirmation of whether the USD will continue its cyclical downtrend quickly or settle into a period of consolidation over the next few weeks. Our medium-term bearish USD view remains unchanged.

Speaker:

• DJ Cheong, Investment Strategist, Standard Chartered Bank

The Fed’s upgrade of US growth and inflation estimates and bringing forward of rate hike expectations to 2023 signals its growing confidence in the outlook for the economy. We believe a sustained economic recovery, a transitory bout of inflation and a still-accommodative Fed well into 2023 support our view that stocks will continue to outperform bonds and cash over the next 6-12 months.

Speakers: 

• Marco Iachini, Cross-Asset Strategist, Standard Chartered Bank
• Steve Brice, Chief Investment Officer, Standard Chartered Bank

The JPY has been an underperformer within G10 FX amid solid reflationary forces and the market returning to using JPY as a funding currency. We list several catalysts that could lead to a JPY rebound against the USD over the coming months. These include supportive capital inflows into Japan and elevated short JPY positioning.

Speaker:

• DJ Cheong, Investment Strategist, Standard Chartered Bank

US stocks rose and the benchmark 10-year Treasury yield fell below a crucial support even after US inflation jumped to a 13-year high of 5%. The market reaction supports our view that the current bout of inflation is transitory and that the Fed is unlikely to start unwinding its unprecedented monetary stimulus soon. 

Given this, we stick with our pro-risk stance, based on our outlook for strong economic growth and corporate earnings.

Speakers:

• Marco Iachini, Cross-Asset Strategist, Standard Chartered Bank
• Audrey Goh, Senior Cross-Asset Strategist, Standard Chartered Bank

We continue to favour the GBP as the UK gradually reopens its economy while UK political uncertainty recedes. A more hawkish Bank of England (BoE), as well as renewed capital inflows into the UK are also reasons why we expect the GBP to register further gains against the USD.

Speaker:

• DJ Cheong, Investment Strategist, Standard Chartered Bank

The chips are falling into place for Euro area and UK stocks to outperform the rest of the world and the EUR and GBP to rise further in the next 6-12 months. Our increased conviction is based on the accelerated pace of vaccinations, which should enable the region’s economies to normalise quicker than previously expected. We believe the improved prospects are not yet priced into asset valuations or reflected in investor positions. 

Speakers:

• Manish Jaradi, Senior Investment Strategist, Standard Chartered Bank
• Abhilash Narayan, Senior Investment Strategist, Standard Chartered Bank

Water is the foundation of all economic and social development, critical for everyday use, and especially vital in industrial production and the agricultural sector. Water as a resource is both abundant and scarce, and the demand is ever increasing. We will delve deeper into understanding the water crisis, the investment opportunities, and how it enhances investment portfolios.

Speakers:

• Marco Iachini, Cross-Asset Strategist, Standard Chartered Bank
• Jessica Lee, Head of Wholesale Distribution, Southeast Asia, BNP Paribas Asset Management

Today, governments, businesses, and investors increasingly equate the Paris alignment with achieving net-zero emissions by 2050.  As the global energy system is responsible for 70% of emissions today, it is at the heart of addressing climate change and its transition is only at the start of a multi-decade journey. The brings forth big questions on the future of energy -  where do we stand, where do we go from here and what are the investment opportunities?

Speakers:

• Audrey Goh, Senior Cross-Asset Strategist, Standard Chartered Bank 
• Ramon Esteruelas, Investment Specialist, BNP Paribas Asset Management