NEXT PUBBLICATION: 20.02.2018
The financial markets started the year with vigor, particularly in the stock market, the major indices immediately marked new highs.
We believe that this trend may continue for the coming months, as monetary returns do not offer attractive alternatives; even the underlying’s with increased risk do not offer an acceptable risk /return ratio.
Even the economic data that come, especially from Europe, point to a good recovery of the economy of the old continent further favoring this good start of the year. We favor the shares with good dividend and those of the technological sector, in the short term, the market remains awaiting the quarterly results.
In the equity sector, we recommend a strong diversification of securities through the purchase of equity funds.From a political point of view, the uncertainties remain about the unpredictability of the American president Trump and the upcoming political votes in Italy. In particular, this last factor could lead to a significant change in the positive trend in progress.On the currency front, the single European currency can remain strong against both CHF and USD.For the latter recent discussions on American debt are starting to negatively weigh.
China itself, which holds a good share of American debt, has recently expressed concern over the continued deterioration of the US debt.The metal is expected to remain on good levels for the time being, in the second half of the year it could retrace as a result of the expected increase in interest rates, particularly of the US ones.To diversify the portfolio, we believe that investing in hedge funds with a low correlation with the equity markets could be a winning idea.