Amundi on the investment opportunities in the economic cycle: Capital market scenario for 2019 brings more increasing volatility in the financial markets

Amundi Asset Management organized the first Crossroads event in Romania on November 7th, representing a series of global events where renowned investment specialists share their perspectives on the current economic cycle that shows signs of maturity.

On this occasion, Amundi experts presented investment themes such as Step Out of Cash and Value & Quality Mix. The event included a press conference, followed by an investment conference addressed to top bankers at UniCredit Bank, Amundi’s main distribution partner in Romania.

“We are delighted to welcome Amundi’s experts in Romania, on the occasion of the international series of Crossroads events. This event proves the involvement and commitment of our Group to the development and diversification of the financial market in Romania”, stated Florin Dolea, CEO of Amundi Asset Management S.A.I. S.A.

Financial markets have seen a change in sentiment – as central banks start the process of monetary policy normalization, risks have increased and volatility is rising, especially in equities and currencies. However, the global growth outlook remains solid; some major economies will achieve above-trend growth compared to previous years. The peak of growth momentum is probably behind us, while the growth environment is likely to be multi-speed in the future.

“Finding the perfect solution that suits both our clients’ investment objectives, and their risk appetite, in a maturing cycle can be challenging; however, we have vowed to create a collection of investment themes that seek to outline the very best investment ideas within our range of products at Amundi. As one of the world’s leading asset managers, Amundi can help its investors to understand the main drivers of today’s markets and find ways to take advantage of new opportunities”, said in his turn Bertrand Pujol, Head of Partnerships & Services – Amundi Paris.

Amundi specialists estimate that the most likely capital market scenario for 2019 brings more increasing volatility in the financial markets. Different factors can influence overall market trends, from macroeconomic factors to geopolitical risks. For the period ahead of us, it much depends on the measures adopted by monetary authorities in each region towards “normalization”, to what extent economies will confirm high growth expectations of the markets, how inflation trends will develop, whether the trade war will actually further develop, or whether current geopolitical tensions will further escalate in the world.

“Our conservative, “absolute return” portfolios within the multi-asset expertise center at Amundi are actively managed and well diversified across different investment strategies to capture the set of opportunities that international equities and bonds offer to investors throughout a reasonable investment horizon”, declared  Nuria Trio, Head of Business Development and Investment Specialists, Multi-Asset Investments – Amundi Milan.

On the equity side, with the potential for higher volatility, a stock picking approach with a focus on exploring bottom up opportunities across sectors can be seen as an attractive solution in this environment.

“Within the European equity expertise team of Amundi an approach of a “Core” and “Opportunistic” element coupled with a stringent focus on portfolio construction has been very successful in delivering strong risk adjusted returns over the long-term”, said Chris Morgan, Senior Investment Specialist – Amundi Dublin.

Amundi is Europe’s largest asset manager by assets under management and ranks in the top 101 globally.