SEB: Investment Outlook: Reducing our risk level to neutral
21 May 2019 - 3:30PM
Press release
Stockholm, May 21, 2019
After their strong performance so far during 2019,
stock markets and credit markets are now at levels similar to those
before last October's turbulence. The late phase of the business
cycle is often dramatic - including this time around - with
increased volatility and flatter trends. If we experience a
scenario of upward-revised earnings, there is potential for a more
positive stock market trend, but due to this year's major share
price upturns we have chosen to reduce the risk level in our
portfolios to a more neutral stance.
"We are now in the interesting situation that
shares and corporate bonds are priced much higher than one quarter
ago, while economic turmoil has receded. Looking ahead, however,
relatively high valuations suggest that we will also see a period
with more volatility," says Fredrik Öberg,
Chief Investment Officer, Private Banking.
This issue of the quarterly Investment Outlook report includes three theme
articles. We present our view on how the next recession might
unfold. Will it be as dramatic as at the turn of the millennium and
during the financial crisis of a decade ago? We also provide our
take on India, whose stock market we have been optimistic about for
some time. In the fixed income field, we explain how a floating
rate note (FRN) investment works: a type of fixed income investment
that provides the opportunity for good returns even if today's low
interest rates start to rise.
Investment Outlook can also
be read in its entirety at www.sebgroup.com.
For further information, please contact Fredrik Öberg, Chief Investment Officer
+46 8 763 6304
fredrik.oberg@seb.se |
Press contact Laurence Westerlund,
Press Officer
+46 8 763 8627
laurence.westerlund@seb.se |
|
SEB is a leading Nordic financial services group with a
strong belief that entrepreneurial minds and innovative companies
are key in creating a better world. SEB takes a long term
perspective and supports its customers in good times and bad. In
Sweden and the Baltic countries, SEB offers financial advice and a
wide range of financial services. In Denmark, Finland, Norway,
Germany and the United Kingdom, the bank's operations have a strong
focus on corporate and investment banking based on a full-service
offering to corporate and institutional clients. The international
nature of SEB's business is reflected in its presence in some 20
countries worldwide. On March 31, 2019, the Group's total assets
amounted to SEK 2,886 billion while its assets under management
totalled SEK 1,790 billion. The Group has around 15,000 employees.
Read more about SEB at https://www.sebgroup.com |
Press release (PDF)
IO May 2019
This
announcement is distributed by West Corporation on behalf of West
Corporation clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: SEB via Globenewswire