The headlines from Prospect Wealth Management’s latest quarterly Investment Prospects:
- Equity markets outpace bonds so far this year, as we expected.
- US growth is accelerating despite tax increases and spending cuts.
- UK budget does little to stimulate growth and the outlook is for just 0.6% GDP growth this year.
- Japanese equities have been a significant contributor to performance this year.
Although global growth has been insipid so far in 2013, the US, UK and Japanese stock markets have performed strongly as the outlook for company earnings growth remains positive. European equities disappointed as progress on bank restructuring stalled and the Italian election produced a public rejection of the austerity policies of the technocrat governent of Mario Monti. This episode, along with the recent crisis in Cyprus, shows how difficult it is to implement the restructuring Europe needs to deal with its debt overhang and for the Mediterranean South to become competitive with the North…
Prospect Wealth Management brings the highest standards of professional investment management to the individual investor, charities and trusts.