J.P. Morgan Asset Management

This is close to being the longest economic expansion on record. Nobody knows exactly when it will end, so it’s worth considering what investments could rise in value when equities and other risk assets fall during the next downturn.

A summary of the factors driving global markets over the last month.

Volatility in global markets has picked up over the last six to nine months. Iain Stealey, International Chief Investment Officer, Global Fixed Income Currency & Commodities Group and Portfolio Manager of the JPM Global Bond Opportunities Fund, looks at how the fund’s disciplined, dynamic approach is helping it to navigate this more uncertain environment.

Lead Portfolio Manager Clare Hart explains how the JPM US Equity Income Fund's exclusive focus on quality, value and dividends allows it to share in the long-term growth of the US stock market, while keeping a lid on volatility whenever the going gets tough. 

Rising incomes and technological change in the emerging economies present considerable investment opportunities for investors with longer time horizons. Karen Ward, Chief Market Strategist for EMEA, highlights factors to consider for these markets.

Stock prices climbed across regions for the second consecutive month in February. Investor sentiment was buoyed by a combination of constructive US-China trade talks, a considerably more dovish stance from the US Federal Reserve and the implementation of Chinese stimulus measures.

Although global growth momentum has slowed, Emerging Market economies and markets remain firmly in mid cycle. When we consider the outlook for EM equities in 2019, we don’t worry about late-cycle constraints. Nor do we worry about valuations-after last year’s battering, valuations are quite attractive.

Like summers, economic expansions do not last forever. Karen Ward, Chief Market Strategist for EMEA, looks at portfolio considerations in the late cycle.

Our investment outlook for 2018 was titled, “It ain’t over till the central banks sing”. We argued that although the cycle was relatively old, there were still not convincing signs that the global economy was at full capacity.

Markets were again plagued by volatility in May, largely due to heightened political risk. The US administration’s approach to global trade, North Korea and Iran remain uncertain, while Italy’s new populist government added to market concerns. Risk-off sentiment contributed to a significant rise in the value of the US dollar, which strengthened 2% vs. a basket of major currencies.

Amit Parmar looks at the recent surge in oil price and its impact on UK equity income investors.

Karen Ward, Chief Market Strategist for EMEA, shares her views on the key themes for the second quarter of 2018.

The Brexit negotiations have reached an important milestone with both sides agreeing to a period of transition between the UK formally leaving the EU in March 2019 and the new relationship coming in to force in January 2021. This has lifted sterling and UK interest rate expectations. Both could get a further boost if the next ambition is met - an agreement on the heads of terms of the final deal.

The euro’s upward march against the US dollar has been on hiatus since the end of January. How do the arguments for the two currencies stack up, and where might they go from here?

Over the past week financial markets have reacted negatively to the President’s announcement of tariffs on steel and aluminum, mainly due to fears of a trade war that could reduce global trade. In this note, we address a number of key questions that investors have been asking us about this issue.

The European Central Bank (ECB) met recently and kept policy unchanged.

William Meadon explains how investment trusts can provide investors with a level of income certainty.