Global investors managing more than $500 billion are buying emerging-market debt and shares of well-capitalized companies to avoid the European debt crisis and low-yielding havens such as U.S. Treasurys."Balance sheet strength is a big theme for us at the moment," said Anne Richards, wholesale nfl jerseyspchief investment officer at Aberdeen Asset Management Plc, which oversees $288 billion. "Many European equities are high risk while we are also nervous about U.S. Treasurys, which look overvalued."Surging borrowing costs for Italy and discount nfl jerseys Spain, Europe锟斤拷s third- and fourth-biggest economies, have pushed up prices of traditional haven assets such as 10-year Treasurys and German bunds, which are offering negative real yields.That锟斤拷s leading investors who met last week at the annual Fund Forum conference in Monaco to look to emerging markets for capital preservation as well as growth."People are underestimating the health of Asian issuers," said Richards, who is buying Indonesian sovereign debt, Latin American corporate bonds and gold to guard against major shocks in Europe. For growth, Aberdeen fund managers favor European stocks with strong balance sheets and customers in emerging markets such as HSBC Holdings Plc.That锟斤拷s leading investors who met last week at the annual Fund Forum conference in Monaco to look to emerging markets for capital preservation as well as growth.
"People are underestimating the health of Asian issuers," said Richards, who is buying Indonesian sovereign debt, Latin American corporate bonds and gold to guard against major shocks in Europe. For growth, Aberdeen fund managers favor European stocks with nfl jerseys for sale strong balance sheets and customers in emerging markets such as HSBC Holdings Plc.Jim McCaughan, chief executive officer of Principal Global Investors LLC, which manages about $250 billion, agrees there锟斤拷s "not much point" in buying cheap nike nfl jerseysU.S. Treasurys at current yields. He prefers emerging-market debt and equities along with U.S. commercial property yielding 6 percent to 7 percent.
"The eurozone will be a source of volatility and nfl jerseys cheap a headwind probably for a few years to come," he said. ("sadgjf2542") There is a 25 percent chance Europe锟斤拷s leaders fail to deal with the crisis or get voted out of office and replaced by nationalist politicians who reject the euro, McCaughan said. That would cause Europe锟斤拷s economy to contract by between 5 percent and 8 percent in a year, he said. |
