Beyond Bulls & Bears

Card image cap
Fixed Income

Global Economic Perspective: June

In this month’s Global Economic Perspective, Franklin Templeton Fixed Income Group examines whether inflation may gain momentum in the United Sates, why it’s pleased the European Central Bank has resisted tapering of its quantitative easing program and why investors in all markets need to be cognizant of political risks.

Card image cap
Perspectives

Uncharted Terrain: Today’s Global Market Drivers

Despite some uncertainties, economic improvements in developed and emerging markets have supported a positive mood across both equity and fixed income this year. However, with some risks on the horizon, many investors are wondering whether the tide may turn. Against this backdrop, Franklin Templeton’s senior investment leaders discuss where they see opportunities and risks ahead.

Card image cap
Equity

UK Election Result: Grounds for Optimism in the Medium Term?

“The UK election result came as a shock to most observers, but early indications suggest financial markets don’t view it as an end of the world scenario. And there are indications that some positives could emerge over the medium term.” Colin Morton, vice president, portfolio manager, UK Equity Team, June 9, 2017.

Card image cap
Fixed Income

Theresa May’s Shock Defeat Threatens Further Volatility

“The prospect of a hung parliament, resulting either in a minority government or a coalition, paints a picture of an administration not in complete control during a period in which the United Kingdom needs its most focused administration for 70 years. ” David Zahn, Franklin Templeton Fixed Income Group, June 9, 2017.

Card image cap
Fixed Income

Is It Time to Consider European Sovereign Debt?

"The divergence between bond yields of some eurozone countries should bring potential opportunities for investors willing to be flexible in the way they move in and out of areas where they don’t see value.” David Zahn, head of European Fixed Income, Franklin Templeton Fixed Income Group.

Card image cap
Equity

Prospect of Snap Election in Italy Spooks Equity Markets

"Assuming Italy will vote in 2017 and gain a stable coalition, all three major euroland countries will have newly elected governments. Hopefully, they can all work together for the next three to four years on EU reform following the United Kingdom’s exit. We think this could give financial markets long hoped-for political stability, the chance to mend the European project and reinvigorate growth.” Robert Mazzuoli, portfolio manager, Franklin Local Asset Management, European Equities.

Card image cap
Equity

The “Known Unknowns” Surrounding the Public Offering of Saudi’s Crown Jewel

Bassel Khatoun, our CIO of MENA Equities, discusses what he sees as a set of “known unknowns” that could influence the valuation of Saudi Aramco. He suggests an accurate valuation is premature, pending further clarification.

Card image cap
Fixed Income

Behind the Record-Breaking GCC Debt Issuances

“Despite a surge in debt issuance from the GCC region, its debt market is by no means saturated. We think it’s a region that is under-represented on the international stage and in which most participants are chronically under-invested.” Dino Kronfol, CIO, Franklin Templeton Global Sukuk and MENA Fixed Income Strategies.

Card image cap
Fixed Income

Global Economic Perspective: May

In this month’s Global Economic Perspective, Franklin Templeton Fixed Income Group examines the aftermath of the French election in Europe, signs of a pickup in global growth and whether Japan’s “Abenomics” experiment is working.

Card image cap
Fixed Income

Trade and Taxes in a World With Borders

“Successful [US] corporate tax reform would go a long way in promoting the incentives for real investment over the long term. Since weak investment has been identified as a potential drag on productivity growth since the global financial crisis, this shift in incentives could have strong and long-lived benefits.” - Michael Hasenstab

Card image cap
Fixed Income

Why We’re Expecting a Return to Normality

"The argument that investors should confine themselves to risk-free assets because the world is on the brink of adopting a swathe of radical fiscal and monetary policies or because we’re facing the prospect of the break-up of the EU, seems to me to be specious."

Card image cap
Perspectives

The Political Implications of Macron’s Win in France

In the wake of Emmanuel Macron’s victory in the French presidential race, what’s next for investors? Matthias Hoppe, senior vice president and ...