Q2 2015 – Quarterly Investment Letter

Global growth is happening but it remains sluggish. The economic impact of the gigantic QE measures, at global level, remain underwhelming. Please note that in Q1 2015 alone, more than 20 central banks lowered their interest rates! 

At present, the Fed also behaves more dovish than anticipated. Market expectations for a rate hike have shifted towards 2016 but a good deal of uncertainty remains. Nevertheless, the bond markets faced a correction in early Q2 after e.g. yields of German 10 year bunds were close to zero in early April.

Revived geopolitical concerns regarding the Middle East and the Gulf region have stopped the trend of weakening oil prices although the current excess supply situation prevails unless also the U.S. considers to play a buffer producer to global supply. The anticipated economic stimulus due to lower energy prices failed to materialize so far.

Despite a strong performance in core European equity markets we continue to favor European equities. However, we expect some sector rotation and a shift from exporters to domestic consumption. The Japanese stock market offers also investment opportunities.

Full Quarterly Investment Letter Q2 2015

Q2 Quarterly Reports Investment Management
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