2016 is set to be a challenging year for the financial markets. Market volatility makes investment decisions more difficult; Paolo Galvani and Yuchen Xia discuss the outlook for investors.
They explore 4 key areas and how these may impact the financial markets:
- The divergence of global monetary policy is likely to impact the performance of equity markets.
- Growth slowdown in China will lead to inconsistencies in monetary policy creating uncertainty in the market.
- Oil prices are the lowest for over a decade, any changes create a disproportionate market reaction.
- Numerous political events will have an impact on the short-term markets and these changes could set the tone for the future.
These events make your investment strategy all the more important. In order to grow your savings it is crucial that you have a diverse portfolio and are able to respond to market changes at the appropriate moment.
