On a short to medium term horizon, the investment outlook is reasonably positive, said a top official, adding that 2021 should be about clipping coupons in fixed income and finding capital appreciation in stocks with strong earnings growth.

Maurice Gravier, Chief Investment Officer, Emirates NBD Group, was speaking at a media briefing, commenting on the global investment outlook report titled “The Age of Magic Money” released by Emirates NBD.

Gravier explained his investment strategy against the backdrop of the unprecedented events of 2020 and their impact on financial markets. The CIO and his team remain confident in imminent economic recovery boosted by widespread distribution of the vaccines and governments’ fiscal stimulus amidst a low interest rate regime supporting elevated valuations.

“On a strategic i.e. the long-term horizon however, the investment landscape has changed. We are entering the age of magic money - of low returns and some new risks, should it be inflation or just mountains of debt. Our response is to reshuffle our strategic asset allocation with more emerging markets than ever. They grow faster, with secular drivers supporting them well above the post pandemic rebound, they are cheaper, and less crowded,” Gravier said.

The CIO also discussed the recent launch of the bank’s multi-asset funds, run from Dubai: Emirates Signature Cautious Fund, Emirates Signature Moderate Fund and Emirates Signature Aggressive Fund, available in AED, EUR and (US dollars). Run from Dubai and domiciled in Luxembourg, the funds offer a direct and constant implementation of Emirates NBD views, with a low minimum investment of $1,000 and daily liquidity.

The annual Emirates NBD CIO Outlook is an advisory blueprint covering investment opportunities and key global economic indicators and in-depth financial market insights, based on which Emirates NBD’s team of advisors, strategists and analysts make recommendations on financial transactions and investments to the bank’s qualified clients. – TradeArabia News Service