BUSINESS AND MONEY
Expectations for a downturn in equity market performance begins to influence institutional allocation intentions as investors prepare for the year ahead
Abraxas GAM, the New York and Hong Kong based provider of alternative asset management solutions, has reiterated that the large majority of its institutional client base believes that value throughout global equity markets has peaked as sentiment widely suggests that markets are overdue a sizeable and imminent correction.
After 2019 began with widespread selloff, markets again rallied with the S&P 500 index ending for the first half of 2019 17.4 percent up. Whilst the early correction was welcomed by some as needed, assets remain overvalued as the excessive effects of quantitate easing have indiscriminately inflated prices over the past decade.
“The state of the market continues to present investors with a series of challenges as they look to manage risk through turbulent conditions. Whilst equities have in large rewarded investors over the past 12 months, we believe that assessing portfolio allocations during this time should be a foremost concern as portfolios prepare for what is likely to be a volatile run towards the end of 2019,” commented Lex Anderson, senior market analyst, Abraxas Global Asset Management New York.
“Over the past 18 months, we have noticed a significant shift in institutional allocations as the majority of our clients have diversified their holdings into alternative positions, specifically through hedge fund placements and secondary market private transactions. We expect this pattern to gather momentum as the year continues to unfold,” continued Mr. Anderson.
With a number of high-profile political events set to unravel during the second half of 2019, analysts at Abraxas GAM believe that risk-adjusted measures should be taken through by increasing positions that are less correlated to equity market exposure.
“The repercussions on wider market…
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Editor's Pick | People In Business
By Ritz Herald /Every great entrepreneur’s story begins with a dream and every dream comes laden with hard work and determination as two of the three ingredients needed to bring it to life.
The third ingredient?
A steadfast and talented businessman who won’t take second best and who knows nothing but hard work and grit.
Whether we’re talking about Warren Buffett’s starter home and humble lifestyle or Steve Jobs and Steve Wozniak founding Apple out of a garage, all of the stories of successful business people hold a similar tone and offer a universal message: Believe in yourself, no matter what the cost.
One man that has embraced this ethos is Charlie, the founder and Chief Executive Officer of ECP Solutions, LLC, a company that specializes in ecommerce logistics such as drop shipping, social media marketing, and crypto-currency exchange management.
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“As one of the largest employers in America, we’re proud of the number of quality middle class careers we’ve provided to our employees, with wages and benefits that are among the best in the country. We have a longstanding cooperative relationship with our unions, and we’re committed to working together to bargain fair contracts that will allow us to continue to provide those careers.” – Mark Royse, Executive Vice President – Labor Relations
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SOURCE AT&T Communications
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