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Invesco Canada blog

Insights, commentary and investing expertise


Global Market Strategist, Invesco Ltd.
April 6, 2020
Subject | Coronavirus impact | Macro views

In the early stages of the COVID-19 pandemic, we talked about the need for an effective, global, three-pronged approach in order to achieve a “best-case scenario” outcome: 1) an appropriate health policy response to “flatten the curve” and control the spread of the virus; 2) an adequate monetary policy response to support financial markets and the economy; and 3) an adequate fiscal policy response to help soften the economic blow to households and businesses. We saw effective approaches, in different forms, in both China and South Korea. Now we are looking to other policymakers to provide effective strategies as the novel coronavirus spreads.

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Where do portfolio managers see opportunities in today’s environment?


Global Market Strategist, Invesco Ltd.
April 6, 2020
Subject | Active management | Coronavirus impact | Invesco Fixed Income (IFI) | Macro views

The three-pronged fight against COVID-19 and its economic impact continues. Central banks are providing monetary policy support to keep banks and markets functioning, national governments are providing fiscal policy support to consumers and businesses, and governments at all levels are taking public health policy steps to contain the spread of the virus. (Not to mention the tireless dedication of the health care workers on the front lines and the scientists searching for treatments and vaccines.)

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Positioning for the rebound?


Co-Head of Asia & EM Equities
April 2, 2020
Subject | Active management | Coronavirus impact | Macro views

Before I answer the following specific questions, let me first say that these are the sorts of times we live for as fund managers. Volatility provides opportunity, uncertainty leads to mis-pricing. Work we have done over several years can now be brought into use: we have already run the ruler over many businesses which used to trade at fair values but which now trade at bizarrely cheap valuations.
 
Decisions we make in these weeks of high-intensity can be crucial for performance both in absolute and relative terms. And Asian & Emerging Markets Equity of previous situations of similar intensity (1998, 2001, 2003, 2008/09, 2015/16) helps inform these crucial decisions. While I am deeply unhappy with the performance of our investment strategy this year, I believe there are now many buying opportunities out there.

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Where do stocks and bonds go from here?


Global Market Strategist, Invesco Ltd.
March 30, 2020
Subject | Active management | Coronavirus impact | Macro views

In last week’s blog, members of Invesco’s Global Market Strategy (GMS) team in Hong Kong, Italy, London, Tokyo and New York shared their on-the-ground insights of the fight against coronavirus from a health care, monetary, and fiscal perspective. Today, we take a deeper dive into the potential implications of the pandemic on U.S. stocks and bonds, as well as the GMS team’s view of asset allocation considerations.

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A new dashboard to consider for signs of a new market cycle


Global Market Strategist, North America
March 27, 2020
Subject | Active management | Coronavirus impact | Macro views

Chuck Noland, Tom Hanks’ character in the movie Cast Away, may have perfectly captured the mood we need to bring to these challenging times, when he said, “I gotta keep breathing. Because tomorrow the sun will rise. Who knows what the tide could bring?”

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The coronavirus “sudden stop” needs credit support


Chief Strategist and Head of Multi-Sector, Invesco Fixed Income
March 24, 2020
Subject | Coronavirus impact | Invesco Fixed Income (IFI) | Macro views

The U.S. economy is currently experiencing a “sudden stop” in growth, as efforts to combat the spread of the coronavirus increase. Social distancing will likely have a direct impact on workers and small businesses across the economy. Invesco Fixed Income’s expectations currently are for the U.S. and European economies to contract sharply in the second quarter this year, and this estimate is subject to further revision down if the virus continues its aggressive spread. This very sharp contraction is pressuring all players in the U.S. economy and creating a funding need for corporations, small businesses, and households. It is vitally important that funding needs be met to ensure that the exogenous economic shock the U.S. economy is experiencing does not migrate into a financial crisis, which would likely further pressure economic growth.

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