Swiss Pictet Asset Management: Bullish on Japanese and Swiss stock markets, maintaining a buy on stocks and gold.

2024-04-09 15:43

Zhitongcaijing
Pictet Asset Management in Switzerland is optimistic about the Japanese stock market, based on its solid earnings and Japanese corporate governance reforms. They also prefer the Swiss stock market to invest in high-quality companies.
Swiss Pictet Asset Management's Chief Strategist Luca Paolini released the investment outlook for April, stating that with the possibility of interest rate cuts in the United States and other developed economies, the stock market rally is expected to continue. Despite the global economic and liquidity conditions not being optimistic, there are signs of improvement that could support risk assets. It is recommended to maintain overweight positions in stocks, remain neutral on bonds, and reduce cash holdings. It is also advisable to increase exposure to gold as a hedge against current risks, including weak economic growth and unexpectedly strong inflation.
Swiss Pictet Asset Management also sees potential in the Japanese stock market, based on its strong earnings and corporate governance reforms, and prefers the Swiss stock market for investing in high-quality companies. The company also believes that the market rally driven by artificial intelligence will extend to sectors like energy, commodities, finance, technology, and communication services.
In terms of fixed income, Swiss Pictet Asset Management prefers US government bonds, UK government bonds, investment-grade credit, and emerging market debt. Conversely, it recommends reducing exposure to low-yield Japanese and Swiss bonds.