What's in store for global markets in 2020?

We're more optimistic about capital markets than we are about economic growth.

Global market strategy

1

Central banks and geopolitics to shape the course of the global economy in 2020.

  • Some major central banks have become more accommodative, while geopolitical disruption continues to cast a shadow over growth.
  • All told, we forecast global economic growth of about 3% for 2020.
  • Regionally, we expect the lowest growth from Japan, the U.K., and the eurozone, and the highest from Asian emerging markets and China.
Read the outlook

Canadian equities

2

Getting better all the time

  • Canada should benefit from stabilizing global growth, supported by central banks around the world.
  • Canadian investors ought to consider emerging markets as an alternative to domestic equities.
Read the outlook

Exchange-traded funds

3

Which ETF strategies could help with 2020's expected challenges?

  • Presidential election years can be turbulent, and continued uncertainty could perpetuate investor interest in low volatility ETFs.
  • ETF strategies that access rewarded factors and high-yielding debt continue to proliferate.
Read the outlook

Fixed income

4

Despite uncertainty, in our view, fundamentals remain solid in many fixed income markets.

  • We believe 2020 will provide a positive backdrop for investment grade bonds.
  • In our view, high yield bonds will likely remain attractive in 2020.
  • We expect Chinese issuers will remain largely resilient and corporate default risk will remain low.
Read the outlook

Solutions

5

Diversification expected to gain in importance for 2020 and beyond.

  • We think a global recession is unlikely, but we may see a one in some parts of the world.
  • We expect the next decade to be vastly different from the past one.
  • We believe diversification can help portfolios weather pockets of uncertainty.
Read the outlook

More insights from across the globe