POWERED BY MOMENTUM MEDIA
European and Asian institutional investor sentiment softens
Institutional investors in Europe and Asia have shown a distinct difference in sentiment to those of their North American counterparts, according to the latest State Street Investor Confidence Index.
The index, released this week, declined 0.3 points to 93.8 driven by a seven point decrease in the European to 92.9 along with the 0.4 point decline in the Asian index to 108.1.
The index analysis pointed to the fact that, by contrast, the North American index rose two points from 87.6 to 89.6.
Commenting on the outcome, State Street's Ken Froot said stretched valuations and geopolitical risk did not support global sentiment at the start of 2017.
"While financial markets crave political stability, political change is disruptive," he said.
"With the new US Administration taking office mid-month, worries about trade policies and a stronger dollar have taken centre stage in 2017."
State Street Associates managing director and head of investor behaviour research, Rajeev Bhargava said it was noteworthy that after a more constructive vote of confidence by European investors in December, sentiment had moderated somewhat as the New Year started.
"Concerns surrounding the impending French and Dutch elections as well as a hard Brexit may have fuelled this cautious tone," he said.
Recommended for you
Equity markets have surged ahead of fundamentals as institutional investors fall behind, according to Ten Cap Alpha Plus.
Local investors are leading the region in plans to boost private market exposure, as demand grows for innovative fund structures, resilient investments, and a more selective approach to alternatives.
Research shows institutional investors are increasingly turning to private credit, but the APAC region’s relatively small market size remains a key constraint.
The global financial platform has completed a Series F funding round, with superannuation funds participating in the round.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
92.15 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
53.24 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
43.15 3 y p.a(%)
4
DomaCom Shoreline North Coogee
36.26 3 y p.a(%)
5
GAM LSA Private Shares AU I
35.87 3 y p.a(%)
