What investors should look out for in 2020

Negative yields

In the face of many businesses having to reduce or temporarily discontinue their production, investors need to prepare for earning revision. More visibility on the full impact is expected by July when Q2 results are published.

Market Cycle

Leading market indicators point towards a recession in 2020. This economic downturn was caused by an event (event driven bear market) and historical data suggests a comparatively short recovery period. Will this time be different?

Corporate profits

Corporate profits will be under pressure in certain sectors with fixed labor costs and declined consumer spending. Most businesses will likely increase their technology spending to achieve operational efficiencies.

Global coordination of financial and fiscal stimulus

States around the globe are currently approving economic care packages to stimulate their economy, with the US passing an unprecedented $ 2 trillion stimulus package.