The Kuwait Investment Authority (KIA) organized an investment seminar in cooperation with the State Street Investment Corporation on Wednesday, December 12, 2018 which covered various topics including “The WorldEconomic Outlook for 2019″ and the “The Impact of Environmental, Social and Governance Factors.” on institutional Investments.
Lecturers states that the current global market outlook for slowing global growth in 2019, given the high level of risk, does not prevent investors from finding attractive investment opportunities in certain assets and markets because fundamentals remain strong, . The S & P 500 saw its longest rise in August 2018, followed by a major market correction in October, which means the economy is nearing the end of its cycle, which requires investors to expect more volatility. The earnings momentum in the US will boost the superior performance of equities, at least in the medium term.
State Street economists said the US economy at the moment does not show signs of concern or the classic causes of the recession, with inflation continuing to rise and the unemployment rate heading to a low of as much as 3% by 2020, The US economic recovery is on track in early 2019, and the growing geopolitical risk is likely to shake markets especially in the second half of 2019. Investors should apply the ESG model to their portfolios and follow a selective approach to asset selection in 2019.
The portfolio is diversified between defensive equity and high-quality credit. And finally taking into account investment opportunities in emerging markets such as local equities and bonds.
It is worth mentioning that the KIA always seeks to hold seminars and organize scientific seminars that contribute to the promotion and development of cadres and manpower through the latest developments on the financial and economic level and the exchange of experiences with international financial institutions, which is reflected in the development of self-capacity and skills acquisition which will enable them to deal with the challenges facing the national economy.