Dr Joseph Lai, from Ox Capital talks about the global franchises that are attractive right now and why he thinks that China’s equity market is flashing green.

Over the past five years, bond markets have experienced a remarkable transformation that has reshaped the investment landscape. However, from the pandemic to the rising macro-economic pressures of today, fixed income continues to play an important role in portfolio construction. To maximise the benefits of this asset class, it is crucial to understand what has driven this market evolution and where it is likely to head next.

The Magnificent 7 dominated US equity market returns in 2023 but while some continue to thrive, others have experienced negative returns this year. We talk to Alphinity Investment Management’s Jeff Thompson about which of the tech giants still represent good value and more.

Since its inception in the 1970’s, the global asset backed securities market has evolved beyond mortgage-backed assets to include loans secured by autos, equipment, credit card/personal loan receivables as well as high yield corporate loans. As the range of investment opportunities has grown, there is an opportunity for enhanced yield compared to similarly rated corporate credit.

Chinese equities are trading at extremely attractive levels, and in our view, the outlook is highly prospective for long term investors.

The saying that all good things must come to an end is a bittersweet reflection of reality. Sadly, too many of us fail to appreciate those good times, often focusing on what could or might go wrong. Perhaps this is understandable given the potential for higher interest rates to stifle economic growth and an increasingly complex geopolitical environment.

In this episode we explore the disproportionate impact of modern slavery on women and girls and what investors can do about the issue.

Demand for data storage and processing, accelerated by online meetings and AI advancements, is driving the growth of the data centre industry which requires significant cooling.  Industrial cooling consumes large quantities of water and energy, releasing carbon emissions and waste heat. Efficient cooling solutions are essential for achieving carbon reduction targets and complying with tightening reporting requirements.

Chinese equities are trading at mouth-watering attractive levels. In our view, the outlook is highly prospective for long term investors. As highlighted in our early January 2024 insights, we believe the issues facing the Chinese economy are well known and manageable! Many new policies and initiatives are being introduced to support and stimulate the economy. The economy will find its footing in 2024. Contrary to numerous pessimistic headlines, the Chinese economy is set to expand between 4.5% to low 5% range in 2024.