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3 investment themes to consider in a world of dwindling volatility: BlackRock

Michelle Zhu Published on Wed, Jul 26, 2017 / 4:27 PM GMT+8

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SINGAPORE (July 26): The global economy is now settling into a cycle of synchronised and sustained economic expansion with an improved Eurozone outlook, ebbing deflation fears, and subdued financial market volatility.

This was the general consensus among some 90 BlackRock portfolio managers and executives who gathered in mid-June to debate on the drivers of low volatility, how to think about valuations, and the outlook for monetary policy and markets.

“We believe structurally lower growth and interest rates mean that comparing valuation metrics to past levels may not be a good guide to the future,” writes Richard Turnill, global chief investment strategist, BlackRock Investment Institute in the institute’s Global Investment Outlook Midyear 2017 report issued today.