News & Commentary
We see significant opportunities across frontier market debt this year. With the growth of development initiatives such as China’s Belt and Road Initiative, frontier markets have gained access to new infrastructure financing, positioning them for strong growth ahead. In addition, over forty percent of frontier markets are implementing fiscal and structural reforms with the help of the IMF, decreasing the already low risk of sovereign default. The positive developments associated with these reforms are likely to prove enduring. With so many supportive factors underpinning this diverse investment universe, we believe now is an opportune time to increase allocations to frontier markets debt.
NN Investment Partners expects global earnings will fall from 16% but remain positive. Low valuations and high risk aversion offer support to the market.
NN Investment Partners (NN IP) is pleased to announce the appointment of Edith Siermann as Head of Fixed Income Solutions & Responsible Investing, as of 14 January 2019. She will join the Management Team Investments and will add additional focus on responsible investing within Fixed Income.
In 2018, we saw falling returns in almost all asset classes and increased volatility throughout the year, particularly stemming from political events across the globe. However, given cheaper valuations and our constructive outlook for US-China trade tensions, we see reasons to be confident for the upcoming year. Several investment experts at NN Investment Partners (NN IP) look back at 2018 and reveal their investment resolutions for 2019.
NN Group today announces that it has reached an agreement to strengthen the long-term partnership between NN Investment Partners (NN IP) and ING Bank Śląski S.A. in Poland. Under this agreement, ING Bank Śląski will acquire a 45% stake in NN IP in Poland for a total consideration of approximately EUR 41 million, and will distribute NN IP investment funds to the Polish retail market through its extensive branch network.
• Initiatives by governments and stakeholders to reduce the harmful use of alcohol are essential steps to build a more sustainable world • NN Investment Partners believes that engaging with alcohol producers is a better approach than excluding them from portfolios and therefore developed objectives on responsible drinking marketing, human rights, carbon footprint and water scarcity • ‘Premiumisation trend’ gives beverage producers significant opportunity to improve profitability
• NN Investment Partners (NN IP) sees investment in sanitation as an opportunity for investors to make a positive impact while achieving attractive returns • NN IP invests in companies with strong innovative business models that offer transformational solutions for societal challenges
• US to face moderate growth slowdown as stimulus effect wanes and Fed tightening is starting to be felt • Economic growth in Europe and Japan is starting to re-converge to US growth in 2019 • As growth in developed markets converges, we prefer emerging markets and European assets to US • Emerging markets face challenges from trade tariffs and normalising US monetary policy • Individual investors expect global growth to decelerate, according to a poll by NN Investment Partners • NN Investment Partners prefers credit risk instead of duration as monetary policy slowly returns to normal
• The Oil & Gas sector is particularly exposed to associated risks of climate change • NN IP focuses on the sector to encourage transparency about activities and risks
• Including measures of engagement and intentionality would enhance ‘Impact’ gauges • Improved reporting and transparency, the rise of more data sources and the standardisation of measurement methodologies will spur progress