Tag: corporate earnings

For much of the last century, investment success depended on foresight. Investors believed they could anticipate market cycles, economic turning points and policy changes to stay ahead. But that paradigm is shifting. Today, markets no longer respond only to fundamentals such as interest rates or corporate earnings. Instead, fast-moving, unpredictable forces now dominate.

Our research explores the differing relationships between a country’s economy and the earnings growth of its stock market. Ongoing talk of the risk of recessions is prompting questions about the strength of the relationship between economic growth and corporate earnings.

Three months ago, investors were looking forward to an improved year of global growth and corporate earnings. That was then. The coronavirus crisis is an era-defining event; one which will have a significant impact on not only how we live, but also where we invest.