By: Amr Adel
Dubai-Mubasher: This year is likely to be a very tough year for investors, according to Gary Dugan, Chief Investment Officer (CIO) - Wealth Management at Emirates NBD.
On the sidelines of a roundtable discussion on 2016 Investment Outlook, he added that policy makers are working to support economies after six years of the asset markets recovery despite disappointed global growth.
Dugan advised investors to remain defensive investment policy and wait for true value to appear in the valuation of risk asset markets before making any significant purchases.
This year will be different to 2015 even as the Federal Reserve is already on a path of increasing interest rates, he said, adding that higher US interest rates will undoubtedly detract from global growth.
He noted that there are positives that some asset markets already moved rapidly to discount problems. Emerging market debt and global high yield, amongst bond markets, had serious price drops to a level that will offer genuine good long-term value to investors.
Many commodity markets are at multi year lows, he noted, adding that an oil price below $30 must bring a correction in the supply demand equation.
Translated by: Julian Nabil
