Since breaking out in China at the end of 2019, the Covid-19 pandemic has infected more than 3 million people and caused over 200 000 deaths (Worldometers as of 29 April 2020).
To protect their citizens and combat the pandemic, governments have been obliged to enforce extreme and unprecedented social-distancing measures. These have put societies and economies into lockdown.
It is critical that, as asset managers, we understand the impact of the virus and the measures to curb its spread. Forward-looking investors need to follow and interpret news from the scientific community and from governments around the world.
We need to know where we are heading in terms of public health strategy and the socio-economic impact of COVID-19, and how fast we will get there. So we have devised five public health themes that we are using to track the virus, understand where we are heading and inform our decisions.
Any views expressed here are those of the speakers as of the date of publication, are based on available information, and are subject to change without notice. Individual portfolio management teams may hold different views and may take different investment decisions for different clients.
The value of investments and the income they generate may go down as well as up and it is possible that investors will not recover their initial outlay. Past performance is no guarantee for future returns.
Investing in emerging markets, or specialised or restricted sectors is likely to be subject to a higher-than-average volatility due to a high degree of concentration, greater uncertainty because less information is available, there is less liquidity or due to greater sensitivity to changes in market conditions (social, political and economic conditions).
Some emerging markets offer less security than the majority of international developed markets. For this reason, services for portfolio transactions, liquidation and conservation on behalf of funds invested in emerging markets may carry greater risk.