Carmignac's Note

The current balance is threatened by a possible US monetary policy lag behind the global economic slowdown

In this late-cycle period, it is important to maintain our disciplined market analysis so that we can continue to distinguish between noise and signal

For the first time in thirty years, geopolitics could once again take precedence over world trade

Going forward, the main question-mark facing investors is to what extent monetary and fiscal policy will succeed in stemming the economic slowdown

In this slow-growth phase, stock price dispersion could strongly influence portfolio returns, contrary to what happened in 2018

The upside of this slow-growth phase is that stock price dispersion could heavily influence portfolio returns, contrary to 2018

As we enter 2019, the underlying issues still haven’t been addressed. The global economic slowdown has become synchronised, and monetary policy has tightened

The end of a given monetary policy stimulus unavoidably raises the cost of risk, thereby reducing price/earnings ratios

The key question is whether protectionism will actually prove beneficial to the US economy. Chances are it won’t.