QUARTERLY INVESTMENT STRATEGY

Slowdown not double-dip

Third Quarter 2010

Key Points:

Continued uncertainty over Europe's debt crisis and policy tightening in China is likely to keep equity markets volatile.
The recovery of the global economy and corporate profits so far remains intact.
Central banks are likely to keep interest rates low for a while, and this should continue to support risk assets.
As we do not expect another recession, we believe the market is only experiencing a bull market correction rather than the start of a fresh bear market. We retain our overweight in Equities and the underweight in Bonds. We also stay overweight in Commodities.

Click here for the CIO Message
Click here for the Quarterly Investment Strategy

Other UOBAM Publications/Webcasts

The first half of 2010 has been a roller-coaster period for investors, with equity markets making swings of 15% to 20% over the course of the six months. Many investors are now probably confused, as to where the markets are headed.

Tony Raza, Head of Asset Allocation, UOB Asset Management, shares the house view on asset allocation for the third quarter of 2010.

Click here for the webcast.

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