Global investment opportunities in 2017

The global economic landscape has been filled with uncertainties and surprises in 2016, with the International Monetary Fund (IMF) cutting its forecast for global economic growth to 3.2% for 2016 and 3.4% for 2017. Despite the IMF's concerns about a slow and fragile global economic recovery, Mark Anderson, Head of Regional Asset Allocation at UBS Wealth Management, remains cautiously optimistic about the investment opportunities in 2017. According to Anderson, the global economy has shown resilience amidst political surprises, and he believes there are still opportunities for investors. Anderson highlights key areas of interest for investors, especially in equities and emerging market currencies. He points to the US as a favorable investment destination, even with expected interest rate hikes, citing the strong economic growth and accommodative interest rates below 1%. Emerging markets, particularly those benefiting from higher commodity prices, such as Brazil and Russia, are also attractive options, presenting opportunities for investors. Anderson emphasizes the importance of diversification in portfolios to navigate uncertainties in the global economic and political landscape. He acknowledges the potential challenges posed by protectionism and nationalism, pointing to the divide between elites and the broader population as a key issue that needs to be addressed. Despite the uncertainties ahead, Anderson remains positive about the investment outlook for 2017, favoring equities over bonds and highlighting specific sectors and currencies that present promising opportunities for investors.