Investment Outlook: Sunny stock markets – storm clouds in sight
In economic terms, the recovery during the past year has been a success. The growth level and earnings trend are both clearly better than previously feared. This has served as rocket fuel for stock exchanges and credit markets, which have shown one of their strongest 12-month periods in history. “At present, the economic outlook is good, but it is important to have a good idea of potential risks. An environment of high valuations and risk appetite decreases upside potential and increases possible risks. However, overall pricing is still acceptable if economic forecasts prove correct and