Burkhard Varnholt in a video interview: Lessons learned in 2018
"Prepare, don’t predict." – Burkhard Varnholt, Credit Suisse's CIO Switzerland, draws his conclusion from the events on the exchange in 2018. In a video interview, he explains why the US dollar will soon have to fight for its place as a global currency and gives investment tips for 2019.
As a global currency, the US dollar shaped the 2018 exchange
The dominance of the US dollar as a global currency was a central fact in 2018. On the one hand, the US dollar helped globalization develop in recent years. On the other hand, the strength of the dollar turned out to be an obstacle for emerging markets. Globally, the superiority of the global currency is facing increasing criticism. Burkard Varnholt, Credit Suisse's CIO Switzerland, believes this experience will be a kind of turning point: "In the future there will be more than just one global currency," Varnholt said.
The CIO Switzerland considers one of the "lessons learned" in 2018 to be that the future cannot be predicted. This year showed that the successful investors were those who were diversified and flexible in their investments. They were able to better adapt to the different market events. Varnholt suggests a diversified portfolio as well as far-sightedness and flexibility when investing as investment tips for success on the exchange in 2019.
2019 investment tips for success on the exchange
But which investment themes will the market be concerned with in the future? In its Investment Outlook 2019, Credit Suisse presents three central investment themes. In the next year, monetary policy as well as inflation will remain important areas of focus for the markets.
However, experts advise continuing to orient your portfolio on growth. Equities and investments in commodities are attractive because they are expected to outperform in 2019. In addition, financial experts see potential in countries with current account deficits. Such diverse investments allow investors to adjust to and take advantage of different market conditions and the risk appetite of the markets.