Articles

Interview with Nannette Hechler-Fayd’herbe: Economic upturn is causing the volatility of equities to soar

The economic recovery is continuing apace. Investors are asking themselves, "are we in a bubble already?" Nannette Hechler-Fayd’herbe states her position on the market situation. She explains why investors need to anticipate volatility on the equity market and what trends are to be expected on the bond market.

Rising interest rates making equities more volatile

The economic recovery is gaining momentum. The continuing policy of economic stimulation and the reopening of various sectors have driven equity markets higher. "However, things have progressed so far that interest rates are starting to reflect this optimistic picture," says Nannette Hechler-Fayd’herbe, CIO for International Wealth Management and Global Head of Economics & Research at Credit Suisse. As a result, we expect to see markets displaying a little more volatility over the next few weeks and months. Listen to the interview to learn how Credit Suisse factors that into its equity weightings.

Load Video

Credit Suisse House View for April/May 2021

Dr. Nannette Hechler-Fayd’herbe talks about the anticipated developments on the equity market and the measures used by Credit Suisse to adapt.

Investments in the bond market are not very attractive right now

At present, bond investments are generating hardly any returns because of the rising interest-rate level. According to Nannette Hechler-Fayd’herbe, "that is always the case during periods of recovery." In this interview, the Head of Economics and Research reveals in which specific segments bond investors can nevertheless earn income.

Do you have questions about this topic?

Schedule a consultation This link target opens in a new window
We will be happy to assist you. Call us at 0844 844 007.

Related Articles

  1. Interest rates and purchasing power influence the value of money

    Interest rates and purchasing power influence the value of money
    Should excess liquidity be saved or invested? Interest rates and purchasing power provide the answer. After all, they influence the value of money in the long term and demonstrate that cash also isn't risk-free.

  2. Cleantech – the biggest investment opportunity of our time?

    Cleantech: The biggest investment opportunity of our time
    The much-feared impacts of climate change demand action. A variety of companies in the cleantech sector have made that their mission – and their future looks bright. Cleantech investments are now considered to be the biggest investment opportunity.

  3. Investing in September: Our forecast in brief

    Investing in September: Too soon for equity overweighting
    Credit Suisse gives its perspective on economic and financial market developments over the short to medium term and looks at the implications for investors. The economy is continuing to recover. At the same time, the central banks are maintaining their support through monetary policy. That means that, despite the Delta variant of COVID-19, equities are likely to remain the most appealing asset class. Investors should nonetheless err on the side of caution.