HSBC Asset Mgmt. Cecilia Chan on 2H Outlook

Cecilia, CIO for HSBC Asset Management, discusses the economic outlook, highlighting a potential technical recession but noting selective market opportunities. She emphasizes adding risk to portfolios, focusing on Asia, particularly China, due to favorable valuations and supportive monetary policy. The discussion covers fixed income, forecasting treasury yield increases, and market sentiment indicators. Cecilia advises caution with non-ESG investments and notes downward pressure on commodity prices.

What is Cecilia's outlook on the potential for a recession?

• She is uncertain about the recession.

• She anticipates a technical or short-lived recession.

• She expects a severe recession.

• She believes a recession is unlikely.

Which regions does Cecilia focus on for investment opportunities?

• Europe and the United States

• Hong Kong, China, and Korea

• Australia and New Zealand

• South America and Africa

What is the expected trend for short-term treasury yields according to Cecilia?

• They are expected to decrease.

• They will remain stable.

• They are expected to increase.

• They will fluctuate unpredictably.

How does Cecilia view the current market sentiment indicators?

• They are at record lows.

• They are at record highs.

• They are stable.

• They are unpredictable.

What type of investments does Cecilia suggest avoiding?

• Short-term investments

• Real estate investments

• High-risk investments

• Non-ESG friendly investments