Tariffs are the biggest macroeconomic concern for two in three investors, poll finds
Mounting trade tensions and tariffs have become the single biggest worry for global investors, overshadowing all other economic risks, a new survey shows.
Nearly two-thirds (63%) of institutional investors and wealth managers identified trade levies as the most significant macroeconomic concern impacting their strategy, according to a survey published by British investment manager Schroders.
The perceived risk from tariffs was more than six times greater than the next highest-ranking concern.
The poll, which surveyed nearly 1,000 top investors representing a combined $67 trillion in assets, found that this trade uncertainty is fueling a demand for stability.
The study was done between April and May, and ahead of the announcement of the trade deal that U.S. President Donald Trump said was reached with China. The agreement struck on Wednesday is subject to final approval by Trump and Chinese President Xi Jinping, the White House leader said.
Meanwhile, the Schroders survey indicated that about four in five investment professionals polled also said they are likely to increase their allocation to actively managed investments in the coming year, in a bid to stem the volatility caused by macroeconomic events.
"Resilience now tops the investment agenda, as the rising tide no longer lifts all boats," said Johanna Kyrklund, group chief investment officer at Schroders. "The wider backdrop is that financial markets are still adjusting back to structurally higher interest rates, made painful in many cases by high levels of debt. This is raising questions about future market trends and the value of passive approaches in a period of greater uncertainty."
Kyrklund added, "In this environment, active strategies provide the control investors need to manage complexity, create portfolio resilience and seize opportunities."
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
24 minutes ago
- Yahoo
UK's biggest advertising group loses £1.3bn Mars contract to French rival
Britain's biggest advertising company has suffered a fresh setback after losing a $1.7bn (£1.3bn) Mars contract to a French rival. Mars, which also owns M&Ms, Snickers and Whiskas cat food, has appointed Paris-based Publicis to lead its global media account after kicking off a review late last year. The move deals a major blow to WPP, which has held the lucrative contract since 2018. It is the latest in a string of major client losses for the London advertising giant, which lost its $700m North America Coca-Cola account to Publicis in March. Publicis, which owns Saatchi & Saatchi and Leo Burnett, last year leapfrogged WPP as the world's largest advertising group by revenues, while the British company is facing added pressure as two other rivals – Omnicom and Interpublic – prepare to merge. It also comes days after WPP announced the departure of Mark Read as chief executive. Mr Read, who has worked at the company for more than three decades and served as chief executive since 2018, will step down at the end of the year. The Mars contract covers the US company's media offering, as well as production, social media, influencer marketing and commerce capabilities across 70 markets worldwide. WPP agency T&P will retain the creative account for Mars food and nutrition. Arthur Sadoun, the chief executive of Publicis, said: 'We are delighted to reinvent the consumer business playbook with Mars, rekindling our longstanding partnership as we embark on this significant growth transformation journey.' The account loss underscores difficulties at WPP, which has suffered a sharp slowdown in growth and seen its share price halve under Mr Read's tenure. While Mr Read has succeeded in slimming down the group's sprawling network of agencies, WPP has struggled to compete as tech giants such as Google and Meta have taken an increasingly large chunk of the advertising market. Advertising agencies are also facing a fresh threat from artificial intelligence (AI), which has made it easier to automate much of the work traditionally carried out by creative agencies. Mr Read has sought to embrace the shift, snapping up AI company Satalia in 2021, and pledging to invest £300m in the technology. However, investors have been unconvinced by the move and WPP has slipped behind its rivals. The search for Mr Read's successor will be led by Philip Jansen, the former BT chief executive who took over as WPP chairman at the beginning of this year. In a statement earlier this week, Mr Jansen said Mr Read had 'played a central role in transforming the company into a world leader in modern marketing services'. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27 minutes ago
- Yahoo
Palantir Technologies (PLTR) to Power Fedrigoni's Digital Makeover with AI Solutions
Palantir Technologies Inc. (NASDAQ:) is one of the 10 AI Stocks on Wall Street's Radar. On June 10, Palantir Technologies Inc. (NASDAQ:PLTR) announced that it has entered into a multi-year partnership with Fedrigoni, an Italian manufacturer of specialty papers for packaging and other applications. The partnership will allow Fedrigoni to leverage Palantir's advanced AI capabilities and innovative solutions to accelerate its digital and operational transformation. Palantir's innovative solutions and cutting-edge AI technology will not only be limited to Fedrigni's stock optimization and demand forecasting, but will expand to support its entire digital transformation objectives. This will allow the paper manufacturer to improve its responsiveness to market dynamics and its ability to anticipate and meet customer demands. A scientist at a computer station, surrounded by a neural network of artificial intelligence code. Palantir's Managing Director for Palantir France and EMEA Executive, François Bohuon, expressed enthusiasm for the partnership: 'We are excited to collaborate with Fedrigoni on their digital transformation journey. This partnership highlights the transformative potential of AI in traditional industries, and we are honored to support Fedrigoni in achieving their strategic vision.' While we acknowledge the potential of PLTR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and Disclosure: None. Sign in to access your portfolio
Yahoo
27 minutes ago
- Yahoo
CoreWeave (CRWV) Is on Wall Street's Radar—But One Analyst Says It's a Trap
CoreWeave, Inc. (NASDAQ:) is one of the 10 AI Stocks on Wall Street's Radar. On June 10, DA Davidson analyst Gil Luria reiterated an 'Underperform' rating on CoreWeave, Inc. (NASDAQ:CRWV) with a $36.00 price target. The firm stated that CoreWeave had disclosed a pro forma contract financing structure example to analysts a day before, which indicated that shareholders will get some returns during the duration of the contracts being signed. However, it believes that the disclosure, even if accepted at face value, 'very clearly illustrates the exact opposite point.' Luria highlighted how there is no upfront equity and no returns to current equity holders during the contract. While the company assumes a 15% equity, the analyst also stated that CoreWeave does not have equity capital to invest and is instead relying on other forms of non-project debt. Such a step would require an additional $590 million, which would result in 'literally wiping out any cash they are claiming to generate for shareholders.' The firm also believes that the illustrative interest rate indicates that all of the company's previous deals are likely unprofitable. Moreover, while AI enthusiasm may likely fuel expansion, it would require the company to raise more than $10 billion in equity capital at the current share price so that it can justify the next two years of projects. This seems as the only significant upside risk to DA's analysis. While we acknowledge the potential of CRWV as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and Disclosure: None. Fehler beim Abrufen der Daten Melden Sie sich an, um Ihr Portfolio aufzurufen. Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten
