JPMorgan AM’s Schowitz Likes EM, Japan Equities

The video discusses the perception of European markets as cheap compared to the US, highlighting that while Europe may seem undervalued, other markets like emerging equities or Japanese equities might offer better opportunities. It explores investment strategies, emphasizing a cautious approach to growth and value stocks. The video also provides insights into credit markets, favoring investment-grade over high-yield in the US, and sees potential in emerging market debt. Lastly, it touches on the Chinese market, noting the complexities and risks involved.

Why might investors consider markets other than Europe for better opportunities?

• European stocks are expected to decline sharply.

• The US market is cheaper than Europe.

• Emerging and Japanese equities offer potentially better growth.

• Europe has consistently outperformed other markets.

What is the main argument against the value-growth rotation?

• The shift towards value stocks might be exaggerated.

• Growth stocks are expected to decline.

• Value stocks have outperformed growth stocks consistently.

• Interest rates are expected to rise significantly.

Which market is suggested as cyclically geared and worth considering?

• Chinese market

• European market

• US market

• Japanese market

What is the preference in the US credit market according to the discussion?

• Chinese credit over US credit

• Emerging market debt over US debt

• Investment-grade over high yield

• High yield over investment-grade

Why is emerging market debt considered a potential area of interest?

• Fundamentals are improving.

• Fundamentals are deteriorating.

• It is less risky than US debt.

• It is more expensive than other options.