Risk Assets to Outperform in 2020: BNP Paribas

The video discusses the US economic growth slowdown in 2018 and the misinterpretation of it as a recession. It explores investment strategies for 2020, suggesting equities and high-yield debt over government bonds. The video also analyzes market trends, highlighting the impact of quantitative easing on valuations. Finally, it addresses market expectations for returns, emphasizing skepticism about achieving projected EPS growth.

What was the expected economic growth rate in the US for the year following 2018?

• 3.5%

• 2.2%

• 4.0%

• 1.5%

Which asset class was expected to outperform in 2020 according to the discussion?

• Commodities

• Real estate

• High yield debt

• Developed market government bonds

What is a key factor that has changed market valuations according to the discussion?

• Trade tariffs

• Quantitative easing

• Inflation rates

• Interest rate hikes

What is the expected EPS growth in the US for the next year?

• 5%

• 10%

• 15%

• 20%

How does the speaker suggest comparing expected returns for equities?

• By analyzing inflation rates

• By looking at historical averages

• By considering global GDP growth

• By comparing to treasury yields