Two powerful themes generating investment ideas this year are strengthening growth and a retreat from globalization. They intersect in one of the key macro transitions from our 2017 Investment Outlook, Regulation to De-Regulation. The trend toward international harmonization of regulations has lost momentum as the world’s largest economies realign policies to meet domestic priorities of stability and growth.
In the US, the push for de-regulation is clear as the administration takes aim at a regulatory regime that it considers a constraint on the economy and jobs. The scenarios in Europe and China are more nuanced, motivated by the need to preserve stability while supporting growth.
We’ve asked our investment professionals in key global markets to share their early views on the sector and strategic implications of a shifting regulatory landscape. As the rule books are rewritten, we will update investment views on specific policies in this and other GSAM publications.
