2020, 25 February
Asset Allocation Update: Corona chaos
Having started in China, the new coronavirus has been spreading to more and more countries recently. In our monthly Asset Allocation update of February, we discussed the damage of the coronavirus to the Chinese and other Asian economies. In any case, as far as growth perspectives are concerned, the first quarter of 2020 can be considered ‘lost’, with China presumably showing economic contraction compared to the last quarter of 2019 and the worldwide growth momentum being cut in half. Increasing numbers of companies are reporting out-of-stock issues and production delays.