We remain constructive on developed market equities as global growth continues to support the asset class. Additionally, valuations are reasonable and earnings are trending higher over time. Nevertheless, markets remain vulnerable to external shocks as the events in the Middle East and the spreading of the Coronavirus in the first few weeks of this year illustrate. However, longer-term investors should stay the course during times of external shocks, in our view.

 

Investors who wish to put their US-dollar cash to work, want holdings in their portfolio with capital protection at maturity, expect some volatility going forward, and/or want to lock-in profits but remain in the market, may consider capital protection certificates which currently have an attractive risk-reward ratio.

 

Therefore, we have put a new series of Julius Baer 100% Barrier Capital Protection Certificates on the S&P 500 index, the Eurostoxx 50 index and the SMI index into subscription.