According to the Investment Management Association of Singapore (IMAS) 2025 Investment Managers’ Outlook Survey, with further margin erosions, flows to passive investments and changing investors’ preferences, our members foresee a rise in geopolitical conflicts, projecting a significant impact on the global economy and financial markets. Concerns for sticky inflation have diminished with expectation for Central Banks to achieve “soft landing”, with a majority consensus for up to a 0.75 percentage point reduction in the Fed Funds Rate. Views were divergent on expectations of Asian markets for 2025 but there is a consensus in the longer term that markets will remain stable or strengthen, with projected increases in key indices. Alternative investments are expected to be drivers for growth and fund managers’ differentiation strategies focuses on incorporating new asset classes and targeting new client sectors. Data and the lack of standardisation continue to be impediments to implementing ESG policies. Demand for high end technology continues unabated.
According to the Investment Management Association of Singapore (IMAS) 2024 Investment Managers’ Outlook Survey, our members are generally positive on Asian financial markets driven by a constructive view on China and expectations of stability in global growth. Concerns on sustained high inflation have also reduced. While this was the top concern for 2023, the outlook for 2024 appears more constructive with a very large majority now expecting fed rate cuts. Alternative investments are expected to continue to see inflows, while ESG strategies are less seen as driver for growth compared to previous surveys. With the advent of AI, many FMCs in Singapore are actively looking to expand capabilities in advanced analytics, machine learning and artificial intelligence.
According to the Investment Management Association of Singapore (IMAS) 2023 Investment Managers’ Outlook Survey, asset managers expect inflation to remain sticky at high levels. Despite that, over 70% of them are looking past this, and have renewed optimism in Asian equities, led by China and fixed income products. Survey respondents also expect a stronger Chinese yuan and a stronger Singapore dollar against the US dollar in 2023. ESG remains a top driver of growth, and members are looking at ESG integration into existing strategies.
According to the Investment Management Association of Singapore (IMAS) 2022 Investment Managers’ Outlook Survey, asset managers expect global economic growth to normalize and remain robust. Inflation worries feature prominently as well; and members expect the US Federal Reserve to react with two 25 basis point rate hikes in 2022.
According to the Investment Management Association of Singapore (IMAS) 2021 Investment Managers’ Outlook Survey, half of the survey respondents expect economic growth to accelerate going forward. After one of the shortest and deepest global recessions, the ongoing government spending and easing Central Bank policy, coupled with the roll-out of vaccines, has instilled greater confidence among fund managers and investors.
