Research

Report predicts reduced role for equities

The McKinsey Global Institute has taken a big-picture look at the way the world is changing, with aging populations in the developed world and economic growth shifting towards the fast-growing emerging market economies.

Researchers looked at how these and other factors will affect the way wealth is invested and what effect this will have on financial assets over the next decade.

McKinsey’s central finding in its report, The emerging equity gap: Growth and stability in the new investor landscape, is that, short of a very rapid change in investor behaviour and adoption of new policies in the largest emerging economies, the role of equities in the global financial system may be reduced in the coming decade.

This has important implications for economic growth, how companies fund themselves, and how investors reach their goals.

To click on the report click here

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