Finding value in today’s global asset markets has been a bit of a rollercoaster ride.
Populism and renewed protectionist rhetoric are increasingly becoming a threat to world trade. Political uncertainty used to be a key feature of emerging market economies, but now is part of the conversation on the developed world. Add the impact of a decade of unconventional monetary policy, and there are plenty of reasons why investors may be nervous.
But Noriko Chen, Capital Group equity portfolio manager, believes that “In the sea of uncertainty, there’s still a lot of opportunity if you put in the work.” In Noriko’s view, “longer-term growth is going to be slower, sure. But there will still be certain companies that grow faster than their peers.”
Noriko, who spends half her time visiting plants, factories and evaluating companies in person, says that even in today’s environment, her research and methods for portfolio construction remain the same.
“The changes in the world have meant taking into account more geopolitical factors,” she says. “But the way I look at companies has not changed.”
For more than 25 years, Chen has covered fields from Asian infrastructure, building materials and construction companies to oil, gas and refining companies. That diverse background has helped her in a world where it pays to know as much about a company’s revenue as the currency regime in which they operate – not to mention the mood of the voters.
Noriko says she’s looking at potential opportunities in the following three areas: