Santander AM Sees Optimism for Global Economy Despite Uncertainties
With rate cuts on the horizon, Santander AM anticipates a significant improvement in credit availability in the coming months. This, in turn, will act as a catalyst for economic growth across various sectors based on increased investments, new job creation, and boosted consumer spending. While acknowledging the potential for some short-term inflation, the asset management company sees the impact of deregulation under the new U.S. administration as a factor to watch.
“The rate cuts will pave the way for accessible credit. This is essential to encourage businesses to invest, leading to job creation and increased consumer spending, ultimately fueling economic growth,” explains Delfina Pérez, director of market strategy at Santander AM.
Theonomy and heightened inflation are key concerns, but the multi-trillion-dollar impact of generative artificial intelligence on the market offers significant upward trajectory projections for future growth, offsetting concerns about the global economy amidst transitions. They are currently managing $231 billion in assets.
While the European market is showing signs of recovery, growth forecasts remain a critical factor shaping investment confidence. Businesses and investors relying on public-private sector collaborations anticipate these projects come to fruition, leading to economic stability and improved investor confidence in the years to come.
“We need to capitalize on the current low valuations within Europe. While Germany’s new government is expected to boost the economy by loosening fiscal constraints, the outlook for France remains cautious considering recent dips in growth projections.
A shift towards a sector-specific investment strategy rather than a country-specific approach is gaining traction, particularly within alternative markets,” notes Jacobo Ortega, the European investment director for Santander AM.
Cryptocurrency occupies an evolving space, still under close examination by the firm. With ongoing regulatory assessments of cryptocurrencies, they remain cautious despite the potential of sophisticated financial tools like government-backed digital currencies.
Concern regarding the crisis in China, starting with a slowdown in the real estate market, remains alight. While capital outflow is evident, the decisive steps taken by the Chinese government to address the situation instill confidence in the market’s long-term stability.
Santander AM highlights that investment in alternative markets is gaining momentum.
“We believe that alternative markets are becoming increasingly attractive, as they offer the potential for higher returns and provide broader diversification opportunities.
Data center development is a prime example,” explains Borja Díaz-Llanos, the new director of alternative investments at Santander AM. “Demand is increasing along with the need for reliable energy sources
Outside of tech, investing wisely in real estate investments might be promising.
The focus will be on developing innovative housing models designed to address the country’s current housing needs,中でも, the facade, a prominent space, is factoring into investment decisions.
Santander AM believes the combined growth in these sectors, fueled by powerful global border crossings, provides a path toward a more stable global investment landscape.
“Out sought-after investment partner experts predict data center investment will increase in the future,” projects Díaz-Llanos, “Why the required investment in infrastructure is crucial.”
Which European countries does Santander AM suggest investing in and why?
## Santander AM Sees Silver Lining in Global Economic Clouds
**Host:** Welcome back to the show. Today, we’re discussing the global economic outlook with Delfina Pérez, Director of Market Strategy at Santander Asset Management. Delfina, thank you for joining us.
**Delfina Pérez:** Thank you for having me.
**Host:** The global economic outlook seems shrouded in uncertainty. While Santander AM acknowledges these challenges, you’re expressing cautious optimism. Could you elaborate?
**Delfina Pérez:** Absolutely. We see rate cuts on the horizon, which will significantly improve credit availability. This increased access to capital is vital for businesses to invest, create jobs, and stimulate consumer spending, ultimately driving economic growth.
**Host:** That’s an interesting perspective. How does this optimism square with concerns about inflation and potential Theonomy, as many analysts are predicting?
**Delfina Pérez:** It’s true, inflation is a concern, especially in the short term. However, we believe the positive impact of deregulation under the new US administration and the multi-trillion-dollar potential of generative AI are key factors that will offset these challenges and contribute to long-term growth.
**Host:** Your insights on European markets are also intriguing. You mention “capitalizing on current low valuations.”
**Delfina Pérez:** Precisely. Europe is showing signs of recovery, and we believe this is an opportune moment to invest. While Germany’s new government is expected to boost the economy by adopting a looser fiscal policy, we’re adopting a more cautious stance on France due to recent dips in its growth projections.
**Host:** So, you’re suggesting a sector-specific investment strategy rather than a purely country-focused one?
**Delfina Pérez:** You’ve hit the nail on the head. We believe tailoring investments to specific sectors with high growth potential is crucial in this complex economic climate.
**(Host)** Thank you Delfina for sharing your insights. It sounds like Santander AM is navigating the global economic landscape with a keen eye on both opportunities and challenges.
**(Delfina Pérez)** It’s a pleasure. Thank you for having me.
