Equities | Asset Allocation | Fixed Income

Citi Turns Positive on Equities

_{Posted on Nov 25, 2019}

The Citi Private Bank Global Investment Committee (GIC) raised the asset allocation to Global Equities from Neutral to Overweight at the recent November meeting. To fund this, the Global Fixed Income Underweight was deepened, primarily from the decrease in allocation to Eurozone government bonds. Cash was also reduced from Overweight to Underweight while Gold remained at Overweight.

Anticipate 6-8% equity returns over the coming 12 months:

Financial markets are rallying on mounting evidence that the sharp drops in global industrial production and trade may not be justified given that demand growth has held firm. This has led cyclical equities to outperform in anticipation of a recovery.

Citi analysts expect a snapback in global manufacturing and trade activity. While this may not result in sharply higher overall economic growth, it could rebuild confidence in the enduring world economic expansion.

Global equities have rallied 20% year-to-date, a pace Citi analysts do not expect to be sustained. However, Citi’s tactical asset allocation approach avoids prematurely reducing gains that could be supported by fundamental developments in our base case view.

Given political risks and the sharp rebound in markets in 2019, Citi analysts see a high probability that higher-quality dividend growth strategies may still outperform for the full-year 2020.

Policy risks remain, including trade friction

Citi analysts do not rule out the possibility of still-severe adverse developments even if they may be improbable. US trade negotiations with China are complicated further by political events in Hong Kong and the US response.

However, with investor bullishness rising, Citi analysts maintain a small allocation to gold as an added risk hedge to complement holdings of long-term high quality bonds.

_{By Citi Global Wealth Investments | Apr 12, 2024}

Q2 2024 | At a glance

This is an unusually positive time for markets. Inflation is slowing while corporate profits are rebounding. Global equity markets, as reflected by the MSCI World Index, are up around 10% year-to-date. Earnings have remained resilient in the face of policy action and we believe there is a broadening of equity performance, and it is spreading beyond US shores.

_{By Citi Wealth Insights | Apr 9, 2024}

Weekly Market Analysis - The Insider’s Guide to US Earnings Season

Earnings season is back in full swing. On a macro basis, we expect “good news” for earnings. Since 1997, the net positive results from first quarter earnings have been sequentially better than fourth quarter results 81% of the time.

Wealth Insights Weekly Market Analysis Economy Asset Allocation Equities

_{By Citi Wealth Insights | Apr 2, 2024}

Weekly Market Analysis - Asked and Answered: What’s Next for Global Equities? What About Tech?

Given the performance of US equities over the past 15 years and the strength of the dollar, US investors wonder whether there is value in international diversification. Many non-US investors who have built US portfolios feel similarly.

Wealth Insights Weekly Market Analysis Economy Asset Allocation Equities

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Market Specific Disclosures

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Singapore: This communication is distributed in Singapore by Citibank Singapore Limited (“CSL”) to selected Citigold/Citigold Private Clients. CSL provides no independent research or analysis of the substance or in preparation of this communication. Please contact your Citigold/Citigold Private Client Relationship Manager in CSL if you have any queries on or any matters arising from or in connection with this communication. Investment products are not insured under
the provisions of the Deposit Insurance and Policy Owners’ Protection Schemes Act of Singapore and are not eligible for deposit insurance coverage under the Deposit Insurance Scheme.

This communication is for general information only and should not be relied upon as financial advice. The information herein has no regard to the specific objectives, financial situation and particular needs of any specific person and is not intended to be an exhaustive discussion of the strategies or concepts mentioned herein or tax or legal advice. Any person interested in the strategies or concepts mentioned herein should consult their independent tax, legal, financial or other advisors,
as appropriate. This communication does not constitute the distribution of any information or the making of any offer or solicitation by anyone in any jurisdiction in which such distribution or offer is not authorized or to any person to whom
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Before making any investment, each investor must obtain the investment offering materials, which include a description of the risks, fees and expenses and the performance history, if any, which may be considered in connection with making
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with the investment and make a determination based upon the investor’s own particular circumstances, that the investment is consistent with the investor’s investment objectives and assess whether the investment product is suitable for
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CSL does not provide discretionary portfolio management services.

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Citibank N.A. UAE is registered with Central Bank of UAE under license numbers BSD/504/83 for Al Wasl Branch Dubai, 13/184/2019 for Mall of the Emirates Branch Dubai, BSD/2819/9 for Sharjah Branch, and BSD/692/83 for Abu Dhabi Branch.

This is not an official statement of Citigroup Inc. and may not reflect all of your investments with or made through Citibank. For an accurate record of your accounts and transactions, please consult your official statement. Before making any investment, each investor must obtain the investment offering materials, which include a description of the risks, fees and expenses and the performance history, if any, which may be considered in connection with making an investment decision. Each investor should carefully consider the risks associated with the investment and make a determination based upon the investor’s own particular circumstances, that the investment is consistent with the investor’s investment objectives.
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