Viewpoints

5 Trends That Could Disrupt Markets

What risks lie beyond the near-term horizon? PIMCO experts discuss the secular trends that have the potential to disrupt the global economy, financial markets and investors’ portfolios over the next several years. Visit pimco.com/secular-outlook to read more.

More from this section

Read Transcript

Tina Adatia: This year we've described the secular framework as dealing with disruptions. So Joachim, can you talk a little bit about those disruptions and what we're expecting?

Joachim Fels: So, what are these secular trends that we think will lead to disruption over the next five years or so? Well, here are five of them.

The first one is China, you know, with its economic and geopolitical ambitions. So we think that will be very disruptive. Populism, second theme, not a new theme.

But we are now seeing how populism increasingly rhymes with protectionism, right? So think about the trade war. And so the risk of deglobalization is really increasing further.

Third disruptor is demographics. Again you can ask, "Well, that's been around for a long time. We know about population aging and about rising longevity.”

But I think we're now at the stage where it can become disruptive, because the global saving glut keeps increasing. This is keeping interest rates low, lower for longer, and the longer that lasts, the more disruptive it can become.

Then technology, well, I think everybody knows technology is disruptive.

But I think we're seeing more and more of that in the corporate sector. So there are a lot of winners and losers that we have to take into account.

And then finally, financial market vulnerability. This is something that has been building in the course of this expansion. We are worried about certain aspects of market structure, and we think that this could come back to haunt us in that next downturn.

Tina Adatia: Thank you Joachim. You've got any other questions, please contact your PIMCO representative. Thank you and have a good day.

Disclosure


All investments contain risk and may lose value. Statements concerning financial market trends or portfolio strategies are based on current market conditions, which will fluctuate. 

This material contains the opinions of the manager and such opinions are subject to change without notice. This material has been distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed.

CMR2019-0604-400454

Filters:
Filters: Reset All

Filters

X
  • Topic/Tag

    Tags

    Reset

    Close
  • Category

    Category

    Reset

    Economic and Market Commentary
    Investment Strategies
    Bond by Bond
    Viewpoints
    Careers
    Education
    PIMCO Foundation
    View from the Investment Committee
    Close
  • Order By

    Order By

    Reset

    Alphabetical
    Most Recent
    Close
() filters applied

Video Finder

Filter By:
Section
  • Economic and Market Commentary
  • Investment Strategies
  • Bond by Bond
  • Viewpoints
  • Careers
  • Understanding Investing
  • View from the Investment Committee
Experts
  • A
  • B
  • C
  • D
  • F
  • H
  • I
  • K
  • M
  • P
  • R
  • S
  • T
  • W
Clear
Tina Adatia
Fixed Income Strategist
Olivia A. Albrecht
Executive Office, ESG Business Strategy
Mike Amey
Yacov Arnopolin
Portfolio Manager, Emerging Markets
Robert Arnott
Founder and Chairman, Research Affiliates
Andrew Balls
CIO Global Fixed Income
Justin Blesy
Asset Allocation Strategist
David L. Braun
Head of US Financial Institutions Portfolio Management
Erin Browne
Portfolio Manager, Multi-Asset Strategies
Libby Cantrill
Executive Office, Public Policy
Richard Clarida
Former Global Strategic Advisor, 2006-2018
Laura Deneke
Sr. Vice President, Product Strategist
Anna Dragesic
Head of Global Credit Product Strategies
Joachim Fels
Global Economic Advisor
David Fisher
Head of Traditional Product Strategies
Gene Frieda
Global Strategist
Mary Hoppe
Daniel H. Hyman
Head of Agency MBS Portfolio Management
Daniel J. Ivascyn
Group Chief Investment Officer
Mark R. Kiesel
CIO Global Credit
Nicola Mai
Portfolio Manager, Sovereign Credit Analyst
Naila Makhdumi
Account Manager, Global Wealth Management
Jason Mandinach
Credit Strategist, Mortgage Strategies
Scott A. Mather
CIO U.S. Core Strategies
Mohit Mittal
Portfolio Manager, Liability Driven Investment and Credit
Alfred T. Murata
Portfolio Manager, Mortgage Credit
Sonali Pier
Portfolio Manager, Multi-Sector Credit
Lupin Rahman
Head of EM Sovereign Credit
Emmanuel Roman
Chief Executive Officer
Loren Sageser
Credit Strategist
Steve Sapra
Client Solutions & Analytics
Jerome M. Schneider
Head of Short-Term Portfolio Management
Marc P. Seidner
CIO Non-traditional Strategies
Sapna Shah
Head of Corporate Responsibility
Anmol Sinha
Fixed Income Strategist
Cathy Stahl
Global Head of Marketing
Christian Stracke
Global Head of Credit Research
Geraldine Sundstrom
Portfolio Manager, Asset Allocation
Richard Thaler
Distinguished Service Professor of Economics and Behavioral Science at the University of Chicago's Booth School of Business
Mark Thomas
Account Manager, Global Wealth Management
Jessica K. Tom
Senior Credit Analyst
Eve Tournier
Head of European Credit Portfolio Management
Tiffany Wilding
U.S. Economist
Andrew T. Wittkop
Portfolio Manager, Treasuries, Agencies, Rates
Mihir P. Worah
CIO Asset Allocation and Real Return
PIMCO
Chris Brightman
Order By
  • Alphabetical
  • Most Recent
Section : Date : Experts :
Reset All

Load more results Load {{cCtrl.fetchResults}} more results