20 November 2020 | 5:46PM GMT GOAL: Global Opportunity Asset Locator Outlook for 2021: Rotation inoculation — remain pro-risk Christian Mueller-Glissmann, CFA +44(20)7774-1714 | christian.mueller-
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[email protected] assets to continue, supported by a strong economic recovery from the COVID-19 Goldman Sachs International Cecilia Mariotti shock. With a favourable growth/inflation mix and still elevated equity risk premia +44(20)7552-0450 |
[email protected] we are OW equities and UW bonds. With tighter credit spreads we are N credit Goldman Sachs International but still see opportunities to move down in quality. Over a 12m horizon we are Andrea Ferrario +44(20)7552-4353 | OW commodities (N for 3m), supported in particular by a bullish oil view.
[email protected] Goldman Sachs International n While absolute equity valuations are high after the sharp recovery, they remain Peter Oppenheimer +44(20)7552-5782 | attractive vs. bonds. And equities should be able to digest a gradual increase in
[email protected] bond yields better than fixed income as long as they come alongside better Goldman Sachs International David J. Kostin growth. We expect more rotation within equities – the leadership in regions, +1(212)902-6781 |
[email protected] sectors and styles has been unusually defensive in the recovery. Goldman Sachs & Co. LLC Kathy Matsui n Our Risk Appetite Indicator (RAI) has turned positive, which alone is not a +81(3)6437-9950 |
[email protected] Goldman Sachs Japan Co., Ltd.