Monthly Investor Update December 2024
š December continues the streak from November to be a challenging month for markets across stocks and bonds overall. We saw heavy foreign outflows from the Indonesian capital markets that dragged down stocks and bonds, impacting performance across our funds. Our Cash and Cash Syariah Funds continue to outperform.
š Market Outlook & Portfolio Positioning
- We enter 2025 with a cloudier outlook for Indonesia and Emerging Markets, as weak consumption - which drives a large chunk of GDP, low inflation, and escalating geopolitical uncertainty weigh on growth prospects.
- Softer US inflation raised hopes for 2025 rate cuts, but Trumpās pro-growth policies may limit easing, keeping monetary policy tighter than expected - limiting foreign inflow prospects into Indonesian stocks and bonds.
- Within Fixed Income, we are defensively shortening duration, focused on high-yield short and mid-tenor bonds, while remaining tactical in Equities by focusing on momentum-driven stocks and quicker profit-taking.
Read more on Key Trades and Asset Class-specific breakdown in the attached brief. Thank youĀ forĀ yourĀ trust.
Access the English version of the full report here.
Akses laporan dalam Bahasa Indonesia di sini.
Simpan Asset Management puts a dedicated team of experienced professionals at your service ā your personal investment team. Leveraging their WMI qualifications, they meticulously analyze individual investments, economic factors, and industry trends every day. This in-depth research forms the foundation for our informed fund management decisions and insightful updates, keeping you informed and involved.
