Thursday, July 14, 2016

Fund flows from bonds to stocks?

Matthew believed that global capital is willing to invest in stock markets instead of bulk commodity markets like gold, mainly due to two factors. Firstly, compared to traditional hedge types including gold, the stock market has better liquidity which can meet the rapid cash-making requirement of these investors. Secondly, the central banks worldwide are arousing a new round of easing monetary policy, which will benefit the stock markets much more than bulk commodity investment types.