Alain Groshens and Alex Riteau have been asked to present to the Hong Kong Trust Association. The topic is one of our favorites: how to minimize costs and mitigate risks for your clients. If you are the trustee for your clients’ assets, even if you appoint an investment manager, it is your fiduciary responsibility to ensure that you are minimizing costs that drag on investor’s returns, and mitigate risks for your clients. Register here: http://bit.ly/3dfKjSO

Global Macro: The world economy is experiencing a slower recovery than expected in Q1 2021 as lockdowns are being rolled out again around the world and the vaccination process is delayed. In the short term, the economic recovery is being challenged but, in the medium term, the most likely scenario remains intact with global vaccination as the key to end the pandemic. In the meantime, we believe “cash injections”, i.e. liquidity provided at near zero interest rates by central banks combined with governments’ stimulus packages, will continue to underpin the growth of equities and risky assets in general and hopefully be sufficient to support the economy while virus infections remain prevalent.

​MARKET CONTEXT: Strong equity and credit market momentum despite most of the world being in the eye of the Covid storm. This is the last monthly market overview of 2020 and includes a look forward to 2021.

Here at SystematicEdge one of our objectives is to support our community. One of the ways that we do this is through the Chambers of Commerce. As Rosemary Goater, co-founder of SystematicEdge is Canadian, through her role on the Executive Committee at the Canadian Chamber of Commerce, she has been getting to know the amazing Canadian Connected business community through a series of PodCasts. The latest of which is with Venture Capital Investor Joseph Fung, Managing Director of Saltagen Ventures, who gives an exclusive look at his investment focus and tips on successful fund-raising. Click below to listen to this one and see the rest of the podcasts in the series.

The development of the offshore RMB (CNH) and the subsequent roll-out of USDCNH Futures contracts have been a game changer for non-Chinese companies doing business with suppliers based in mainland China. As a result, an increasing number of companies have already switched their payment currency from USD to RMB. For more information on this subject, read our thought piece.