Insights

Brazilian real faces many headwinds

In this Macro Flash Note, GianLuigi Mandruzzato looks at the prospects for the Brazilian real and concludes that its downtrend will likely continue.

China’s self-inflicted woes and the renminbi

China’s economic growth slowed in 2021, raising doubts about the sustainability of the global recovery from Covid-19. Many observers fear the renminbi will depreciate – mirroring what often happens in struggling emerging countries. Daisy Li and GianLuigi Mandruzzato examine the outlook for China’s growth and its currency.

Surging energy prices and stagflation

Energy prices are under pressure and many observers fear the return of stagflation, a situation where inflation is high and economic growth stagnates. The price of Brent crude and the US WTI have both doubled in a year. The price of natural gas in the US market has also doubled since October 2020. How have these rapid rises come about and are fears of stagflation warranted or exaggerated?

Southbank Sinfonia pass the baton to future generations

Mexico’s energy sector reform creates uncertainty for investors

Mexican President Lopez Obrador recently submitted a constitutional reform bill to increase government control over the energy sector. The proposed reform would allocate to state-owned companies over half of the electricity market and would eliminate requirements for clean energy production. In this Macro Flash Note, Joaquin Thul describes the key aspects of the reform proposal and explains why this increases uncertainty for investors.

Advisory business in the post-corona world

In the following interview, Michael Krinner, Global Head of Advisory & Sales at EFG, talks about the current trends in advisory and why EFG has recently revamped its advisory services*.