Eleven investment tips for 2011

ELEVEN TIPS FOR 2011

Paul Wharton, chief investment strategist for Deutsche Bank Private Wealth Management UK, picks his top themes for the year.

1. Bear market in developed world government bonds We believe developed world government debt will offer investors poor returns in 2011 in the wake of a cyclical resumption of economic activity and deteriorating inflation expectations. In reality, tightening of the policy environment may be enough to head off fundamentally weak inflation pressures in the West, although inflation rates are likely to stabilise at somewhat higher levels than pre-crisis. 2. Inflation squeezes emerging markets Widespread currency pegs to the dollar, most notably in China, have combined with rapid econo...