Are investors right to be more optimistic in 2013?

GLOBAL

Oliver Wallin, investment director on the multi-manager team at Octopus Investments, examines the key questions facing investors this year.

In the end, despite all the uncertainty, 2012 proved to be a year that rewarded risk. European Central Bank (ECB) president Mario Draghi’s “whatever it takes” comment in July helped put to rest widespread fears of a eurozone breakup. The promise of unstinting support for ailing European Union members also initiated a noticeable swing in sentiment and kick-started a rally that pretty much lasted from July through to Christmas, flattering the overall returns generated by risk assets over the 12 month period. So far this year, the outlook is noticeably brighter. Despite the wintry chill,...