Reflections on 2017 and expectations for the year ahead
Flemming Larsen reflects on the first months as head of the sales team, how developments on the global financial markets in 2017 matched his expectations and what can be anticipated in 2018.
You have been heading the Clients team in Jyske Capital since March 2017 after a number of years as head of Investment Management. What is your experience of this transition?
I am excited to be in direct and close contact with our Danish and international clients and to work with our team of dedicated relationship managers. It has been an eventful year, and I look forward to continuing my part in delivering high quality solutions to our clients and expanding our position as one of the leading asset managers in Denmark even further.
Looking back on the year, what were the most important events and milestones for Jyske Capital?
We continued to grow our assets under management, and I am very proud of the continued trust that our clients have in us. The establishment of the German sales team and a sales office in Frankfurt was a long-lasting dream realised, and with the launch of five of our strong strategies in a Luxembourg SICAV, we extended the solutions to our international clients. I would also like to mention the vast amount of resources we dedicated to the new regulations of the financial markets. It is of great importance to us that these regulations are handled to the benefit of our clients, and that effort will continue in 2018.
Did the events on the global financial markets in 2017 match your expectations?
The year matched our expectations reasonably well. We expected good returns on global stocks, which was achieved. But we did not see as high a level of volatility as expected - on the contrary the trend was quite persistent and unequivocal. Bonds performed a bit stronger than we expected because interest rates still remained low. The weak dollar was one of the biggest surprises.
How do you expect the development on the global financial market to unfold in 2018?
The current sweet spot will in my opinion continue until mid-2018. Growth is robust, global trade is on the rise, optimism is substantial, yields are very low and inflation is moderate. Further ahead, tight labour markets - chiefly in the USA and Japan - could hamper growth, and in 2019 a mild US recession could pull growth further down.
What will be the biggest trends and developments in the demand for investment solutions on the part of Danish and international clients in 2018?
Legislative regulations and ESG will continue to play a growing part in how we interact with our clients. The demands and complexity of both areas are constantly growing. We want to offer our clients the best possible investment solutions with attractive risk-return-profiles taking these things into account.