International
While Japan is back in recession, we look for modest growth worldwide. However, China’s slowdown and focus on consumer activity will continue to create a serious drag on economies that are highly dependent on exporting basic commodities.
We see some international opportunities in 2016. For example, Chile may bottom in 2016 as they were quick to adjust to falling commodity prices and have substantial reserves. Economies that are commodity importers, such as India, should continue to benefit from low prices. Low tax countries, such as Ireland, may continue to attract foreign business. Pro-business governments, especially in Argentina and the U.K. should help those stock markets move higher in 2016.
Of course, the world remains focused on the rise of international terrorism and rising fears of violence can seriously damage economies. We should expect to see rising defense spending as governments react to public demands for greater security.
|
Positives |
Negatives |
|
Some emerging markets are bargains |
|
Commodity prices have not bottomed |
|
Low tax economies are more attractive |
|
Anticipation of Fed rate hikes boosts the Dollar |
|
Pro-business governments should lead to stronger growth |
|
China’s transition to consumer economy slow and painful |
|
Many central banks will remain stimulative |
|
|
|
The views and opinions expressed are those of James Investment Research, Inc.
This information is of a general nature and does not constitute financial advice. It does not take into account your individual financial situation, objectives or needs, and should not be relied upon as a substitute for financial or other professional advice to assess, among other things, whether any such information is appropriate for you and/or applicable to your particular circumstances. In addition, this does not constitute an offer to sell, or the solicitation of an offer to buy, any financial product, service or program. The information contained herein is based on public information we believe to be reliable, but its accuracy is not guaranteed.
Investing involves risks, including loss of principal.
Past performance is no guarantee of future results.
The James Advantage Funds are distributed by ALPS Distributors, Inc. 1290 Broadway, Ste. 1100, Denver, CO 80203 (Member FINRA). ALPS is not affiliated with James Investment Research, Inc.
S&P 500 refers to the Standard and Poor’s 500® Index with dividends reinvested. It generally represents the aggregate price changes in the largest 500 publicly traded companies. One cannot invest directly in an index.
Daily NAV & Distributions
Sign Up to receive an email of our quarterly Distributions and our daily NAVs updated
nightly at 7PM EST
Economic Outlook
- Annual Outlook from Fund Advisor
- Provides recommendation for Investors
- Forecast for Economy, Bonds, Stocks and International
Download