Five key risks to the global economy in 2012

Constructing a portfolio in this environment is tougher than it has even been. With so many indicators, contra-indicators, a lack of obvious trends, and traditional safe-havens that, arguably, look over-valued, where does one start? We believe the current environment has the potential to be as volatile as that of 2011, and macro messages are not so easy to decipher. Investors can muddle through, but tail risks do exist, and it is important to be cognisant of these. Our top-down perspective has identified five key risks looming over the next 12 months: 1 Tensions surrounding Iran and ...