July 19, 2012
--- Markets
will be erratic as U.S. policy indecision and a deepening recession in Europe
overshadow virtually every aspect of the world economy, Natixis predicted. ---
According
to John Hailer, chief
executive of Natixis Global Asset Management (NGAM) in the Americas and Asia, institutional
and retail investors around the world continue to face low-rate,
high-volatility conditions.
Hailer’s comments were part of his
quarterly series of remarks on markets and the economy. In each of the last three
presidential election years, the Standard & Poor’s 500 Index has declined
an average of 4.1% in the third quarter.
“Investors have remained squarely
focused on managing volatility using new strategies and approaches to preserve
capital, maintain flexibility and achieve yield,” Hailer said. “There are no
safe havens, only more durable investments.”
Policy uncertainty, anemic job
growth and struggling global markets will continue to weigh on markets in the
U.S., Hailer said “Volatility has been the order of the day. The biggest
question is when, or whether, Europe can identify a long-term fiscal and
political integration that satisfies markets and voters.”