In this video, we look at the key trends in global equity fundamentals. The video walks through a couple of slides of a recent edition of the Weekly Macro Themes report. In the video, we look at a couple of charts which track the broader trends in profit margins across the more than 40 countries that make up the combined emerging markets and developed markets global equity universe. The key point is that after going through a clear sort of “mini-recession” last year, global equity fundamentals are looking much improved, and this helps put the strong performance since the January 2016 bottom into the proper context. We also pay passing a note to the trends in interest coverage ratios (a broader trend of improvement across time with some cyclicality) and return on equity (which saw a deeper downturn than just profit margins did). If you have any questions or comments about the charts and insights please visit the YouTube page and put it into the comments section.
