Timothy Armour is the CEO and Chairman of Capital Group Companies and its subsidiary companies in Los Angeles. He is an economics graduate of Middlebury College, Vermont, and an experienced portfolio manager with over 33 years’ experience in the equity investment industry.
Capital Group underwrites mutual funds, offers financial services and asset management. It is built on a strong backbone of proper research and market analysis to create innovative and balanced investment strategies that grow wealth.
Tim Armour started as an associate in the firm. He has risen to head the group with his ingenious investor engagement strategies. This puts him in the unique position of being able to do what he does best, give executive investment guidance while still “earning his keep” as an active portfolio manager. He has previously worked for American Mutual Fund and Scotia Capital.
Recently, Tim shared his thoughts on the future of global markets and investments trends to follow in light of the new administration and recovering global economies. Firstly, he believes corporate earnings will drive the future of global investment markets. The new administration is seen as being corporate friendly and likely to stimulate market growth both locally in the US and globally. Companies structured for rapid growth have a great opportunity to accelerate earnings.
Secondly, it will be important to keep an eye out for interest rates and account for expected changes. Higher interest rates are often seen as a double-edged sword. Some industries such as commodity-oriented companies and commercial banks perform better, and some are hurt. The administration is poised to keep interest rates high driving healthy inflation and growth in otherwise less active markets.
Thirdly, he sees regional economies narrowing the gap in growth rates and realizing far better returns by operating on a global platform. Around the world, Japan is looking to enhance shareholder value and consideration; better governance in Brazil will open up investment opportunities; there are highly successful global companies in Europe despite the overall negative outlook. There is an overall push for markets to collaborate and grow rapidly on a global level. The perfect opportunity for investors to also grow their assets.