Kenya’s fiscal policy is set to benefit from a renewed focus on managing external liquidity as major economies face rough seas, according to Standard Chartered’s 2024 Market Outlook report, “Sailing with the Wind.”
The report is a compilation of views by the bank’s chief investment officer outlining the bank’s investment strategy for the year ahead.
Manpreet Gill, Chief Investment Officer of Africa, the Middle East, and Europe at Standard Chartered, said that investors should carefully consider their investment objectives, match them against long-term investment horizons, and focus on building portfolios that can weather drawdowns in their portfolios.
“A key element of our advisory is that investors need to retain strict investing discipline; they should not force sell, whether it be due to emotional or financial needs, and they should pivot to avoid excessive, permanent losses,” said Mr Gill.
The report finds that the US and other major economies are likely to witness sharply slower growth and sliding inflation in 2024.
Equity and bond markets may initially ride a wave of optimism in 2024, fueled by hopes of a soft landing and a central bank pivot towards supporting growth.
However, Standard Chartered advises Kenyan investors to navigate with caution, anchoring their portfolios with long-term goals and avoiding the emotional whirlpools of forced selling.
“Kenyans need to be disciplined investors,” emphasizes Paul Njoki, Head of Wealth Management, East Africa.
“Our new SC Wealth Select framework helps build strategic portfolios that weather storms and protect wealth, both today and for years to come.”
The new service adds to Standard Chartered’s growing capabilities in wealth management, including local and international advisory, property management, the entry-level SC Shilingi Funds, and the recently launched Signature CIO Funds.
The 2024 Outlook Report represents Standard Chartered’s take on how investors can optimally position their asset allocation as they navigate 2024 amid rapidly shifting economic conditions.
