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Global X ETFs: Valuations, Fundamentals and Quality Key to Portfolio Positioning in 2022

HONG KONG, Jan 24, 2022 - (ACN Newswire) - Global X ETFs, a leading global provider of exchange-traded funds (ETFs), today announced its market outlook for 2022. With peak liquidity reached, Global X ETFs expects the market to pay closer attention to fundamentals as markets are likely to be more selective in 2022. On the other hand, the convergence of several disruptive technologies such as robotics, artificial intelligence (AI), mobility, digital economy as well as blockchain, is creating unprecedented opportunities.

Updated guidance and sentiments from the US Federal Reserve on inflation expectations and the speed and trajectory of tapering and interest rate increases are likely to dominate sentiment in equity and fixed income markets. Inflation is likely to remain elevated until mid-2022 while supply chains normalize.

The Omicron variant adds a new wrinkle in the fight to control the virus, and may dominate market sentiment in the near term. The risk associated with Omicron may help dampen the demand-driven portion of inflation while exacerbating supply chain challenges.

Jon Maier, Chief Investment Officer, Global X ETFs said: "Income investors should be prepared for higher rates and inflation, a scenario that makes lower duration assets and real assets more attractive. Equity markets will likely be more selective in 2022 with a focus on valuations, fundamentals and quality."

Jay Jacobs, Head of Research & Strategy at Global X ETFs, commented: "Spurred by rising labor costs and disruptive supply chains, disruptive industries such as robotics and AI could reach an inflection point in 2022. At the same time, the emergence of the metaverse and a new generation of consumers with distinct preferences are rapidly changing the way we live, spend, travel and the demand for immersive experiences via the digital economy."

Global X ETF's landmark research report Charting Disruption ( https://tinyurl.com/2p87w2mu ) seeks to help navigate this landscape of accelerating change. The ETF provider has identified what it believes are among the most critical developments for 2022 and beyond. The identified themes present where the accelerated long-term investment opportunities lie.

The following key insights emerged:

-- Robotics & AI: The industrial robotics industry is set to more than double from 2020 to 2030, from $16 billion to $37 billion, as companies look to accelerate automation in manufacturing and logistics.

-- Blockchain: Digital currencies* could more than triple in market capitalization by 2030, reaching $10 trillion, as adoption broadens.

-- Mobility: The number of EV charging stations could increase more than 7x due to the implementation of the Infrastructure Investment and Jobs Act, addressing two of consumers' top three hesitations about EVs: concerns about range and the hassle of charging.

-- Digital Economy: Today's relatively niche market for augmented reality, virtual reality and mixed reality products could grow 9.6x to over $296 billion by the end of 2024, helped by growing use cases, content and technological advancements.

About Mirae Asset Global Investments Group
Mirae Asset Global Investments Group (the "group") is an asset management organization with over US$236 billion in assets under management as of December 2021. The organization provides a diverse range of investment products including mutual funds, exchange traded funds ("ETFs") and alternatives. Operating out of 14 offices worldwide, the group has a global team of more than 1,000 employees, including more than 200 investment professionals.

The group's global ETF platform features a line-up of 396 ETFs that offer investors high quality and cost-efficient exposure to newly emerging investment themes and disruptive technologies in the global markets. The group's ETFs have combined assets under management of US$85.8 billion and are listed in Brazil, Canada, Colombia, Hong Kong, India, Japan, Korea, United Kingdom and the United States.

About Global X ETFs
Global X ETFs was founded in 2008. For more than a decade, our mission has been empowering investors with unexplored and intelligent solutions. Our product lineup features 90 ETF strategies and over $40 billion in assets under management. While we are distinguished for our Thematic Growth, Income and International Access ETFs, we also offer Core, Commodity, and Alpha funds to suit a wide range of investment objectives.

Global X is a member of Mirae Asset Financial Group, a global leader in financial services, with more than $620 billion in assets under management worldwide. Mirae Asset has an extensive global ETF platform ranging across the US, Brazil, Canada, Colombia, Europe, Hong Kong, India, Japan, Korea, and Vietnam with over $70bn in assets under management.

Mirae Asset Global Investments Hong Kong: https://www.am.miraeasset.com.hk/

Global X ETFs Hong Kong: www.globalxetfs.com.hk

Disclaimer

This document is for Hong Kong investors only. This document is provided for information and illustrative purposes and is intended for your use only. It is not a solicitation, offer or recommendation to buy or sell any security, cryptocurrency or other financial instrument. The information contained in this document has been provided as a general market commentary only and does not constitute any form of regulated financial advice, legal, tax or other regulated service.

Certain of the statements contained in this document are statements of future expectations and other forward-looking statements. Views, opinions and estimates may change without notice and are based on a number of assumptions which may or may not eventuate or prove to be accurate. Actual results, performance or events may differ materially from those in such statements.

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Source: Global X

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