Outlook
& news.

•    In the United States, the latest figures confirm a slowdown in jobs creation and inflation, reinforcing expectations of further rate cuts. However, equity markets remain under pressure due to lingering doubts about AI.

•    In Europe, markets were briefly lifted by news on the Ukraine conflict.

•    In Asia, Japan stood out in a positive way. The Tankan corporate confidence survey hit its highest level in 4 years despite trade tensions with the US.

Asset allocation: Investing amid a bubble
Benjamin Melman, Global CIO AM
 
Credit market: 2026 is set to be a strong year for credit markets!
Alain Krief, Head of Fixed Income
 
European equities:  a three-step Waltz
Caroline Gauthier, Co-Head of Equities 
 
International equities: 2026, a structural year for equities and the end of the prologue
Jacques-Aurélien Marcireau, Co-Head of Equities

Management philosophy: Decorrelate your portfolio by investing in European defence
Anthony Penel, European Equities Portfolio Manager

•    The Fed cut rates by 25 basis points for the third consecutive time, triggering a rise in equity markets.
•    In Europe, the probability of an agreement with Russia increased after Volodymyr Zelensky said a referendum on ceding control of some Ukrainian territory could be held, which eurozone equities higher.
•    In China, exports rebounded in November while imports remained flat, a sign that Chinese domestic demand is still soft.

Edmond de Rothschild Asset Management was recently awarded the prize for Best Regional Global Bond Company at the 7th edition of the Quantalys France Harvest Group Awards. This award, which concludes a trophy-filled 2025, recognizes our EdR SICAV Financial Bonds and EdR SICAV Corporate Hybrid Bonds funds. These two strategies, based on proven expertise, perfectly illustrate our commitment to offering our clients innovative investment solutions that provide diversification in the fixed income markets.

Congratulations to our investment teams: Julien de Saussure, Benjamine Gouraud, Nicklaus Miguel Raminhos, Marc Lacraz, Vianney Hocquet, and Daniela Savoia.

Edmond de Rothschild Asset Management unveils its investment outlook for 2026, focusing on the following key themes: 

We are delighted to announce that Edmond de Rothschild Asset Management has been awarded 3 prizes in the following categories by H24 Finance at the Grand Prix de la Finance:

•    EdR Fund Big Data: 1st prize in the “Technology Fund” category
Our thematic fund focused on Big Data, which recently celebrated its 10th anniversary, has secured first place. This is a great recognition for this pioneering strategy designed to capture the potential of data and gain diversified exposure to the technological revolution.

•    EdR SICAV Tricolore Convictions: 3rd prize in the “French Equities” category
This flagship fund illustrates our long-term expertise in the French market and the relevance of our stock-picking approach.

•    EdR Fund Human Capital, our thematic equity fund launched in 2021, won 3rd prize in the “Human Capital” category

We would like to thank the members of the Grand Prix de la Finance jury, as well as our clients and partners, for their trust and support.

Edmond de Rothschild Real Estate Investment Management has acquired a hotel in Stafford in the United Kingdom, on behalf of one of its retail strategies

The asset is fully leased to Travelodge, one of the UK's leading hotel operators. The brand operates a vast network of hotels across the country and benefits from a strong position in a highly resilient sector. The remaining lease term is 18 years, offering strong long-term rental stability.

•    The latest US statistics still indicate a resilient economy despite a slowing labour market, but the lack of visibility on the impact of the shutdown is likely to prompt Jerome Powell to maintain a cautious stance.
•    There are increasing signs that the Bank of Japan is preparing to raise rates when it meets on December 19. 
•    In Europe, budgetary uncertainties in France and tensions within the German coalition are fuelling political risk, yet European indices gained further ground on hopes for a peace deal in Ukraine.

After many months of work, waiting and preciously guarded secrets, the new Gitana/Verdier designed Maxi Edmond de Rothschild was unveiled this Wednesday, December 3rd in Lorient, Brittany.

•    US economic data was mixed this week, marked in particular by a slowdown in September retail sales.
•    In the UK, the government unveiled significant tax increases which will raise its budget leeway from £9.9 to 21.7bn by 2029. 
•    With markets now factoring in rate cuts at future FOMC dates, we remain cautious on the dollar. We are also sticking with a slightly positive bias on fixed income with a preference for emerging country debt and investment grade credit.

Over the past two years, the European Union has signaled a clear strategic shift, launching a series of initiatives aimed at restoring the continent’s leadership in a sustainable way.

Europe is entering a new phase of massive investment, driven by historic decisions to rearm and modernize infrastructure, announced in particular by Germany and the European Commission. This decisive turning point is part of a broader drive towards reindustrialization, technological innovation, and economic sovereignty. 
At a time when investors are revising their global outlook and seeking to diversify their portfolios, the appeal of European assets continues to grow, supported by both structural themes and attractive valuations of eurozone companies, particularly compared to their counterparts across the Atlantic.