Seven out of 10 financial services practitioners believe that the US remains attractive for investors, despite the country’s credit rating being downgraded for the first time, a Chartered Institute for Securities & Investment (CISI) survey shows.
Leading credit ratings agency Standard & Poor’s (S&P) cut the US standing by one notch in August, from AAA to AA+ with a negative outlook, over concerns about budget deficits. However, some respondents to the online survey feel the downgrade will have a positive effect.
One said it had “given the US the wake-up call that it needed which will result in more prudent financial decisions.”
“The downgrade has saved the US from itself and it is now a better investment than it has been since the start of the crisis,” argued the contributor.
Another supporter said: “The US is still the safest country for investors. It is the largest and most versatile economy, with strong laws for the protection of investors.”
Among the 30% of respondents who no longer consider the US a safe haven for investors, there were major concerns about the sustainability of its debt level.
A report by broking group Marsh examines the repercussions from the administration of the South Korean company, which filed for bankruptcy protection at the end of August.
Global research by C2FO suggests that smaller businesses are less concerned with the repercussions of Brexit and the upcoming US presidential election.
A squeeze on skilled talent means it now takes an average of seven weeks to fill open permanent roles in finance in the UK according to new research from financial services recruitment firm Robert Half.
Early-stage merger and acquisition deals in Asia-Pacific show nearly 10% year-on-year growth in recent months.