Most investors tend to reduce their investment activity in a country anytime there are elections. It is so because when there is a change of regime; it could result in new policies that may significantly affect investment in a country.
Recently, France conducted presidential elections that got new administration to power. As a result, some of the weary investors have already European Exchange traded their funds. According to Brian Bonar, a renowned investor, investors should not do anything hasty.
Some more political scenes are unfolding shortly in France and Germany that may create a better opportunity for investors to invest in these markets. The legislative elections in France and National elections in Germany create a healthy environment for economic prosperity in Europe that will increase the potential for ETFs to generate serious wealth.
According to Bonar, it was almost obvious that Emmanuel Macron was to win the presidential race in France. These results were widely influenced by international investors who saw Macron as being more economically stable when compared to Marine Le Pen. Therefore, it shows that foreign investors have a lot of hope with the European’s economy. It will help to cement the positive economic trend witnessed in Europe.
Even with the positive economic developments in Europe, the value of the euro still hasn’t caught up with the current strength of the dollar. Therefore, it means that investors can take advantage of this situation to buy European stocks at lower prices now.
According to Bonar, this is the right time to invest in Europe before the conditions for investment are no longer favorable.
According to Bloomberg, Brian Bonar also advises investors to take their time before making investment decisions in ETFs. Although the European economic potential seems promising, the future political events may also negatively or positively impact on the investment opportunities available in France. Macron’s choice of a prime minister will help to create a stable government that takes care of interests for both major political parties.
Macron’s failure to do this could backfire on investors and the Macron’s progressive economic agenda. According to Bonar, no matter the direction the recent elections in France take, investing in European ETFs will be one of the best investment decisions an investor makes at this time. The economic potential in Europe is projected to grow by more than 20 percent of the economic growth worldwide.
About Brian Bonar
Brian Bonar is a prominent investor who has been actively involved in various investment activities in San Diego. He has served as the CEO of Trucept Inc. since March 2010. He was formerly the CEO and the Chairman of Dalrada Financial Services where he had a successful career until he retired from the company. Since his graduation from Staffordshire University, Bonar has served in various prestigious positions in different organizations.