Recession looms for 2023 and many economists are pessimistic about the future of the economy. Nouriel Roubini, who distinguished himself by anticipating the subprime crisis in 2008, even speaks of an “inevitable crash” and “the mother of all crises”.

Less alarmist, Pictet Asset Management for Capital is above all cautious about the surge in current prices on European equities such as the CAC 40, the DAX, etc. American equities are also concerned (in particular the Dow Jones): the management company underlines valuation levels which “seem even more difficult to justify”.

In Europe, the tightening of central banks against a background of inflation will penalize growth, “while the conditions for access to liquidity continue to tighten around the world”. In the United States, the dynamic “is negative and deteriorating, while the real estate market is weakening, construction activity is collapsing and domestic demand has stalled, against a backdrop of erosion of purchasing power. households”, stresses Pictet Asset Management.

The company wants to be more alarmist for the euro zone where “a recession seems even more likely” which underlines the energy rationing of this winter which can weigh on industrial production. And the ECB is less advanced than the Fed in its monetary tightening cycle.

Faced with these hazards, we reveal below the investments that should be avoided in 2023.