Global supply chain crisis to persist but still 'too early' to evaluate impact

Short-term volatility

clock • 3 min read
 Experts say investors should look through the supply chain crisis

Experts say investors should look through the supply chain crisis

Global supply chains – which were already mired in uncertainty following the onset of Covid-19 – are likely to see a prolonged period of volatility, but it is still too early to evaluate the impact of the crisis, commentators have said.

Shortages of workers, equipment and space have added pressure to an already fragile global supply chain ecosystem and could lead to consolidation among smaller businesses while dominant market players' positions are strengthened. According to David Lambert, senior portfolio manager European equities at RBC Global Asset Management, inventory is being run down to satisfy the end demand for finished goods. At the same time, a separate cycle of inventory is being expanded by "manufacturers and assemblers who have the financial strength to do so" in a bid to prevent production disruptions ...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on Markets

Josh Mayne, Lowes Financial Management

Structured products in Q2: Positive returns in volatile market

Q2 2022 maturity results

Josh Mayne
clock 09 August 2022 • 2 min read
Ritu Vohora, T. Rowe Price

Ritu Vohora: Bear market rally or a bullish inflection?

Pain for equities

Ritu Vohora
clock 08 August 2022 • 5 min read
European-focused investment grade and high yield credit have highest inflows since April 2020.

Fixed income dominates ETF flows in July

Accounted for $32.5bn

clock 08 August 2022 • 2 min read