Monthly Investor Update May 2023

Simpan has updated its equity strategy to adapt to the current market conditions. They've added a new strategy to diversify their portfolio and improve performance. The firm recommends investors to stay invested in the Indonesian equity market for the long term.

The Federal Reserve’s trajectory could face headwinds under newly re-elected President Trump. Many experts warn that potential policy shifts—such as broad-based tariffs on imports—could stoke inflationary pressures. This scenario may force the Fed to reassess its rate-cutting agenda, potentially slowing the pace of reductions in 2025. Such tariffs could complicate the Fed’s efforts to maintain its 2% inflation target, introducing uncertainty into the economic outlook.