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Investors must pay attention to differing global monetary policies

Investors must pay attention to differing global monetary policies
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People keen to earn extra money by investing their capital should be aware of how governments across the world are responding to inflationary pressures, according to a source from Standard Life.

Jonathan Gibbs, investment director for fixed interest at the company, pointed out that stable global economic growth disappeared with the onset of the recession and now each country or region is adopting its own remedy to concerns.

He explained that individuals must keep these policies in mind when investing their money.

For instance, he described how China and many other Asian nations have been tightening their fiscal strategy while the US tries its best to stimulate economic activity.

"Investors need to examine the global inflation backdrop and the rather different policy responses between countries," said Mr Gibbs.

Last month, Standard Life's global thematic strategist Frances Hudson noted that people can glean information regarding global economic patterns by monitoring the commodities markets.

Posted by Chris WeaverADNFCR-1681-ID-800563703-ADNFCR