Four types of new habits and perspectives are expected to define the post-coronavirus era and could impact investment portfolios, according to new analysis by Thinking Ahead, the thought leadership lab at the Canada Pension Plan Investment Board.
The research, co-authored by Caitlin Walsh, senior portfolio manager, and Ruby Grewal, portfolio manager, analyzed the breadth of change expected following the global pandemic.
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It found four areas with the potential to impact investments:
- Permanent changes to consumer behaviour, such as greater e-commerce adoption among older consumers;
- Long-term impact on health care and privacy policy, including the shift toward telehealth and increased concerns over the sharing of personal data;
- Impact on cities and infrastructure, resulting from a potential shift of populations away from the largest urban centres and changing mobility trends; and
- Shifts in global supply chains, benefitting providers of supply chain software and automation.
“As COVID-19 impacts consumers, businesses and governments we continue to monitor and assess the changing landscape as part of our ongoing risk management efforts and to identify new investment opportunities,” said Leon Pedersen, managing director and head of thematic investing at the CPPIB, in a press release.
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Each focus area of the analysis is backed by quantitative and qualitative data, including proprietary research such as interviews with portfolio companies and partners, as well as the CPPIB’s custom surveys of consumers and supply chain managers.