Devaluation of chinese currency and rising interest rates in the US, what do the experts say?

Timothy Armour has over 34 years of investment experience. He has been employed with Capital Group since 1983. Mr. Armour is a portfolio manager for the Capital Groups’ Los Angeles office. Capital Group is one of the worlds largest and oldest investment management organizations. It was founded in 1931 and currently has over seven thousand employees. Capital Group has privately held offices in the United States, Europe, Australia and Asia. They are currently worth just over 1.4 trillion dollars in assets to learn more: click here.

Timothy Armour earned his Bachelors degree in Economics from Middlebury College. He is the principal executive officer at Capital Group as well as the chairman and director. He previously held the position of a equity investment analyst for capital group. This position required that he cover global telecommunications.

Recently Capital group and Samsung asset management announced a partnership. Samsung is based in Seoul, Korea. While working together they are trying to co-develope retirement solutions. This partnership will help samsung become familiar with capital’s active management. Tim Armour says this partnership allows them to co-design investment solutions. They are hoping to establish retirement savings and insurance needs for the Korean investers.

With a recent devaluation in Chinese currency Timothy Armour was recently questioned about the market selloff. China has a huge impact on the global economy since they account for about 15% of products made. China’s decision to devaluate their money was shock to global markets. Developed markets such as the United States, Australia, Japan and Europe will deal with a decrease in export activity. Timothy admitted that it is periodically healthy for markets to deal with corrections. It ultimately removes pockets of excess. Timothy feels as though the Federal Reserve needs to increase interest rates here in the United States because or economy is not growing as many had hoped it would. He feels as though low interest rates that are near zero pushed investors to take unnecessary risks. Mr. Armour feels as though higher rates will influence capital flows and these capital flows will contribute to a stronger financial system for the United States.

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