American investment bank JP Morgan would have put the Philippines in last among ASEAN’s six biggest economies even if Vice President Leni Robredo pulled out an upset victory over Bongbong Marcos.
“Our views on the Philippines are driven by long-term global and local macroeconomic fundamentals, and not by election results/ outcomes in general. As stated in our May 8 Philippine Strategy report, ‘We think the Philippines faces a challenging macroeconomic outlook post-2022 regardless of the outcome of the May 2022 presidential elections,” said JP Morgan in a letter to Bilyonaryo.com.
JP Morgan issued the clarification after Bilyonaryo.com reported that it downgraded the Philippines to underweight and dumped the country at the rear of its “order of preference” in ASEAN counters behind Indonesia, Vietnam, Singapore, Thailand, and Malaysia.
“Our published views were established before the election outcome was known,” said JP Morgan which issued the report on May 9 or hours after the partial and unofficial elections results pointed towards a landslide victory for Marcos who is seen by Western countries and their corporations as pro-China. The results confirmed pre-election surveys that have consistently predicted an overwhelming victory for Marcos versus Robredo.
In its report, JP Morgan said: “The 2022 Philippines Presidential and
the vice-Presidential election was conducted on 9 May. Indicative results will be known within 1-3 weeks…We recommend selling into a possible post-election hope rally in-line with the Philippines Equity Strategy team’s view.”