Tactical change – 06 July 2023

Published  06 July 2023
   5 min read

Trevor Greetham, Head of Multi Asset at Royal London Asset Management, has made a tactical change to the asset allocation of the Governed Portfolios (GPs) and Governed Retirement Income Portfolios (GRIPs).

What’s changing?

We remain overweight equities. The near-term macro backdrop remains supportive, with lower energy prices and tight labour market helping global consumers stay resilient.  However, in the absence of dramatic falls in core inflation, we believe that tight monetary policy will ultimately push economies into recession, which will make a defensive stance more necessary at a later point.  Elsewhere, we remain underweight commodities which have struggled this year as the China reopening has underwhelmed and demand remains weak. 

Keep up to date with Trevor’s latest views

You can access up to date views from Trevor on the market and the movements of the Investment Clock on our Latest Investment Clock updates page.

Latest tactical positions

  Overweight Neutral Underweight
Equities Increased    
Property     Increased
Commodities     No change
High Yield Increased    
Government Bonds     Decreased
Index Linked     Decreased
Corporate Bonds     Decreased
Absolute Return Strategies (including cash)     Decreased

For individual portfolio changes, please see factsheets.