Tactical change - 25 July 2024

The Multi Asset Team at Royal London Asset Management have made a tactical change to the asset allocation of the Governed Portfolios (GPs) and Governed Retirement Income Portfolios (GRIPs). 

What’s changing?

We have reduced the size of our overweight position in global equities, moving closer to neutral with our measure of investor sentiment beginning to look overly bullish despite some concerns emerging from the recent corporate earnings season. With global stocks near all time highs and political risk still high we have taken some profits. We have also reduced our exposure to commodities, moving further underweight the asset class which continues to slide on weaker Chinese demand outlook.  We have added to government bonds and cash which should outperform as summer volatility begins to rise. 

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