Global equities rose for the sixth month this year in July as the Federal Reserve cut US interest rates in response to slowing growth. While the US-China trade talks showed few signs of progress, investors remained hopeful of a resolution. Given muted inflation, we expect monetary easing by central banks to trigger a mini cyclical upswing.
We have taken advantage of short-term market weakness to move more overweight in equities, increasing our underweight in commodities; and, as bond yields declined to new lows, have reduced our holdings of government, corporate and global high yield bonds.
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.
|Absolute Return Strategies (including cash)|
Directions of arrows show overall change from previous tactical change. For individual portfolio changes, please see factsheets.