FOR ADVISERS ONLY

Tactical change – 11 July 2019

16 July 2019
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?

Stock markets rebounded in June as investor sentiment recovered due to the Federal Reserve signalling it would likely cut rates in July. Trade tensions also appeared to ease as there were positive signals about a US deal with China. Despite ongoing political uncertainty and slower global growth, risk of global recession in 2020 has arguably reduced as policymakers signalled easier policies.

We have moved more overweight in equities, funded out of conventional gilts and cash-based strategies. We also added to high yield and reduced our underweight in commodities, given upside risks to oil prices.

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

 OverweightNeutralUnderweight
Equities    
Property      
Commodities    
High Yield    
Gilts    
Index Linked      
Corporate Bonds    
Absolute Return Strategies (including cash)    

Directions of arrows show overall change from previous tactical change. For individual portfolio changes, please see factsheets.

 

Last updated: 21 Aug 2019

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The Royal London Mutual Insurance Society Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The firm is on the Financial Services Register, registration number 117672. It provides life assurance and pensions. Registered in England and Wales number 99064. Registered office: 55 Gracechurch Street, London, EC3V 0RL.