We tell Bloomberg TV that within our fixed income allocation we are moving away from traditional developed market bonds and investing more into Australia and South Korea where the level of yields are higher. We feel this should help safeguard us if we move into a trickier time for both stock markets and the global economy.
We have also moved into some of the equity laggards - in particular building a case for some value stocks. We like infrastructure companies as well, where we believe the valuation case is strong from a medium-term perspective.
We also discuss the challenge of the size of the technology stocks and the “concentration conundrum” they pose and how to navigate that by spreading our risk across different regions.
All references to specific securities are for illustrative purposes only. The above information does not constitute a recommendation to buy or sell any security.
