INVESTMENT LINE: ASSET ALLOCATION – SEPTEMBER 2021

Very modest changes this month with portfolios reflecting a balanced approach to the risks discussed overleaf.

OVERSEAS EQUITIES

China has continued to present concerns for investors. We are not making changes yet, though any more unwelcome surprises would raise serious questions.

UK EQUITIES

Slight addition to the UK for more cautious investors following the Treasuries reduction. The UK may well face a very difficult winter given developments on the energy front, but the relative merits of the equity market look attractive enough still.

SPECIALIST

We continue to look for new ideas for portfolios and some new themes may be added in the next year.

FIXED INCOME

We are making a move on reducing the Treasuries exposure in our defensive and cautious portfolios, adding to short duration credit for some.

PROPERTY

Pockets of value exist in some of the more specialist areas though obvious challenges remain. The global property securities arena continues to be discussed.

ALTERNATIVE STRATEGIES

Allocations to alternative and protective strategies remain unchanged.

CASH

Holdings reflect both the rates available on cash and the general state of asset markets.

Investment Line is written and edited by members of the Mattioli Woods Group investment committee and is for information purposes. It is not intended to be an invitation to buy, or act upon the comments made, and all/any investment decisions should be taken with advice, given appropriate knowledge of the investor’s circumstances. The value of investments and the income from them can go down as well as up, and you may not get back the amount invested. Past performance is not a guide to future returns.

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