Charity Multi-Asset Fund: 2019 first quarter update
Tom Montagu-Pollack discusses the Fund’s recent performance, the economic outlook and current positioning
Allocation to equities boosts performance
Stock markets around the world have recovered over the quarter. We added to equities at the start of the year, specifically US mid cap stocks and China A Shares. This helped the Charity Multi-Asset Fund generate a total return of 6% over the first three months of the year.
Economic outlook less impressive
Though still positive, global growth is slowing. The inversion of the yield curve has added to concerns about the US economy. However, we do not expect a US recession this year or next.
Our positioning – cautiously optimistic
We are comfortable with our current equity positions, but continue to ensure the fund is well diversified to help us navigate any volatility. We remain underweight bonds, favouring alternative asset classes that provide uncorrelated return streams.
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