Alex Borer

“Equity markets are basically trading in a range, with some attempts to break out to the upside. The exceptions are emerging markets and Asia, where the superior growth potential is being rewarded. Our global economic scenario still calls for reasonable growth and some inflation. Our view is that equity markets will resume the uptrend later in the year. Government bonds offer very little value, given the record low level of yields. We trim the allocation to bonds by a further 2 per cent and increase our position in the managed futures fund of fund. In addition, we shift more equity exposure from the US to emerging markets.”