Asset Allocation Strategy
Q1 Managed Funds Report
Mon 21st February, 2022

Our quarterly managed funds report outlines the pathway best-suited to deliver on our current asset allocation strategy.

After a strong 2021, markets were hit by a significant bout of risk aversion in January, with concerns around the path of global inflation and interest rates the primary driver of the sell-off in both bonds and equities in January. Russia Ukraine tensions have also worried investors sending both the oil and gold price higher, though US inflation and the US Fed’s reaction function seem to be the primary source of angst for equity and bond markets. Equities have managed to stage a decent rebound from their late January lows though conditions remain volatile.

Against this backdrop we address:

  • Inflation and the US Fed
  • Growth stocks under pressure as yields rise
  • Alternatives as a diversifier – retaining our overweight
  • Manager focus list performance update
  • Manager meeting / fund profiles

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Written by

David Cassidy, Head of Investment Strategy

David is one of Australia’s leading investment strategists.

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