Short-term tactical outlook

A snapshot of current views on equity, fixed-income and alternative asset classes — updated monthly to help you tactically adjust for opportunities and risks.

Overall positions

overall positions

Key Takeaways
  • Trade tensions are back — and so is market volatility. We believe it's prudent to maintain a lower allocation to risky assets.
  • We believe that the negative correlation of Treasuries and equities is the most important dynamic in the current fixed-income market. Fixed income is providing a better hedge to equity volatility than cash positions.
  • Non-directional strategies — such as absolute return — are compelling, given concerns around both equity and fixed-income markets. Right now, heightened geopolitical risk and a thematic global inflation story support a modest overweight to commodities. 

Within equities

 

Within fixed income

 

Within alternatives

within alternatives

 

 

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