Market and strategy update

Market and strategy update

Markets at a glance

Recent developments
(See Market Return Table): The week ahead:
Asset allocation and portfolio views

Our investment strategy pillars

We remain disciplined and focused on the long-term objectives. Even though market conditions have been challenging for our strategy this year and portfolio returns remain negative, we have seen a stabilisation in the performance of our three pillars since the end of May. We maintain conviction in their ability to help drive portfolio performance in the future:
  1. We invest globally, within equities and bonds, which gives access to a wide pool of potential growth, income drivers and exposures. US equities have outperformed in recent weeks.
  2. We invest in companies with what we believe to be quality growth characteristics, those with competitive franchises, pricing power, and high returns on capital. Even though these companies have not been rewarded in the last six months, our research shows that they remain well positioned for the future. As investors have been increasingly concerned over recession risks, their quality features have been rewarded in recent weeks.
  3. We invest in an increasingly sustainable manner. We want to be ahead of the curve by backing assets with high or improving social, governance and environmental standards.
In a year where there has been no place to hide, your portfolio holds assets whose prices have fallen but, we believe, whose potential future value has increased given their unchanged expected long-term characteristics. We therefore maintain conviction in the return potential of these assets over the long term.

Market Performance


Bill Street
Group Chief Investment Officer

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Investment Risk
Investing in stocks either directly or indirectly carries investment risk.  The value of equity based investments may go down as well as up over time due to factors such as, market volatility, interest rates, and general economic conditions.

Information correct as at 11 July 2022.

Past performance is not a reliable indicator of future returns
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