PortfolioMetrix Market Update and Portfolio Performance Review April 2017

Screen Shot 2016-06-21 at 13.39.15

Politics again dominated in April with the big news for European investors being the relief that centralist Emmanuel Macron progressed to the second round of the French presidential election and has then went on to secure election ahead of Le Pen. Elsewhere, there was an announcement of a snap election in the UK and investors mulled over Trump’s first 100 days in office against the backdrop of weaker than expected US growth. Learn more

PortfolioMetrix Market Update: Asset Allocation – Eyes Forward

News-wise it was an eventful month with the UK formally triggering Article 50 to begin the process of leaving the EU, the withdrawal of Trump’s healthcare bill, the US Fed raising rates by 0.25% and the Netherland’s avoiding the election of far-right candidate Geert Wilders.

PortfolioMetrix have just completed a formal asset allocation review for all portfolios, the results of which have just been implemented in their latest rebalance. How they decide on this asset allocation is reasonably technical, which they have already covered (the perhaps infamous ‘Black Litterman’ discussion), but they did want to highlight one key element of the process: PortfolioMetrix asset allocations are forward-looking, not backward-looking. Learn more

Bestinvest’s Spot the Dog

Dog FundsAt Intelligent Investments, our discretionary investment managers don’t rely on external fund research as rolling up our sleeves and performing their own due diligence is fundamental to their investment process and being selected by Intelligent Investments. Not only is it important from a fund selection point of view, it is crucial from a portfolio construction point of view as it’s not really possible to combine funds together effectively into a portfolio unless one is intimately aware of their individual characteristics.

That said, not relying on third party research isn’t the same as being oblivious to what others are thinking. We’re a curious bunch, so when we come across analysis from others we quite enjoy pulling it to pieces to see what ideas are worth internalising, which methods we can learn from and what is, at best, just noise. Learn more

PortfolioMetrix Market Update

pmxFebruary went by in a blur, but what a month it was. PortfolioMetrix had their best month ever in terms of new money flows as well as, when combined with market performance, their best ever month over month AUM increase. And to cap it off, just after month-end, PortfolioMetrix picked up the Citywire Wealth Manager Regional Star Award. Learn more

Inflation Is Up, Is This An Issue?

We believe that, ultimately, it’s imperative to move the debate forward with respect to what constitutes ‘risk’ to an investor. Thinking of risk purely in terms of volatility is a disservice for investors as in reality ‘risk’ is so much more than a number. One of the greatest risks that many savers are taking – often unwittingly – is the risk of having insufficient funds for a reasonable lifestyle at retirement, especially when the ravages of inflation are taken into account. Learn more

PortfolioMetrix Market Review and 2017 Outlook

A large computerised display of the Brit2016 was a year dominated by political upsets and upheavals but, despite the shocks experienced – fears of Chinese debt implosion, Brexit, Trump, various terrorist attacks, Leicester City winning the Premier League – it was an extremely strong year for markets overall. In fact, one of those years that beautifully illustrates the value of ‘time in the markets’, as opposed to ‘timing the markets’.
Learn more

PortfolioMetrix November Market Update

Screen Shot 2016-06-21 at 13.39.15

The big news of the month was the election of Donald Trump as 45th president of the United States of America which world equity markets ultimately responded well to when viewed in local currencies. Bonds, however, generally fell in price as whilst Trump’s spending plans are likely to spur short to medium term growth they look likely to radically increase the fiscal deficit and push up inflation. For UK investors, after a tough post EU referendum period, the pound strengthened strongly in November which put pressure on the returns of overseas assets when converted back to sterling. Learn more