Stock markets rose through the first quarter of 2019, a reassuring counterpoint to the falls we saw at the end of 2018.
We have a more defensive approach in most portfolios at the moment as we expect lower growth this year. Holding enough risk to make gains in positive periods is key, but not at the expense of our risk-mitigation strategies, which we believe will be essential this year.
The original Brexit date has come and gone without any signs of a clear way forward, and so we are watching this very closely. It is difficult to prepare a portfolio for all of the potential outcomes, but we are moving forward with a “safety first” approach.
Several central banks have recently indicated that they do not plan to increase interest rates in the near future. As a result of this, we added significantly more exposure to government bonds in March, as a tool for diversification, for income, and as a shock-absorber in tougher markets.
For more detail, please download the full Investment Market Review & Outlook document:
- GDIM Investment Market Review & Outlook April 2019
- GDIM Investment Model Portfolio Performance Summaries April 2019