Insight

Tactical asset allocation views

Woman looking though the binocular in the Peak of Hong Kong
Henley-based Multi Asset Team
Outlook still positive, but wary of short-term headwinds
  • With growth rates peaking and absolute valuations high, our view is slightly more cautious than last quarter, but we remain constructive on the outlook overall.
  • We maintain our preference for equities over bonds and cash due to the ongoing profits recovery and attractive relative valuations.
  • We downgrade emerging markets and Japanese equities from overweight to neutral, and upgrade cash to neutral from underweight. 
Figure 1: Q3 changes to our tactical asset allocation
Figure 1: Q3 changes to our tactical asset allocation
Source: Invesco, as at 30 September 2021. ¹ Developed Asia. * Indicates an upgrade or downgrade.

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    All data is provided as at the dates shown, sourced from Invesco unless otherwise stated.

     

    Where individuals or the business have expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals and are subject to change without notice.