Hello,

 

We have fielded many questions in recent weeks surrounding the dominance of the US stock market (70%+ of global market cap) along with market concentration (mostly characterised by the ‘Magnificent Seven’). As active managers we are always cognisant of such scenarios, and the risks they bring. For us, asset allocation remains a key driver of returns within a multi-asset fund environment. However, via our top-down process, we look to add value in relation to our geographical and sector allocations, and our selection of individual securities with equities and bonds. This presents us the opportunities to mitigate risks in relation to geographical and stock concentration, all within a longstanding and well governed investment process.

 

Finally, a small reminder that we are hosting our ‘Investment Essentials’ webinar in association with Brokers Ireland next Wednesday, 20th March, at 11am. My colleagues Alan, David, and Justin will discuss the market movements experienced since the turn of the year, along with some concepts in relation to how wealth extraction in a tax efficient manner could be one of the client trends of 2024. Further details and registration available here.

 

As always, if you wish to discuss anything in further detail, please do get in touch.