We remain overweight to global and EM equities, and keep our overweight to US large cap value, which should benefit from attractive valuations and improving inflation.
This month we also make two changes within our fixed income allocation. First, we add an overweight to US 10-year Treasury bonds vs. cash. Next, we increase our overweight to emerging market debt, shifting our preference to USD-denominated bonds.
Tactical recommendation to hold more of the asset class than specified in the moderate risk strategic asset allocation.
Tactical recommendation to hold less of the asset class than specified in the moderate risk strategic asset allocation.
Tactical recommendation to hold the asset class in line with its weight in the moderate risk strategic asset allocation.
Note: This is a visual summary representation of our positioning. Please visit the full monthly report for our full detailed asset allocation tables.
NOTE: The Bloomberg Barclays EM Local Currency Government TR Index Unhedged USD is used as the benchmark for EM Local Currency FI. The MSCI All Country World Index is used as the benchmark for global equity.