Global Asset Class Strategy
We continue to be bullish on developed world versus emerging market equities, a view we have held for nearly three years.
We have reversed our trans-Atlantic relative value play, and are now bullish eurozone versus US equities. This is a relative view, rather than a negative view on US equities.
Rising US yields - which are justified by the fundamentals, in our opinion - risk further destabilising fixed income markets globally. Though some local markets may have overshot to the downside, w e remain bearish global bond markets in general.
|US - 10 Year Treasury Yield (%) - Quarterly Chart|