Markets carried on their largely upward trajectory in March.
In fact, it was not just equities but also bonds that performed well, partly as a result of interest rates being expected to stay lower. Bonds were also favoured by investors as fears grew that global growth
might be lower than previously expected in the coming months and years.
Despite this, equities responded positively to comments from central banks. The US Federal Reserve has said they may ease off their efforts to reduce their balance sheet while the European Central Bank has hinted they might provide further quantitative easing if required. Both of these actions would put more money into the economy and therefore provide support to equity markets.
Central banks seem to have admitted that the outlook is not as strong as it was but markets seem prepared to believe that there will be action taken to support equities, for the time being at least.
Read more about how Sheldon MacDonald, Deputy Chief Investment Officer, positioned the Architas Multi-Asset Blended Fund range and Architas Multi-Asset Passive Fund range last month in shareable, client-friendly PDFs.
For more information, call us on 020 7562 4900; Monday to Friday 9.00am – 5.00pm, calls may be recorded, or visit architas.com