The largely positive momentum we have seen in equity markets continued during March.
This is in part due to the US Federal Reserve potentially holding off raising interest rates in 2019. They may also halt the current reduction of their balance sheet, which would mean more money in the system and potentially more support therefore for equities. Given inflation remains low central banks have the leeway to leave rates relatively low for now. This outlook provides a relatively benign environment for equities that have continued their recovery after the falls in late 2018
There have been concerns about weaker economic data in many regions across the globe. However, due to the more cautious approach from global central banks in terms of raising rates and government stimulus in regions such as China we expect data to stabilise. Uncertainty around Brexit continues to create volatility for UK investors particularly in terms of the impact on currency, which continues to fluctuate.
Read more about how Nathan Sweeney, Senior Investment Manager, positioned the Architas Multi-Asset Active Fund range last month in a handy two-page PDF.
For more information, call us on 020 7562 4900; Monday to Friday 9.00am – 5.00pm, calls may be recorded, or visit architas.com