165 – Trump…..


2016 has certainly been a year of surprises with this morning just adding to the long list which includes Brexit, new prime ministers, Leicester City winning the Premiership……

Equity markets are selling off across the world as each one opens and bonds are rallying along with gold, in a nutshell its risk off; big style. We have said for years now that a market sell off would be an event outside of global central bank control and this is obviously potentially just such an event.

There is no point in us forecasting what happens next, people way smarter than us have just called another election completely wrong and as for economist forecasts, well you just have to look at the hopeless calls on the UK post Brexit.

We need to remember that once the dust has settled Trump is not necessarily bad for asset markets and as ever there will be winners and losers and as ever what there will definitely be are opportunities. The naval gazing in the US about what it all means will no doubt obsess their media (and the worlds) just as Brexit continues to do here, but in the real world people get on with their lives and adapt, it’s just what humans do.

So, in summary I know our managers are at this very moment scouring their investment respective universes for opportunities whether they come in the next few hours, days, weeks or months.

A note for diaries however the next vote of significance is 4th December in Italy on constitutional reform and that once again is too close to call.

We are still very much in the camp for highly diversified, low beta portfolios for the foreseeable future.

Here’s to the next event…..Surely not Honey G winning xFactor or Ed Balls winning strictly!!

The value of your investment can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance. Investing in shares should be regarded as a long-term investment and should fit in with your overall attitude to risk and financial circumstances.

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