Market review

The third quarter was characterised by some unsettling headlines for investors and mixed signals about the health of the global economy. Revisions to key economic data, concerns about high levels of borrowing by governments and tensions between nations over trade unsettled markets. Yet looking past the headlines, the economic backdrop proved more resilient than many expected.

Portfolio positioning

We have selectively increased some of our holdings in funds investing in company shares and we continue to see value in funds investing in some government bonds*. Our focus remains on constructing portfolios designed to navigate changing market conditions, rather than reacting to short-term noise.

Investment outlook

Concerns about government debt levels have contributed to market volatility. However, inflation has continued to ease and company earnings have held up better than expected. This mix of economic resilience, easing inflation and supportive government policy provides a positive environment for stock markets, even if headlines remain unsettling.

We have provided quarterly commentaries for our three MPS portfolio options.

*Government bonds are financial instruments used by governments to borrow money from investors.

You can read the reports using the links below:

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This article is provided for general information purposes only and should not be construed as personal financial advice to invest in any fund or product. These are the investment manager’s views at the time of writing and should not be construed as investment advice. The opinions expressed are correct at time of writing and may be subject to change. Capital is at risk. The value and income from investments can go down as well as up and are not guaranteed. An investor may get back significantly less than they invest. Past performance is not a reliable indicator of current or future performance and should not be the sole factor considered when selecting funds.