A new way of deploying capital

Concerns over the outlook for returns from equities and bonds, combined with a potential rise in volatility, has led to a major rethink of portfolio construction. We believe that many of the world’s most conservative investors are actually invested in some of the riskiest assets. In our opinion, the returns and diversification benefits previously provided by bonds are unsustainable going forward and investors have become over-reliant on the growth of equities.