Tavistock Wealth Library
Monthly Portfolio Changes
This month we raised cash in the portfolios by reducing our exposure to global equities. Towards the end of the period, we initiated a new position in a ‘momentum’ based Smart Beta ETF. Momentum investing is a strategy of buying stocks that have a track record of strong and consistent performance. The new allocation tempers our defensive positioning versus the benchmark, allowing us to participate in a potential relief rally following the October sell-off. This month we did not make any changes to our investments in fixed income, commodities or property.
Please see below our monthly Sterling chart, showing the month end GBP/USD rate of 1.28, which is below the 1, 5, 10 and 20-year averages. The chart also highlights Sterling’s purchasing power parity (PPP) as well as Capital Economics’ forecast for a return to 1.50 by the end of 2020.
The value of an investment in the Protection Portfolios, ACUMEN Portfolios or Tavistock PROFILES may fall as well as rise. Past performance should not be seen as an indication of future performance. Source of data: Tavistock Wealth Limited, Thomson Reuters and Lipper for Investment Management unless otherwise stated.