Article | 25 September 2019 | Investments
The prospect of slower growth and lower interest rates sets a volatile backdrop for equities (also known as shares), where we maintain an underweight stance. We fully expect the US Federal Reserve to respond to growth fears with rate cuts. This low interest rate environment makes higher yields very attractive for investors and we are happy to invest in areas where high dividends should bring opportunities for capital preservation.
With the Brexit outcome still as uncertain as ever, potentially driving further volatility, we are happy to maintain our allocation.