November 2008

Global Strategy

We changed our asset allocation at the end of September and again at the beginning of October. We are now underweight equities, from neutral, and overweight bonds, again from neutral. We remain overweight cash and underweight property.

Read the Global Strategy Summary for November 2008 (PDF 78KB)

Download the Monthly Market Commentaries for October 2008

(PDF 132KB)

 

October 2008

AEGON Asset Management’s comments on the recent interest rates cut

AEGON Asset Management’s head of strategy William Dinning comments on the Bank Of England’s Monetary Policy Committee decision to cut interest rates by 1.5%.

Dinning says: “We had expected a rate cut today from the Bank of England but we are surprised that we have seen the size of rate cut delivered. The Bank of England has taken an aggressive approach by slashing its base rate by 1.5% and we applaud them for taking this action.

Click here to read the full article
(PDF 101KB)

Download the Monthly Market Commentaries for September 2008

(PDF 60KB)

 

Download the Market Commentaries for Quarter 3 2008

(PDF 56KB)

 

The UK Government’s intervention in banks

The UK government is going to provide up to £25bn of tier-one capital to eligible financial institutions. Initially those institutions are Abbey, Barclays, HBOS, HSBC, Lloyds, Nationwide, RBS and Standard Chartered. At least a further £25bn is also to be available for other institutions that wish to apply for it. Any institution with significant UK operations is eligible to apply.

Click here to read the full article
(PDF 96KB)

 

Global Strategy

Having sold Latin American equities and bought government bonds last month, our asset allocation is now neutral equities, neutral bonds, overweight cash and underweight property. The events of recent weeks have been the most challenging for financial markets in decades. The combination of an equity bear market, distressed prices for many corporate credits and frozen markets for many other investment vehicles has led to significant changes in the financial industry.

Read the Global Strategy Summary for October 2008 (PDF 78KB)