Where did the smart money go in July?

Heightening geopolitical tensions have seen investors become increasingly nervous about most higher risk assets over the past month. They have pulled away from high yield bonds and equities, but apparently remained stumped over where to deploy their newly realised cash. Many multi-managers are choosing to retain it in cash, waiting for better opportunities in the market. Globally, high yield bonds were the main victim of increasing risk aversion. Around $5bn (£2.9bn) was pulled from high yield bond portfolios in the week to 23 July, according to EPFR Global, the highest redemptions fr...