April's rally bodes well for equities investment

The April rally in equity markets may not herald the return of a bull market but the recovery is leading asset allocators to favour equities over bonds. While government bonds have been among the best performers over the past 12 months, many expect prices to lower over the year. Governments and central banks are also likely to be active in pursuing policies aimed at targeting deflation and maintaining liquidity, which is leading some observers to buy into volatility in the equity markets. Despite mixed economic data flows, stocks should benefit from the macro policies being touted by th...