Discretionary managers and multi-managers sought havens in fixed income and larger funds in the month before the EU referendum, as they cut global and UK equities weightings, according to distributor Harrington Cooper.
In its asset allocation tracker for May, the firm found managers reduced exposure to global equities by 1.15%, and further cut UK equity exposure for the seventh consecutive quarter. During a challenging period for investors, allocations to investment grade corporate bonds and gilt funds were raised by 1.57% and 1.8% respectively. The tracker also found the £1.5bn Henderson Strategic Bond and the £343m Royal London Short Duration Global High Yield funds were among the most widely held vehicles in portfolios. International sovereign bonds fared less well, with exposure decreasing by...
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