David Coombs: Why I am slamming the brakes on auto exposure

Sub-prime echoes

clock • 4 min read

David Coombs explains why he is holding off trading in his partner's Mini Cooper - and why his reasons for doing so make him similarly wary about exposure to the automobile sector in his multi-asset portfolios

Like many commuters, my partner and I have a ‘station' car. In our case, it is my partner's 10-year-old red Mini Cooper. She loves it - I do not. It is heavy on the steering, the air-conditioning does not work and it is continuously tuned to Vanessa Feltz in the morning. Warning lights flash off and on with a regularity bordering on disturbing. Lately, we have been umming-and-ahhing about replacing it with a new station car. Despite my hatred for this abomination of an automobile, however, I am reluctant to replace it just yet. Why? Being a multi-asset manager, I like to buy things...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Why 'bubble talk' doesn't always burst markets

Why 'bubble talk' doesn't always burst markets

What’s really driving recent returns?

Eleanor Ingilby
clock 20 November 2025 • 4 min read
Consultancy launches to provide IFAs with 'robust' investment processes

Consultancy launches to provide IFAs with 'robust' investment processes

Sheridan Admans launches Infundly

Isabel Baxter
clock 06 November 2025 • 1 min read
Inflation protection not front of mind for financial advisers

Inflation protection not front of mind for financial advisers

Titan Square Mile report suggests

Jen Frost
clock 04 November 2025 • 3 min read