Recovery signs bring value to Reits and the corporate bond sector

Despite equalling the record for the number of successive days of gains on UK and US equity markets, it is worth noting that neither has made much ground since the turn of the year.

As a result, a ‘buy and hold’ strategy would not have delivered much return over the period. We believe current market conditions continue to be better suited to a certain amount of tactical trading and this is best served in relatively small and nimble funds. After the recent rally in equity markets, it is increasingly looking like further gains will be reliant on the all-important US Q2 reporting season. Early indications are positive, with earnings down around 25%-30% versus consensus of 30%-35% per annum. If results continue to be ahead of consensus, there appears to be more solid fo...