Allianz RCM's Michael Konstantinov has closed energy and commodity underweights as a result of rising prices.
The manager of £840m Bric Stars fund says the economic recovery is increasing demand for raw materials, leading to price rises. “A stronger than predicted recovery in developed markets is pushing up oil and commodity prices,” he says. “We are not super bullish, but the data coming out is positive so we have decided to close these underweight positions.” The manager has instituted holdings in Tata Steel, as well as Indian metals and mining company Sterlite Industries, by trimming his holding in Infosys. “We had a very high overweight to Infosys and it has performed very well. Fr...
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