F&C ups equity exposure in Lifestyle range

F&C's Paul Carne has taken an overweight equity position across his four-strong Lifestyle range.

The fund manager said with bond yields persistently low, equities offer better scope for returns. His funds are about 3% overweight equities, while bonds and cash have moved from neutral to underweight positions. “Equities look to offer high single-digit returns circa 7% to 10% over the next few years, depending on the market,” he said. “Meanwhile corporate bond yields are between 4% and 4.8%. With inflation at around 4%, they seem a less good bet. He has cut holdings in Invesco Perpetual Corporate Bond, Fidelity Strategic Bond and M&G Strategic Corporate Bond. “We are still in ...