RWC's Purves & Lance stick to guns over 25% cash weighting

RWC's income managers Ian Lance and Nick Purves are continuing to run significant cash weightings in their portfolios on the view markets are "more than 20% overvalued".

Lance (pictured), who co-runs the £1.4bn income strategy, which includes the Enhanced Income and Global Enhanced Dividend funds, said the team is still struggling to find ideas, six years into "one of the strongest bull markets ever". He said: "We are moving at a glacial pace on both funds. It is a real struggle [to find opportunities] but when there is nothing to be done, we do nothing. "We think the markets are more than 20% overvalued. It is hard to forecast when we get a correction, as central bankers step in and ramp up [prices]." Lance currently holds 20% in cash in the Enhan...