Carmignac MD: It is time to be very cautious on markets

Cut equity exposure

Didier Saint-Georges, Carmignac managing director and member of the investment committee, said the group has cut overall equity exposure as low as 7% on its flagship €22bn multi-asset Patrimoine fund on global economic fears.

He said investors should be cautious as markets are at a very important stage of the cycle, with a potential "collision" between two key trends for the first time in years. Read Investment Week's Big Interview with Saint-Georges "One trend is the economic cycle, and China is part of the story here. In our opinion, the US economy is also going to disappoint as companies are telling us their margins are getting squeezed. After a long cycle, the US is showing signs of fatigue, while Japan is not showing signs of accelerating. The global economic picture is not positive," said Saint-Geor...