Ruffer duo cuts equities as markets await 'proof of Trump's success'

'Right balance between fear and greed'

Hamish Baillie and Steve Russell, co-managers of the £370m Ruffer Investment Company, have cut their equity exposure to around 38%, taking profits on a number of well-known names, as they seek to balance the portfolio for uncertainties in 2017.

In their latest monthly report, the managers said the year had started with a "blizzard of forecasts and prognostications" from analysts on Donald Trump's election as US President with some calling it a negative shock to markets, while others said it would be a "mini-boom" for GDP. However, the managers said markets are reaching a point where they would need further evidence Trump is a positive for the US economy before rallying further and, as a result, have reduced their equity exposure. They said: "Whilst investors have reacted positively over the last couple of months, we are, we ...