Fidelity derisks across £32bn multi-asset range

Responses to 'dovish' tone premature

Fidelity's £31.7bn multi-asset team has returned to a neutral stance on equities having held a contrarian overweight position since the start of the year.

Dialling down risk across its seven portfolios, Fidelity chief investment officer James Bateman believes markets are "getting ahead of themselves" by pricing in dovish expectations. He said: "Looking back on the first quarter of 2019, the defining story was clearly the strong performance of risk assets." Having suffered its worst quarter since 2008, the S&P 500 witnessed a reversal of fortunes, with Q1 2019 its best quarter since the recovery started in 2009. But he added: "Global economic fundamentals have continued to deteriorate despite markets rallying, and this has led us to r...