There are "shades of 1999-2000 in stockmarkets", according to the managers of Ruffer Investment Company, whose current defensive positioning reflects that view.
In their latest note to clients, the management team of the £380m trust warned that the record proportion of initial public offerings (IPOs) of unprofitable companies, potential for an unexpected spike in inflation and the impact of increasingly populist global politics combined were a recipe for disaster for equities. As such, they are currently tilted defensively towards "assets that investors panic into when bubbles burst". Ruffer trio bemoan 'disappointing' year but prepare to be 'greedy when others are fearful' Investment directors Hamish Baillie, Steve Russell and Duncan MacI...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
