Given the increase in price volatility, investors may think that market timing during a late-stage bull market may sound like a good idea but history suggests that there is no ‘right time’ to try timing markets.
To take advantage of the growing opportunity created by higher US interest rates, Citi analysts have made slight adjustments to their weighting on bonds and equities.
In the first half of 2018, global equities experienced positive returns of 0.7% with equity markets at the highest level of volatility in more than two and a half years.
Citi analysts reduced the overweight in Global Equities and reduced the underweight in Fixed Income. Citi’s allocation shift is driven by US trade policy, which now appears less predictable.
3Q17: A Bumpier Ride Ahead but Still Positive on Equities
By Celestee Tan
Even though equity markets have rallied in the first half of the year, Citi analysts continue to be positive on equities given the broadening global expansion and rise in corporate profits.
